Between long business hours, dealings with employees and vendors, and the overall work culture, the restaurant industry is like no other industry. Similarly, selling a restaurant entails unique challenges and steps that other businesses do not necessarily have to worry about. However, this doesn’t mean selling your restaurant is impossible, as the industry shows signs of good health and interest in potential business owners. In the United States alone, restaurants will report $799 billion dollars in sales in 2017, as compared to $746 billion reported in 2015. The industry provided 14.7 million jobs this past year and makes up about 10% of the entire US workforce. It is expected that 1.6 million jobs will be created to keep up with the growing demands of the industry.
Ensuring a Successful Sale
Successfully selling your business starts with understanding key factors that will attract potential buyers and promise an easy transition. We have listed some tips below on how to prepare to sell your restaurant:
- Make a good impression on potential buyers by making sure your presentation is on point. A great start to luring potential buyers is to make sure your business is appealing. Making your business appealing could be as simple as getting it professionally cleaned, or by investing in newer equipment and décor. The dining areas should be appealing; however, it is imperative that areas such as bathrooms and kitchens are spotless and attractive. Be sure that your current employees are exhibiting model work; they should be knowledgeable of menu items and provide excellent service. Part of making a good impression is also making sure your business has a good online presence, including social media. Starting with this step ensures that all the work you later put into listing your business won’t be undermined once potential buyers visit your space or website.
- Prepare an organized and detailed financial profile. A critical component of attracting potential buyers is ensuring that your business has organized financial records and is ready to report income, expenses, loss statements, inventory and assets. By preparing a financial profile ahead of time, you can avoid scrambling to put together records; such behavior could strike potential buyers as disorganization and a good reason to avoid pursuing your business.
- Set an asking price after obtaining a proper business valuation. Restaurants are unique in that the business’s success is closely related to the location and the local market. Business brokers know how to properly evaluate a business by taking several factors into consideration. They can create a business valuation for you which will help you set an appropriate asking price that can make the most of your sale.
If you are planning to sell your restaurant, contact the experts at Transworld Business Advisors of Houston today. Our services are the best on the market and have contributed to thousands of successful restaurant sales in and around Houston. Call us today to find out what we can do to help you make the most of selling your restaurant.