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California's Largest Restaurant Brokerage - Specializing in Sales, Acquisitions & Leasing of Restaurants, Bars, Clubs & Related Commercial Buildings

Why You Need to Work with a RESTAURANT DEALMAKER to BUY or SELL a Restaurant, Bar, Club or Related Commercial Building.

By in 2017 - Volume 19 with 0 Comments

Why You Need to Work with a RESTAURANT DEALMAKER
to BUY or SELL a Restaurant, Bar, Club
or Related Commercial Building.

Restaurant Realty Company’s (“RRC”) agents and brokers have extensive experience in selling restaurant, bar or club properties. Many are former restaurant operators, managers, owners or sellers of hospitality industry properties. RRC agents and brokers are true specialists as our sole niche is successful representation and sales of restaurants, bars, clubs and related commercial buildings exclusively.

Since 1996, RRC has SOLD over 1,000 restaurants, bars and clubs resulting in development and innovation of our professional systems so transactions are completed expeditiously and accurately; since most listings are confidential, we understand how to handle transactions with care yet embrace digital marketing, social media and advertising strategically.

We have accumulated the largest database in California of sold restaurant, bar and clubs sales comps. With over 50,000 industry contacts, 27,000 active subscribers to our eNewsletter, 8500 Facebook Fans, 8000 Linkedin Followers, and reach 100,000’s through digital ad impressions, we have the capacity to publicize, promote and potentially sell your business with a higher success rate.

Why SELLERS of Restaurants, Bars
and Clubs Need to Work with Restaurant Realty Company

  1. Transaction is handled professionally – RRC will assure that the transaction will be handled professionally.  In addition to the numerous agents and brokers we have throughout California our team includes our Transaction Manager, Buyer Manager, Project Manager, Finance Director, Internet Marketing Coordinator and Creative Marketing Director who are all involved in the transaction process to assure that each transaction is handled professionally.
  2. Pricing the business correctlyRRC will work with the Seller in pricing their business at a pricethat will be realistic to attract meaningful buyer activity after RRC reviews the financial history of the business, the lease terms and tours the front and back of the house of the business to be sold. We will prepare a written Broker Opinion of Value and a Marketing Proposal before entering into a Representation Agreement. As part of the Representation Agreement package will be a Seller’s Disclosure Agreement which will give the seller the opportunity to disclose everything relative to the businesses current and past history.
  3.  Marketing the business on a confidential basis – We place a confidential profile of the business on our website, www.restaurantrealty.com as well as on 12 other major business for sale websites.  Also, the listing is included initially in our enewsletter as a new listing which goes out to over 40,000 buyers in our system. We also implement targeted email blasts to buyers in our database as well as create special buyer databases to identity buyers that meet the specific criteria of the business being marketed for sale. RRC will market the seller’s business as a confidential sale (unless the business is closed) so that buyers will maintain confidentiality throughout the transaction. The prospective sale of the business will stay confidential until the business closes escrow or if there is an Alcoholic Beverage Control License (ABC License) until immediately before the ABC change of ownership notice is posted.
  4.  Screening the buyerBefore a prospective Buyer is given the name and address of the business the buyer signs a confidentiality agreement and he/she is screened by our Buyer Manager to make sure the buyer is qualified financially and operationally. When the buyer is screened they are also screened as to whether or not they will be accepted by the landlord as the premises lease is one of the key elements in putting together the transaction.
  5. Complete supervisionRRC takes a hands on approach to overseeing the completion of a sale.  From offer to close of escrow we supervise the steps for getting the deal done by making sure each stage of the transaction is handled properly.  This includes review of books and records, physical inspections, transfer of licenses, landlord approval and proper lease documents executed, and escrow procedures implemented etc. Additionally, both the buyer and seller complete comprehensive disclosure agreements so that the buyer understands all aspects of the business past and present history and the seller understands the buyers operational and financial history.

Why BUYERS of Restaurants, Bars &
Clubs Need to Work with Restaurant Realty Company

  1.  Proper pricing -To enable the buyer to get a comfort level that he/she is not over paying for the business RRC’s agents and buyers will explain to the buyer how the business sales price was calculated as well as to share sales comps for the business from our extensive sales comp library.
  2. Buyer due diligence and seller full disclosure – To afford the buyer the opportunity to thoroughly complete the following: a) review the businesses current and past financial records, b) schedule physical inspections of the premises to assure themselves that the business is up to code and satisfies all governmental regulations and c) satisfies themselves that the premises lease they will enter into effective as of the close of escrow will meet their requirements for rent, future rent increases, term, options and the other terms and conditions of the lease. Qualified buyers will have access to all pertinent financial records, leases, licenses and permits, sellers disclosure agreement, equipment lists, past reports from the health department, fire department and other governmental agencies for their review.
  3. Assure the buyer obtains title free and clear – RRC will assure the buyer that a Bulk Sales Escrow is utilized for the transaction to protect the buyer from the following: a) any successor ship tax liability from the Franchise Tax Board (FTB), State Board of Equalization (SBOE), Employment Development Department (EDD) or local county taxing agency by the buyer receiving tax clearances from all the above mentioned agencies, b) that the buyer will obtain title free and clear from all seller vendor debt liability and any liens or judgments recorded against the business, c) that all licenses are transferred before escrow closes and d) that all deposits and disbursements are handled through escrow.
  4. Getting the buyer pre-qualified with the landlord so the buyers time is not wasted – This is usually the biggest obstacle in getting the deal done. RRC determines at the time of obtaining the business representation agreement what the landlord’s criteria is of the buyer and what are the lease terms that will be available to the buyer. If the buyer is not qualified for the transaction we let him/her know that up front so we don’t waste the buyer’s time.
  5.  Giving the buyer guidelines for getting the business set up –  RRC’s agents and brokers will advise the buyer to get the following items set up:  a) licenses and permits – setting up business license, tax permits, fictitious and business name statement recorded, etc., b) getting insurance in place – liability, fire and workers compensation, and c) overseeing equipment and salable inventory counts.

Sellers and Buyers working with Restaurant Realty Company will experience
having a successful transaction completed quickly and accurately.

If you are a prospective Seller please contact us as follows: www.restaurantrealty.com/sell-a-restaurant  

If you are a prospective Buyer please contact us as follows: www.restaurantrealty.com/buy-a-restaurant or Call us at 888-995-9701 Toll Free

                                                        

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About The Author
Steven Zimmerman, CBI, M&AMI, CBB, FIBBA

Steve is the Founder, Principal Broker and Chief Executive Officer of Restaurant Realty Company. Steve has personally sold/leased over 1000 restaurant, bar or club businesses, sold many commercial buildings and completed over 3,000 restaurant valuations since 1996. His real estate experience also includes sales, acquisitions, management and ownership of numerous properties throughout California including restaurants, hotels, apartment buildings, single family houses, an office building and a multi-use retail building. Steve is also the author of Restaurant Dealmaker – An Insider’s Trade Secrets for Buying a Restaurant, Bar or Club available on Amazon. Prior to starting Restaurant Realty Company Steve had over 20 years of restaurant experience and was President and Chief Executive officer of Zim’s Restaurants, which was one of the largest privately owned restaurant chains in the San Francisco Bay Area. READ FULL BIO | HIRE EXPERT WITNESS - LEARN MORE