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SELLERS
GOOD NEWS FOR RESTAURANTS! PPP Is Back!
Dec 23, 2020
Congress passed a new COVID-19 Bill this week that includes the second wave of the PPP loans with $284 Billion being allocated to the SBA for pandemic-induced hardships.
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IRS is Handing Out Certificates of Value!
Dec 27, 2018
Now that I have your attention, the headline is very true and accurate. Every year a tax return is demanded by the IRS and in return, the U.S. government returns a certificate of value, more often referred to a good tax return.
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Choosing The Best Restaurant Broker
Sep 13, 2018
In this age of technology, making a smart restaurant broker decision is much easier than it was 20 years ago. There are thousands restaurant brokers in the United States and around the world to choose from, so how do you make a choice of who is going to best sell your restaurant and bar? The answer is easier than you think!
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What should My Restaurant ‘s Operating Costs be?
Nov 5, 2018
There is a never-ending debate about what percentages should a food business maintain in order to be profitable...
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Make Your Restaurant More Profit Before Selling
Nov 5, 2020
The pandemic placed challenges on the restaurant industry like we’ve never seen and let’s hope we never see again. But with every storm, we learn to survive and thrive, making us stronger and smarter. I talk to hundreds of restaurant owners each month and their creativity is nothing less than inspiring.
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700th Restaurants Sold This Month
Dec 23, 2020
SellingRestaurants reached a milestone this month selling its 700th restaurant. Despite the pandemic, SellingRestaurants continues to sell restaurants even during this pandemic,
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Increasing The Value Of Your Business
Apr 19, 2018
I've been selling restaurants for 15 years, taking my responsibility to my clients very serious. The easiest way to increase the value of a business is to properly market the business. What does this entail?
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How Much is My Commercial Building Worth?
Nov 29, 2017
...the value of an asset is worth the discounted cash flow it generates. In plain English, a piece of real estate is generally worth the annual income it generates (fair market net rents) divide by expected return.
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Unprofitable Restaurants Can Have HUGE Value!
May 5, 2017
I recently listed a restaurant business doing more than $4.1 million a year. The owner struggles with managing labor cost, which are running 48% of the revenue, making this a marginally profitable business despite having a rent factor of 5.5%.
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4 Misconceptions About Selling Your Restaurant or Bar
Jan 15, 2017
I've brokered restaurants and bars for 13 years in California, Washington, Arizona and Florida through my brand SellingRestaurants and I've accumulated a list of the most common misconceptions about selling your restaurant or bar. Here they are:
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SCAMS! Be Aware of These Scams Played on Restaurant Owners
Sep 29, 2016
Take for example a sports bar in Oxnard we sold. Late on a Friday afternoon the accountant of this sports bar got a call from what appeared to be the power company. The person to the accountant that the power bill hadn't been paid yet and that the power was going to be shut-down unless they received a cashiers
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What To Expect After Selling a Restaurant
Nov 7, 2016
First, the employee's tend to be loyal to the previous owner. The buyer must act quickly to assert him or herself as the new boss. Of course, it must be done in a fair and calm manner as to not come across as a bully of crazy new owner. People make up a good part of the business' goodwill and the buyer is smart to keep that alive and well.
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Death of a Property Flier - Real Estate Fliers Are Dinosaurs!
Sep 1, 2016
It is 2016! Media in the past 25 years has drastically, and sometimes violently, changed our world and the information we access. Yet today it shocks me that so many commercial and business brokers still prepare PDF file fliers for the properties they sell.
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How Do I Value or Price My Bar for Sale!
Oct 24, 2016
Bars are a unique business.
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Tips on Selling Your Restaurant and Bar Business
Sep 26, 2016
The restaurant business is sort of like riding a rollercoaster in the dark. You never know when the next turn, up hill climb, or big down hill drops is going to come. It’s an emotional business, no doubt.
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THE LAW OF NUMBERS - CONTINUED - HOW TO CUT COSTS
Mar 14, 2016
A couple months ago I wrote an article on how to reduce the cost of running your restaurant business, or any business for that fact, by reducing the number of items you need to keep track of such as food and paper products. This article received great reviews. Many have asked me to write in more details on how to go about implementing this concept in your restaurant.
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Top 10 Reasons To Sell Your Restaurant Now
Aug 31, 2016
#10. You find Yourself Hating Your Own Food. #9. You Tried to Unlock the Door of a Neighboring Restaurant and Didn’t Realize it For 5 Minutes. #8. You Just Cut Your Finger, for the 100th time, Prep’ing Food.
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How to Sell Your Restaurant Quickly
Nov 3, 2016
First, find a qualified restaurant broker in your area. You can do that via our website www.sellingrestaurants.com or is we don't have a broker in your area, go to BizBuysell.com and look for brokers who list a number of restaurants.
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THE LAW OF NUMBERS - MAKE MONEY BY REDUCING THE NUMBERS
Mar 14, 2016
I learned early in my career about the laws of numbers as it relates to managing costs; cost of running a business to be exact. I'm not talking about money per se, I'm talking about the number of items one must keep track of in a business. In the restaurant business I'm talking about the number of ingredients and liquor, beer and wine items needed to make a finished product. That's where most people just don't understand the laws of numbers.
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Selling Your Restaurant, Give Us a Call! 800.576-3615
Mar 15, 2016
SellingRestaurants is a professional full service restaurant brokerage firm who primarily represents restaurant and bar owners. We prepare the businesses for market using proven and thorough methods. We first start with an interview of the owner....
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Sell My Restaurant Now! The Top 3 Things to Do To Sell Your Restaurant or Bar.
May 11, 2016
If you're thinking of selling your restaurant or bar there are three things you can do to get top dollar. 1. FINANCIAL HEALTH: Get you books straight! Stop skimming the cash. Get a good bookkeeper that knows the restaurant and bar business financial statements. Pay your taxes.
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KNOWING THE DIFFERENCE - ASSIGNMENT VS. ASSUMPTION
Jan 29, 2013
Leasing matters are tricky and many business owners are lost in the verbose language Landlords use in their leases. Get one step ahead of them with this article.
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Get Top Dollar For Your Restaurant Sale
Mar 14, 2016
Every one wants to get top dollar for their business, but did you know that most people don't know how to go about insuring that this happens? Here are steps you should take to help you get the highest possible price.
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YOU WANT TOP DOLLAR FOR YOUR RESTAURANT! REALLY!
Oct 2, 2014
For those of you that know me, I'm a straight shooter type of guy. You'll always get the straight story from me. So here's a straight story. Being a restaurant broker has some wonderful highlights as well as lowlights. Most of the lowlights are surrounded by debates about the value of the restaurant particularly when the owner is skimming the cash.
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DECIDING TO SELL...IT'S A TOUGH DECISION...MAKE THE RIGHT ONE!
Oct 1, 2015
I talk to a lot of restaurant owners and it breaks my heart every time one calls me and tells me he or she is burnt-out and needs out of the business now but in their final analysis, the owner talks themselves into trying to turn the business around because they think they have what it takes, but they never do. So a couple years later I get the call. Their business has declined more and they need to sell now.
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SHOULD I HELP THE BUYER FINANCE A PORTION OF THE PURCHASE?
Mar 14, 2016
During tough money times, when banks aren't lending, or you don't keep good tax returns on your business that can justify getting a bank to lend, the numbers of buyers able to purchase your business are extremely limited to few unless you make the thoughtful decision to become the banker for a buyer. When one does become the bank, the number of buyers who are able to buy your business significantly increase.
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How To Win Customers In This New Media World
Sep 13, 2016
The internet has taken over all the marketing of your restaurant and bar. More and more people are relying on Yelp, Trip Advisor, Google+, Facebook and others to determine where to eat, sleep and go.
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SELF-SERVE BEER IS COMING! CONSIDER IT!
Oct 2, 2015
The restaurant business is tough enough to make money, but when the state is out to constantly pass laws to squeeze the restaurant owner's margins, the restaurant owner needs to use technology to remove cost. In California, where the minimum wage (now called the living wage), in the next few years is headed toward the $20 hour rate in many areas, restaurant owners are re-thinking how they can manage their bars.
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Selling Your Restaurant - An Exit Strategy Often Overlooked!
Jul 27, 2015
You've been operating your restaurant for years. You never thought you were going to sell it. But now its time to sell and suddenly you realize you never thought about one very important point related to selling...
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The $540,000 Seller Blunder! Your Broker is Your Partner!
Jun 11, 2015
Providing material information regarding your personal and business situation early during the listing process can make or break a deal. It isn't the time to be proud or withhold critical information; rather your broker is your partner in the transaction (afterall he's taking a percentage of your equity) so treat him or her as a wise business advisor.
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Size Matter - The Affordable Care Act and Employers!
May 19, 2015
The size and structure of a workforce whether that be small or large determines how the Affordable Care Act (ACA otherwise known as Obamacare) applies to employers....
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AN ASSET IS ONLY WORTH THE INCOME STREAM IT GENERATES!
Apr 8, 2015
As a restaurant broker for the past 11 years, the number of times I have heard a restaurant owner say "I put $500,000 into this restaurant and I want $500,000 in order to sell it!"
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FOODPORN GOOD FOR RESTAURANT SALES
Apr 8, 2015
I like to showcase my #foodporn activity on Instagram. Now you’re probably wondering what foodporn is? According to the Urban Dictionary, it is close-up images of juicy, delicious food in advertisements. Also “#foodporn” is one of the most frequently used hashtags on Instagram, the photo platform everyone uses to show off what they’re just about to eat. (bon appetit)
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OPEN LISTINGS DESTROY VALUE!
Feb 24, 2015
This morning I got a call from a lady trying to sell her small sandwich shop. She said she had signed a listing whereby she only pays a commission if the broker brings the buyer.
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HOW TO KEEP GOOD EMPLOYEES
Feb 27, 2015
The goal of any establishment is to have qualified trained employees who can help you run the operation successfully. It is important to have structure in your restaurant so that your employees aware of exactly what your vision is so that your goals are compatible and you are on the same page as to what needs to be done to run a successful restaurant.
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8 Things To Do To Help You Be a Successful Restaurant Owner
Feb 17, 2015
At some time or another, nearly everyone has this dream of taking their great recipes and opening a restaurant or food business. And there are plenty of examples of people like Debbie Fields who baked-up Mrs. Fields Cookies, At some time or another, nearly...
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DESIGNING A GOOD MENU
Feb 25, 2015
Your menu is the most powerful advertising tool you have and is a large part of how you communicate your restaurants image and creating a first impression with your customer.
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OPEN LISTINGS - A FORMULA FOR DISASTER!
Jan 14, 2015
Open listing sounds great, right? Well think again and answer these questions. Does the open listing broker have an incentive to do his deep research investing time and money into the owner's business to properly prepare it for market? Or does the exclusive right broker...
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SO YOU WANT TO FRANCHISE. HERE IS THE MOST IMPORTANT POINT!
Dec 29, 2014
So I was asked by Natalie Ramos "I was hoping you may be able to give me some advice on taking her brand national through franchising..."So I was asked by Natalie Ramos "I was hoping you may be able to give me some advice on taking her brand national through franchising..."
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NEW REVENUE STREAM FOR RESTAURANTS!
Dec 18, 2014
It seems that we're always hearing about the copy-cats and when someone says "oh, I have the "Uber idea" for the restaurant business" I yawn internally, my mind starts to drift and my eyes start to get distracted by objects around me. But not this time!It seems that we're always hearing about the copy-cats and when someone says "oh, I have the "Uber idea" for the restaurant business" I yawn internally, my mind starts to drift and my eyes start to get distracted by objects around me. But not this time!
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WHAT NOT TO DO WHEN CREATING A RESTAURANT!
Dec 8, 2014
As a restaurant broker for more than 10 years, part of my job is to assess the salability of a restaurant business. To do this I actually go to the restaurant several times to experience the food, service and atmosphere. And based on what I find, I give the restaurant a score that helps me value it.
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IT IS TIME TO RAISE MENU PRICES!
Nov 2, 2014
There is a change occurring in our economy now that opens the door to restaurant owners raising prices. Let's call it the perfect weather is coming. Chipolte recently increased prices for the first time in many years. And their same store sales where up 20% quarter over quarter after the price increase. What does that tell you about price increases! They don't scare away customers.
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SELL MY RESTAURANT OR BAR
Oct 23, 2014
As a broker, we're always asked, how fast can you sell my store? Of course, I smile with a grin and reply how reasonable are you going to be with your price? How good are your financials? How well have you run your business?As a broker, we're always asked, how fast can you sell my store? Of course, I smile with a grin and reply how reasonable are you going to be with your price? How good are your financials? How well have you run your business?
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THINK SOCIAL MEDIA DOESN'T MATTER WHEN SELLING YOUR RESTAURANT? THINK AGAIN!
Oct 12, 2014
I've been brokering restaurants for more than ten years. Prior to that I was a Chief Financial Officer for Universal, the entertainment company, and in particular I had the technology divisions under my watch. Those are the divisions that were suppose to be on the forefront of the digital age to make sure the internet didn't kill the music business...they failed!
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WHAT IS A RESTAURANT BROKER?
Sep 26, 2014
Any time I go to a social event, I'm often asked what do I do? So I tell them I'm a restaurant broker. Of course, the person asks what is that and I explain to them what I do. The person often responds "oh so you're a real estate agent!"
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SETTING UP AN S-CORP FOR YOUR NEW BUSINESS
Oct 3, 2014
There are a number of different forms to do business under, one of them being an S corporation which is the same as a regular C corporation but with special income tax treatment. Both an “S” corporation and a “C” corporation derive their names from the respective Internal Revenue Code (IRC) subchapters from which describes...
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SELLING YOUR RESTAURANT USING AN SBA LOAN
Aug 1, 2014
The value of an experienced Business Broker in handling an SBA transaction in the selling and buying of a restaurant is invaluable, and can make the difference betwwen getting the deal done and having it fail. There are few business brokers who have the experience to handle such transactions as SellingRestaurants does.
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YOU WANT HOW MUCH FOR YOUR RESTAURANT!
Apr 23, 2014
For those of you that know me, I'm a straight shooter type of guy. You'll always get the straight story from me. So here's a straight story. Being a restaurant broker has some wonderful highlights as well as lowlights. Most of the lowlights are surrounded by debates about the value of the restaurant particularly when the owner is skimming the cash.
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WHAT IS THE VALUE OF MY RESTAURANT?
Apr 3, 2014
The most common question I get as a restaurant broker is "How much is my restaurant worth?" Nearly every one is obsessive about knowing what things are worth, from their home, to their investments, to their car and to their business. But unlike all those other assets...
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WHY ONLINE CORPORATION FORMS ARE DANGEROUS
Apr 2, 2014
In law school my trust and estates professor told me, "You can buy a will at the 99 Cents Store, so you better be able to add value to that." Since then, many more forms have become less and less expensive and I am often asked to review documents of corporations and limited liability companies formed using various websites' fill-in-the-blank forms.
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GROW YOUR BUSINESS - DEVELOP AN EXIT STRATEGY!
Mar 24, 2014
A few years ago a large restaurant owner with 18 restaurants approached me to sell his whole restaurant chain. The problem was there were no brands inside his chain. There were 18 one-off restaurants. Trying to find an investor for such a business is impossible.
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PAY LESS TAXES, MAKE MORE MONEY!
Feb 3, 2014
Yes, it sounds counter-intuitive, right? Wrong! The other day I was talking to a client who used me to sell his restaurants, twice so far. This client is young, smart, aggressive and hard working. He’d work 90 hours+ a week at each venture creating new and exciting concepts.
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STARTING A BUSINESS - THINGS TO CONSIDER
Jul 3, 2013
There are a number of issues to consider when contemplating the opening a business, some of those being the type or form of business; the federal, state, and local government regulations to be aware of, and the type of accounting method to consider best for your new enterprise are just a few of the myriad of issues that you must deal with.
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OPEN LISTINGS - BAD IDEA!
Feb 3, 2012
"OPEN LISTING" It sounds great to a business owner who's listening to a broker say "hey, just sign here and there is no obligation unless we bring you a buyer..."
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WHEN TO SELL YOUR RESTAURANT OR BAR
Mar 1, 2013
All too often I see restaurant and business owners get crazy about getting "their money" back from the restaurant or business they've invested in. They get some crazy idea that someone is going to bail them out like the banks and auto manufacturers were bailed-out. Well it doesn't happen.
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WE PRIDE OURSELF ON BEING THOROUGH!!
Mar 8, 2013
Today I was at a followup listing appointment at a pizza place in Gilbert Arizona. The seller are two men, one young the other middle age. Good guys! They bought the pizza business from me earlier this year. It was a pure asset purchase, or another way to say it a cost avoidance purchase, the aviodence of the cost of building one from scratch.
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KNOW WHEN TO SELL YOUR RESTAURANT!
Jun 12, 2012
You've heard the cliché "buy low, sell high" but we rarely take heed of such a cliché. Instead and for whatever reason, we ignore the signs that our business is in a decline. And before we know it, we've destroyed huge amounts of value by waiting too long to see the signs.
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BETTER TO GET SOMETHING FOR YOUR BUSINESS
Mar 1, 2013
In the past 8 years we've sold more than 500 restaurants and we run across all sorts of restaurant owners who are in trouble with their business. If you are missing rent payments and you have vendors pounding on your doors, and missing payroll, it is probably already too late for you to try to sell. But if you sense you're on the edge and about to default on the rent and stop paying vendors or not make payroll, then be smart about selling.
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EXIT STRATEGIES FOR RESTAURANT INVESTORS
Sep 13, 2012
As a restaurant broker who has been selling restaurants since 2003, I meet and talk to hundreds of restaurant owners each year, read hundreds of leases, review hundreds of tax returns and financial statements and I can't tell you how rare it is to see a well thought through exit strategy putting the restaurant owner in the front seat when selling or getting out of their restaurant obligations.
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SELLINGRESTAURANTS - WE HELP OUR CLIENTS!
Dec 5, 2012
At SellingRestaurants, we pride ourselves on providing our client quality service. We thoroughly understand each of our clients needs and situation and we thoroughly understand their restaurant business....
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PREPARE YOUR RESTAURANT FOR AN INSPECTION
Dec 17, 2012
Today I'm reminded how critical it is to prepare your restaurant for a buyer's inspection. There are few things more critical during the early stages of a deal than making your restaurant shine and giving the buyer a great impression of what they are buying....
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WE'RE NOT SELLING A HOUSE HERE MARTHA! WE'RE SELLING YOUR RESTAURANT!
Jan 29, 2013
The other day, I closed a deal in Sacramento, a Mexican Restaurant called Mas Mexican Restaurant in Roseville, CA. The owner of the restaurant, Randy Paragary, was talking to me during the closing and said "Mel, you earned every penny of your commission.
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YOUR RESTAURANT CAN BLIND YOU
Feb 4, 2013
Have you ever been too close to a situation that required action and in hindsight you wish you would've done it different or you wish you would've made a completely different decision? I know I have and in those cases I wish I would of had a good adviser next to me, and adviser with the experience and wisdom to help me through the situation.
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RESTAURANT OWNER'S GAMBLER'S MENTALITY
Mar 1, 2013
As a retaurant broker I often get the honor of flying at 50,000 feet giving me a great view of the landscape and the nuances of the restaurant business. And over the years I've noticed restaurant owners and gamblers have a lot in common.
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GREAT CHEFS EVEN FAIL!
Mar 1, 2013
Today my family and I ate at a wonderful Eygptian restaurant that makes the BEST hummus I know. And the chef follows it with fantastic food as well. But despite the great food and service, the owner is struggling and needs to sell the restaurant. I'm telling you the food is out of this world...
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HIGHEST GROSSING RESTAURANTS IN THE U.S.
Mar 1, 2013
If you're in the restaurant business than you'll fall on your face to think of a restaurant gross $59 million a year...
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WATCH THAT LEASE PLAN AN EXIT STRATEGY
Mar 1, 2013
Setting yourself up for an exit strategy when you sell your business is paramount whenever entering into a new lease. But don't think that the other broker, who really represents the landlord, is going to design a lease with a good exit strategy. So you need to take care of yourself, or give us a call to help you.
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USE SELLINGRESTAURANTS.COM TO SELL YOUR BUSINESS?
Mar 1, 2013
As a broker, I have we have a fiduciary responsibility to put your business in the best possible light and get you the highest possible price for your restaurant business. We take this duty serious. Most of the time we're right with commanding a higher price for your restaurant business and sometimes we're not.
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DEFECTIVE SERVICE VOIDS LANDLORD'S FIVE DAY NOTICE IN CALIFORNIA
Jul 28, 2010
Attorneys routinely advise landlords and property managers that a defect in the service of a statutory Notice to Pay Rent or Quit is cured by establishing that the tenant actually received the Notice. This has been the rule since the first of a series of cases was decided in 1962. This line of court cases is also widely referenced in most leading treatises for the general proposition that proof that a tenant received actual notice will cure defective service. On June 14, 2010, a Court of Appeal in Southern California limited the application of this general rule.
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RESTAURANT MARKETING FOR THE HOLIDAYS!
Nov 30, 2014
Make your customers feel extra special by getting into the holiday spirit with your restaurant and employees. Here are holiday restaurant marketing tips on how you can connect with different customers that enjoys dining out!
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New Landlord Accessibility Disclosure Laws
Feb 14, 2013
Beginning July 1, 2013, California Civil Code Section 1938 will require every commercial property landlord to state in its leases whether or not the property has been inspected by a Certified Access Specialist (CASp). The statute will apply to every commercial lease...
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YOU TIRED. THEN SELL YOUR RESTAURANT NOW!
Aug 21, 2012
In the past 8 years we've sold more than 500 restaurants and we run across all sorts of restaurant owners who are in trouble with their business. If you are missing rent payments and you have vendors pounding on your doors, and missing payroll, it is probably already too late for you to try to sell.
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DEFER YOUR RESTAURANT SALE GAINS
May 9, 2008
Business sellers, real estate or other property* can now perfect a cash sale while enjoying tax-deferred advantages of an installment sale, but without the financial risk of unsecured payments! Whatever the reason, retirement, starting a new business, staying on with the new owner under an employment contract or selling real estate, the Structured Sale is for many, the best alternative to paying a huge sale year tax bill...
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SECURING A SELLER NOTE
Aug 24, 2008
The financial markets are facing some of the most challenging times never seen before in generations, making buying a business a tougher proposition than just 18 months ago. During these times, lenders go to the extreme, as though their parent had just scolded them, and hunt for any possible reason to decline business purchase loans.
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IS RESTAURANT BUYING SEASONAL?
Aug 22, 2008
I'm often asked if there is seasonality to the buying and selling of restaurants. The answer always surprises many people...
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QUALIFY A BUYER BEFORE GETTING INTO CONTRACT!
May 23, 2008
Qualifying a business buyer is key to successfully closing a deal. There are several variables at play when trying to qualify a business buyer and is nothing like trying to qualify a person to purchase a home.
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