What type of businesses do you sell?

Our portfolio encompasses a diverse range of food service industry businesses, including restaurants, bars, clubs, breweries, cafes and coffee houses, catering establishments, deli's, drive-thru restaurants, franchise restaurants, frozen yogurt and ice cream shops, food trucks, fast-service/grab-and-go establishments, juice bars, pizzerias, and related commercial buildings.

Do I have to work exclusively with Restaurant Realty once I sign up with you?

Indeed, our Representation Agreement is exclusive. Should you choose to collaborate with another agency simultaneously, you would be obligated to remit a commission to each agency with which you have an active listing agreement. Furthermore, we refrain from accepting listings that are currently represented by another broker.

How much does it cost to sell my business with you?

Our commission is $17,000 for new listings with a sales price of $100,000 or less. For new listings with a sales price of $101,000 or more, our fee is the greater of $17,000 or 10% of the sales price. We collaborate with other brokers who have extensive experience in selling confidential food and beverage businesses. Should we not successfully sell your business, there is no fee. We only charge a fee from you upon the close of escrow, unless there is a breach of our representation agreement.

How do you find buyers for my business?

To effectively promote your business for sale, we employ a comprehensive marketing strategy. Our primary tool is our extensive database of over 75,000 registered buyers, whom we communicate with through our biweekly e-newsletter. This newsletter highlights our newly listed, featured, and price-reduced properties. Another significant driver of our marketing efforts are our agents websites, OCRestaurantRealty.com and our main site, RestaurantRealty.com Since its launch in 1998, the website has consistently garnered hundreds of thousands of visitors annually, resulting in millions of page views for our listings. Restaurant Realty Company provides the most extensive online exposure for restaurant brokers in the country, and we continuously update our website to stay abreast of emerging trends and maximize results for our clients.

In addition to our website, we advertise your business on ten (10) additional Business for Sale websites. Furthermore, we strategically purchase keywords for pay-per-click exposure in major markets we serve. To enhance our online presence, we utilize advanced Search Engine Optimization (SEO) techniques and advertise on prominent social media platforms such as LinkedIn, Facebook, and Instagram.

Do you have any non-confidential listings?

Indeed, we have several sellers who opt to conduct business with us on a non-confidential basis due to our extensive reach, professionalism, and extensive experience. The listing profile typically includes the business name and/or address. Should a buyer express interest in scheduling a back-of-house tour or requesting any documents related to the business, we will require them to sign a confidentiality agreement. This measure is in place to safeguard information that may be considered confidential, whether it originates from us or the seller.

Do you sell real estate?

Yes, we specialize in the sale of commercial buildings specifically related to the food service industry. These properties can be sold either with or without an existing business. Many of these properties are mixed-use, encompassing a diverse range of spaces such as retail, residential, office, industrial, and undeveloped land.

How long does your exclusive Representation Agreement run?

Our representation agreements are structured to ensure a comprehensive and efficient process for all parties. Our listing agreements are valid for six months, with a six-month rollover period. This allows us sufficient timeframe to find a qualified buyer, complete the sales and escrow process, transfer all permits and licenses, lease approvals to ensure a smooth transaction.

By dividing the agreement into two six-month periods, you gain flexibility in case you wish to terminate the listing after the initial six-month period. To do so, you must submit a certified letter to us no later than thirty days before the initial expiration date of the representation agreement. 

How do you come up with a Listing Price for my business?

We will prepare a Broker Opinion of Value tailored to your business. We employ two primary valuation methods:

- For profitable businesses, we utilize the Going Concern Method, which calculates a multiple of Sellers Discretionary Earnings and other relevant factors.

- For businesses with marginal profitability or negative earnings, we apply the Assets in Place Method, based on historical sales comparisons that relate the average sales price as a percentage of the business’s total sales.

We will provide you with a detailed Broker Opinion of Value for your review and discussion. If your business encompasses real estate, we conduct a separate valuation for the property and combine the two values to determine an appropriate listing price.

How do you keep my listing confidential?

To ensure the confidentiality of your business, we create a blind listing profile that provides detailed general attributes without disclosing your location or any identifying features. We prioritize confidentiality strictly. Before a prospective buyer is provided with your name and address, they must sign a confidentiality agreement and undergo screening regarding their operational and financial background. In certain instances, sellers or landlords may have specific criteria that buyers must meet before receiving any information about the business. In such cases, we conduct buyer screening to verify their compliance with these criteria. Only if a buyer meets the criteria will they be provided with the requested information.

I have a liquor license that is part of my business, do you handle the transfer during the sale?

Certainly, we will collaborate with you and the buyer to complete all the necessary documents, submit them to the relevant government agencies, and provide guidance on any additional requests for documentation or potential issues that may arise with the various agencies involved. We are actively involved in the liquor license transfer process until the completion of the transfer and the closure of the escrow.