Who Usually Buys
- Restaurant groups
- Owners of several local spots who want another location with a following.
- Chefs and managers
- Experienced staff ready to own, often with an SBA loan.
- Hospitality investors
- Buyers who pair the restaurant with real estate or a hotel nearby.
The Off Season Sets the Price
Summer weekends on the Oceanfront can make any restaurant look busy. Buyers care more about January through March, when locals carry the room. Show monthly sales for several years so they can see the full cycle.
Only Reported Sales Count
Cash that never reached the books cannot be proven, so buyers will not pay for it. At two to three times earnings, every dollar left off the return costs several dollars of price. Point of sale reports, deposits and tax returns should line up.
The Lease Is Often the Deal
A restaurant with a good lease in a busy spot is worth far more than the same kitchen with a year left. Buyers and lenders want enough term to repay the loan, plus renewal options. Talk to your landlord about assignment before you list.
The ABC License Does Not Simply Transfer
In Virginia, a change in non corporate ownership ends the current ABC license, and the buyer has to apply. Plan the timing so the bar does not go dry at closing. Our page on the Virginia ABC license for the buyer explains the steps.
What Else Buyers Check
- Food and beverage cost as a share of sales
- Whether the head cook and managers will stay
- Kitchen equipment age and the last health inspection
- Online reviews and repeat local customers
Sales tax successor rules also apply to restaurants; see Virginia sales tax successor liability. To learn what yours might sell for, request a sale estimate.