Think it's easy to sell a restaurant? Think again. Though you hear the occasional story of a business selling in days for full price, the reality is that it takes work on the part of both the seller and the restaurant broker to make a deal happen.
Want to help your Restaurant Broker Sell Quickly? Here are Five Things You Can Do:
1) Provide books and records that are clear, accountable, accurate and verifiable. If you plan to sell on a cash flow basis, expect the buyer to ask good questions and hire a CPA to assist in due diligence. Your great personality and winning menu won't cut it with those guys; it's all about the numbers. Your restaurant broker also needs good data to do a valuation on the restaurant and at the right price, businesses sell.
2) Clean Your Restaurant! You wouldn't list your house for sale without a spruce up that might include cleaning, patching holes in the sheetrock or maybe hiring a stager. Restaurants don't have to be remodeled, but they should be clean. Look up and down when evaluating your restaurant. Ceiling tiles with water stains from a leak fixed two years ago or lint on the air conditioning vent signals an owner that is not on top of things. Don't let something simple that can be solved with one or two new tiles and a good dusting keep you from getting offers.
3) Evaluate your curb appeal. Don't limit your review to the front of the house. Look outside. Hire someone to wash the windows and check out the patio space. Take a good look at the business through someone else's eyes before it goes on the market.
4) Check online. The first thing a buyer will do is "google" your restaurant and check your online reviews. What are your customers saying? If you have bad reviews, either challenge them or bury them with good ones and get your clients supporting you online.
5) Offer Seller Financing. The challenges of enough capital to purchase is a consequence of the tough lending environment over the last few years. Consider some level of owner financing to improve your chances of selling.
Take care of these five items and a strong restaurant broker can help you sell your restaurant quickly and closer to your asking price.