Want to fast track selling your restaurant but not sure where to start? Read on for these tips from We Sell Restaurant to get what every seller wants from the transaction - the most money in the shortest period. A fast sale means the services of a restaurant broker and for most sellers, at all costs, avoid trying to do it yourself. Here’s why.
You’re Emotionally Invested. You built your business from scratch and watched it grow and prosper. This is more than a business to you. It has taken care of your family’s needs for often, many years. When selling, there will doubtless be moments of regret and emotional attachment even if you are selling for all the right reasons.
Buyers may be Insulting or Augmentative. It’s human nature. You’re on two sides of a deal. A buyer may try to establish fault with your restaurant to justify their offer price. If a restaurant buyer says something like, “I ate here last night, and service was terrible” when you know your wife was running the front of house, this deal is going nowhere fast. Selling your restaurant through a third party means they filter this information and work on focus on representing the transaction minus the emotions. This scenario is a lot different than if you try to sell your restaurant on your own.
Your talent is best used running a restaurant. A professional restaurant broker’s talent lies in selling the restaurant. You have taken your dream and managed to make it grow and prosper. You are likely excellent at sales and operations or taking a turn in the kitchen. On the other hand, satisfying the demands of buyers may not be at the top of your skill set.
A restaurant buyer is going to be focused on the accounting details and bookkeeping records to help them with making an offer. The buyer could care less whether they show up during your busiest time such as dinner on Friday night. As a result, you will find yourself doing more of what you are less good at and less of what you are very good at which is running the restaurant.
Restaurant Brokers are Deal Makers. Remember that just because you received an offer doesn’t mean your restaurant is sold. Reaching an offer means the buyer and seller agree on is the easiest part of a transaction and is only the beginning of the process. Buyers and sellers that reach consensus on a price are not difficult to put together. The tough part is holding the transaction together until closing which is where a restaurant broker can be of tremendous help with seeing the deal through to completion.
The restaurant broker’s work begins once the buyer and seller agree on an offer. Shortly after, the buyer will begin to put every element of the transaction under a microscope when the reality begins to hit that he is in the deal for the long haul. At this point there are numerous opportunities for the deal to collapse post contract which is why it is necessary to have a restaurant broker working with you.
The restaurant broker is working at reassuring the buyer that the unpaid lien is not a disaster and can be resolved at closing. He or she is also helping the seller locate two-year old tax returns with a stamp on them from the Internal Revenue Service and assisting the seller with the sales tax clearance letter from the state.
On the other side, the broker is working with the buyer when he discovers there is a list of items on the inspection results that need to be fixed and with the seller when he discovers the franchise wants a list of improvements before they will transfer. The restaurant broker is taking the heat from all parties to the deal and keeping it in check to get them to the closing table.
Brokers have Access to Contract Forms and Legal Resources
Preparing a contract can have its own set of issues. What’s included? What’s not? Who keeps the security deposit or pays for inventory or transfer fees? The last thing you want to do is engage an attorney and have countless costs and fees with no guarantee it will close. We Sell Restaurants and many other brokers, have forms and documents that can expedite this process at no fee to you. Why would you want to take the risk of handling this on your own? This is clearly a way to fast track a deal for selling your restaurant.
Restaurant Brokers have Lending Contacts
Getting the most money for your business means you frequently need a lender engaged. The process of lending can be lengthy and confusing for the inexperienced while it’s a daily occurrence for a broker. He or she will have immediate contacts, processes for approvals and support for the forms and information requested by the bank and other parties. For our firm, we can fast track any loan application, gaining approval in generally, less than a week.
A Broker Understand the Franchise Approval Process
The specialist in the transaction is the restaurant broker. He or she will have contacts at the franchise level for approval of the new franchisee. They often have the forms and requirements for approval ready to go as soon as the deal is in contract. A seller can work with their own brand to make this happen but to fast track a deal, a knowledgeable resource can accomplish in hours, items that will take weeks to accomplish if you’re learning it for the first time. Want to get on the fast track for selling your restaurant? Use the resources at your disposal.
When reading all the ways a Restaurant Broker can fast track selling your restaurant, it’s no wonder restaurant brokers frequently hear “This deal never would have happened without you.” Ready to fast track selling your restaurant? We can help. Find more information at the link below.