Numerous reasons can force you to sell your restaurant, takeaway, or café. These include (but are not limited to):
- Retirement or ill health
- A death of a spouse
- Financial difficulties as business may no longer be viable.
We recognise that running a restaurant, a café, or a fast-food takeaway is demanding because it requires you, the owner, to put in a lot of hours and consistently produce high-quality food to have a repeat business. It was the food business owners that kept the morale of the nation up during the lockdown.
Naturally, you are probably feeling let down by high energy costs, inflation on raw food prices and no respite from increasing business rates. You are not alone. We are here to help you make a fresh start and support you through this difficult period.
In this article, we’ll discuss how you can sell any restaurant, café or takeaway using three methods of sale.
Table of Contents
Preparing your restaurant for sale
If you want to sell your restaurant at a high price, consider its performance and find ways to increase profits or cut spending. Make sure you have a plan in place for a smooth sale. To boost the value without spending too much, focus on the restaurant’s presentation and cleanliness.
Also, establish systems that allow the business to operate without relying heavily on the owner. Trust your floor manager or chef with more responsibilities.
How To Sell A Restaurant?
Whether you are looking to sell a fast-food business or any eatery, selling via a business broker is best. They will put a value on your restaurant based on the goodwill of repeat customers and profits over the last 3 years.
It may be much harder to value a business operated as a ‘cash only’ payment method such as a takeaway.
Unfortunately, due to the cost of living crisis, it has become difficult to start up a business, particularly as disposable incomes have fallen. You may have tried a business broker to sell your business without success.
We would be interested in buying if you own the property as a freehold or a virtual leasehold and wish to sell it. Property Saviour are cash buyers for commercial property.
We can buy your restaurant for cash; however, closing down a business overnight doesn’t work well in practical terms for owners.
If you opt for a planned closure and sale of the business, this can create several benefits, including a mutually agreed price higher than a cash offer, allowing you time to sell equipment, fixtures, and fittings – and for your staff to find new jobs.
Valuing your restaurant
When running a restaurant, it can be challenging to detach emotionally and determine a fair price. Restaurant businesses often carry a strong emotional attachment due to the passion and effort invested in them.
Seeking guidance from a professional can help establish a realistic price based on the restaurant’s assets and goodwill built over time. The number of nightly covers also influences the valuation, which can be tracked efficiently with a reliable POS system.
Maintaining records of covers for a couple of years prior to selling is essential.
Marketing your restaurant
When considering selling your business, you have a few options to explore. You can advertise online, through word-of-mouth, or print media. Another option is using a business broker.
It’s important to reach out to a wider audience, including investors without restaurant experience. Regardless of your choice, thorough research is crucial to finding the right option for selling your restaurant.
Where Do You Sell Fast Food Restaurant?
Property Saviour offers you a real alternative to selling your commercial property. If you are thinking of auctioning your commercial property, you would have to put in a very low guide price in order to attract bids. There’s no guarantee that your property will sell because of uncertainty in the property market.
There’s a stigma with auction properties as it is widely expected that there’s something wrong with the property. With upfront fees and waiting for up to two months for the sale to conclude, auctions aren’t not for everyone.
If your property is put on the market with a commercial property agent, these are some of the challenges that you are likely to face:
- There are fewer buyers who understand commercial property and can afford to pay a 40% deposit.
- Commercial property agents charge upfront marketing fees.
- The huge for-sale board can upset your tenants or introduce doubt in the minds of customers who have booked your venue for their weddings, birthday celebrations or Christmas parties.
- You are tied into a contract for up to one year.
- If you decide to serve notice to end the contract, you will notice increased enquiries and offers. These are trade secrets of commercial agents to buy time – hoping that a real buyer turns up.
Even if a legitimate buyer is found, they will likely struggle to obtain a commercial mortgage because of expensive interest rates of 8-10% per year. This means that running a restaurant may not be financially viable.
*Correct at the time of writing 18th November 2023.
How To Sell Any Restaurant With Certainty?
If you wondering ‘how can I sell my commercial property fast‘ you can be assured that with Property Saviour, you are in safe hands. Here’s why:
- No endless viewings – just one.
- No frustration or abortive solicitors’ fees.
- There are no commercial agency fees to pay.
- Sell any commercial building – takeaway, café or restaurant.
- We will pay up to £1,500 towards your legal costs.
- Regular communication until completion.
We’ll buy all types of commercial property, so get in touch if you’d like to sell your commercial building fast.
We are commercial property experts trusted by sellers like you, so please do get in touch with us.