4 Things To Consider Before Selling Your Asian Restaurant
Southeast Asian cuisine, sushi restaurants, and Thai fusion restaurants have grown in popularity over the years, including in Romania, where this industry is still in a developing stage.
Before listing your Asian restaurant, read more on the 4 essential steps in preparing your business for a smooth transition to new ownership.
Take a moment to think about your exit strategy
The first step in any sale is to think seriously about how, as a business owner, you will leave the business. Take the time to set your personal goals for the future and how will they affect the new owner. Consider the questions that potential buyers will ask to understand how the restaurant will work without your presence. At the very least, ask yourself some of the following questions:
- How soon do you have to leave the business? Can you help the new owner adjust?
- Do your plans for the future depend on selling the restaurant?
- Will the staff remain in business, under the leadership of the new owner?
- Are you interested in a certain type of potential buyer?
- How will the transfer of ownership take place?
These questions will keep you on track and help potential buyers calibrate their expectations about how the business will work in your absence, and under their leadership.
Organize your documents
Naturally, interested buyers want to review a variety of documents related to your restaurant. In addition to providing a clear picture of the company's cash flow and annual revenue, you need to prepare documents that show leasing conditions, real estate information, and even contracts with suppliers or partners.
Prepare the restaurant for transfer
Even if you have a great location and a profitable Asian restaurant, there are definitely improvements that will make your business even more attractive to the right buyer. In Romania, the average sale process lasts eight to twelve months. Make the most of this time, making sure that the restaurant is in top shape and that you will leave behind a truly profitable business.
Because Asian cuisine is very versatile, one way to improve the performance of such a restaurant is to prepare new recipes, using special, high-quality ingredients or you can even expand the menu to include fashionable Thai fusion cuisine, sushi, or Vietnamese food, still poorly represented in Romania.
Get an evaluation of your restaurant
As a current owner, it is only natural to have a strong emotional connection to your business. The time, resources, and passion you put into your business can create a cognitive bias regarding the fair and justifiable price you should offer to a potential buyer. In addition, the valuation of a business is a complex operation, which takes into account both financial variables and qualitative indicators. Working with a professional business broker will help you make sure that the asking price is fair, not leaving too much room for negotiation.
After completing these steps, you should start thinking about marketing the company on various portals for business sales. Although you can always make an independent listing, on your own, you will probably find similar, competing restaurants with the same specifics, put up for sale by their owners. To differentiate yourself from them, consider hiring a business broker. A professional business broker has experience in the field and will ensure that your business is presented to the right potential buyers, helping you at every step of the transaction - from setting the price and conditions of transfer to listing, identifying interested buyers, and the conclusion of the transaction.
If you have read this far, we are pleased to tell you that we have the largest network of brokers in the industry, so you can be sure that the sale of your business is in good hands. Let us take care of the business transfer process, while you focus on managing and growing the company in the months leading up to the exit!