Sell a Business Tips
Selling a Steakhouse Restaurant
It's a misconception that no one is buying steakhouse restaurants these days. Savvy entrepreneurs see steakhouse restaurant opportunities as a path to short-term profits and long-term growth. Although final sales prices vary, the best sales combine strategy and hard work to achieve desired outcomes.
The business-for-sale market is just as frustrating for buyers as it is for sellers these days. There are lots of buyers who want to own a steakhouse restaurant, but have limited capital to get their foot in the door.
Most steakhouse restaurants are good business opportunities, a fact that is not going unnoticed by today's discerning buyers.
Preparing Your Steakhouse Restaurant for Sale
First-time business sellers sometimes don't realize that the success or failure of their sale is determined before it hits the market. Attractive steakhouse restaurant sales opportunities leverage a long-term strategy to increase the value of the business to buyers. Even though it may take years to adequately position your steakhouse restaurant, the amount of preparation you perform will have direct correlation on asking and sale prices. Additionally, you'll need time to compile financials and other information that buyers will expect to receive.
Business Valuation
Professional appraisers can use three methods to determine the value ofa steakhouse restaurant: The income method, the asset method and the market method. Appraisals based on the asset method gauge value as a factor of the company's real property and non-tangible assets; appraisals based on the income method consider the business's anticipated revenue. In many sales, the most accurate valuation comes from the market method which determines value based on the recent sales of similar businesses. A good appraiser will often use multiple valuation methods to arrive at a reasonable estimate. Sellers should take note of the fact that all three valuation methods reward businesses that takes steps to increase assets and income.
Professional Appraisals
Next to your broker, a skilled appraiser is the person most capable of adding value to the price of your steakhouse restaurant. Armed with a professional appraisal, both you and your broker can enter the negotiation stage with confidence. Even though you may disagree with the appraiser's value estimates, it's important to give your appraiser the information and independence he needs to present an objective opinion. To ensure accuracy, ask your broker to provide references for appraisers with industry experience.
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