Buying a Restaurant
To ensure a successful restaurant acquisition, partnering with an expert restaurant broker is essential. Corbett Restaurant Group is a leading team of brokers who offer invaluable advice on the steps involved in acquiring a restaurant, securing financing, determining its valuation, and even navigating a lease. With our extensive knowledge in the restaurant industry, we can guide you through the entire buying process.
Whether working with you in-person or over the phone, Corbett’s qualified business brokers ensure that your unique needs are met, making them the ideal partner for anyone looking to buy a restaurant.
Contact Corbett Restaurant Group to start the process of finding the perfect restaurant for you.
Find & Find Program
Corbett Brand’s “Find & Find” Program is an Exclusive and Free Buyer representative service. This is a concierge service where our financing specialists assist in finding, evaluating, qualifying, and negotiating your business acquisitions.
Once your acquisition has been identified, our specialists can source your funding through Houndstooth Capital Partners, Corbett’s commercial loan brokerage division. With decades of experience and an extensive network of hundreds of lenders and programs, including SBA 7A & 504C, conventional, private lending, and hard money loans, we can get you matched and pre-qualified with the best lenders and terms across any industry, getting the funding you need for your next acquisition.
Buying Facts
Common documents requested:
- Copy of the Lease
- Tax Returns for 3 years
- Financial Statements for 3 years
- Complete Furniture, Fixtures & Equipment list
- Latest Health Inspector’s Report
Valuing an Existing Restaurant
Key factors that determine value:
- Current and Gross Sales and potential for sales growth
- Current Cash flow and growth potential
- The condition of the leasehold improvements and equipment.
- The length of the lease – 10 year minimum
- The net or gross lease should be in the range of 6-8% of gross sales
Lease Negotiations
A checklist:
- Have lease reviewed by an attorney
- Minimum length of the lease 10 years +
- Base rent at Industry Average
- Scope of Landlord/Tenant Improvements
- Right of Assignment
- Condition of space at delivery
- Options to extend
- Extent of Personal Guarantee
Site Acquisition Criteria (Some key points to consider)
Location
- Location curb appeal
- Demand
- Competition
- Visibility, accessibility, parking
- Appropriate rent and demographics for the concept
Facility
- Rent, lease terms & R.E. Taxes
- Availability of alcohol licenses
- Condition of the space and leasehold improvements
- Cost of renovations
- Condition of mechanical systems HVAC, plumbing, electrical
- Layout, Design
