Be Prepared with a Restaurant Exit Strategy
Building a successful restaurant takes a lot of effort and energy. Whether you feel that you succeeded at your desired level or you simply decided it is time to move on to new and better things, selling your restaurant business can be a difficult task. After spending the time establishing your business’s exact worth, you must then be willing to negotiate to make the sale. If you have a good exit strategy in place, your task will be much easier.
Determining the Actual Value
As any Boston restaurant attorney can tell you, the first part of organizing a restaurant exit strategy is ensuring that you know how much your restaurant is worth. It is important that this goes well beyond the actual value of the property or simply the gross sales you make each month. Instead, you have to remember to really calculate the value of all of your equipment.
To begin, look at any outstanding loans you might have, including the mortgage if you have one. Next, you want to not only get your property appraised, but you want to find out how much each piece of equipment is worth. Though that new stove you purchased last year may have been the best around, it is likely not worth what you paid for it anymore. Once you have a true value of all of your assets and liabilities, work with an advisor to help come up with a fair sale price.
Finalizing the Deal
Even if you have the most well-thought out exit strategy, you always have to keep in mind that there will be negotiating involved in your transition. Whereas you might have planned to sell off your restaurant “as is” to help appeal to the fact that they can simply continue on with your established customers, they may want to completely change the image. This can affect the sale value and influence whether or not you are willing to finalize the deal. Before entering into negotiations, have an idea on how much you are willing to compromise.
Ultimately, when it comes time to sell, often the best advice you can receive comes from a Boston restaurant attorney. They will not only be able to help organize your restaurant’s worth, but they can also help ensure that all of the legal documents are in order. When it comes time to develop your restaurant exit strategy and you wish to seek out the best professional advisors to help work with your family restaurant business, contact Lewis Sassoon of Sassoon & Cymrot for individual guidance and consultation.