Dominique Maddox of the EATS Broker Leases Fayetteville Space
Dominique Maddox of the EATS Broker leases vacant space. Mr. Everything Café will be opening in Banks Crossing Shopping Center in Fayetteville, GA. EATS Broker represented the franchisee during the transaction.
Mr. Everything Cafe has been serving great food since 1993, starting in the West End Atlanta Community. Mr. Everything Cafe has received national recognition with its recent appearance on the Today Show on 11/26/2019 featuring small businesses around the nation. Mr. Everything Café was chosen over thousands of restaurants to be featured on the show.
Mr. Everything is an innovative yet simple concept that focuses on Healthy Choice Rice dishes, subs and sandwiches, and low carb salads.
Dominique Maddox Founder and President of EATS Broker says, “this was a very difficult deal because we started negotiating before Covid-19 pandemic. The national shutdown delayed the closing and the landlord required various supporting financial documentation. Dominique believes tenants asking for Tenant Improvement (TI) for leases will be required to put much more money down as a security deposit than in the past.
The new Mr. Everything Café franchisee has worked in the Healthcare Industry for the past 15 years. She decided Fayetteville was the ideal city to open a Mr. Everything Café because Fayetteville ranks high in Most Diverse Suburbs in Georgia, and Most Diverse Places to Live in Georgia. This population mix has been the foundation of the success of Mr. Everything Café.
Mr. Everything has beginning franchising its brand. They currently have the 1st franchise location opened in Greenbriar Mall, 2nd location is located in Decatur, Fayetteville will be the 3rd franchise. Overall the franchise has 5 operating restaurants. Location should be open by September 2020.
For more information on the restaurant market and other available consulting services or restaurant valuations, contact Dominique Maddox at 404-993-4448 or by email at sales@eatsbroker.com. Visit our website at www.EATSbroker.com
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Commercial Lease is it an Asset or Liability?
Your current commercial lease is it an Asset or Liability? Most Restaurant Owners find a restaurant for lease and sign a commercial lease before they open their restaurant unless they are buying the building. The sad truth is that a large number of restaurant owners never really read the lease they signed, don’t understand the lease, can’t find the lease, and have no clue about the effect the lease has on their chances of selling in the future.
Restaurant Owners across the nation have to decide if they should reopen and operate, close the doors for good, or try to sell. Restaurant Valuations are not only about sales and profits, but a big factor is also if the lease is an Asset or Liability.
Dominique Maddox Founder and President of EATS Broker says, “ My biggest headaches and heart burns have been with the lease approval or language in the lease, this affects how marketable a restaurant is to another buyer.” One of the biggest secrets in Commercial Real Estate is that the landlord is not your companion and the lease is written to benefit the landlord.
EATS Broker provides lease negotiations consulting to clients. Find some of the keys points we found in a recent lease we reviewed for a potential seller that was in the process of renewing the lease.
- Radius-In the event that during the Lease Term either Tenant, or Tenant’s management, or any person or entity controlled by Tenant, or controlling tenant, or controlled by the same person or entity or persons entities who control Tenant, directly or indirectly, owns, operates, is employed in, directs or serve any other place of business, which is (i) the same, or similar to, or competitive with, Tenant’s business as set forth herein, (ii) with a radius of five (5) mile from the outside boundary of the shopping center.
EATS Restaurant Brokers recommendation: Change the radius to 1 mile, this will allow you to open another restaurant in the future within 2-5 miles from your current location.
- Assignment or Subletting-Tenant shall pay an “Assignment Administrative Fee” of $5,000 and shall not have to reimburse the Landlord for all out-of-pocket expenses.
EATS Restaurant Brokers recommendation: Reduce fee to $1,000 because if you have a buyer for your location you would have to pay the landlord $5,000 for a lease assignment when 75%-80% of landlords do lease assignments for free
- Relocation of the Demised Premises- If Landlord determines that it is necessary or desirable that Tenant vacate the Demised Premises or that the Demised Premises be altered, Landlord may require that Tenant surrender possessions of the Demised Premises to the landlord, in its sole and absolute discretion.
EATS Restaurant Brokers recommendation- Language needs to be removed from the lease. The landlord has the option to uproot you and relocate you without your permission.
- Exclusive use: Landlord will not lease space in the Shopping Center to a tenant (herein “Competing Use”) whose primary use shall be the sale of fresh-squeezed juices and smoothies(herein “Competing Use”). For purposes of this provision, use is primary when more than fifty percent (50%) of such tenant’s Gross Sales are derived from the Competing Use.
EATS Restaurant Brokers recommendation: Your current lease does not protect you from another concept opening up in the same shopping center with gross sales of up to 49% for Fresh squeezed juices and smoothies. Request exclusive on Fresh squeezed juices and smoothies or other businesses cannot have more than 10% of the tenant’s gross sales.
For more information on the restaurant market and other available consulting services or restaurant valuations, contact Dominique Maddox at 404-993-4448 or by email at sales@eatsbroker.com. Visit our website at www.EATSbroker.com
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Issues for Business Brokers after Covid-19
EATS Broker attended the Georgia Association of Business Brokers (GABB) Spring Conference last month. The conference was to educated Business Brokers about the issues for Business Brokers conducting sales transactions after Covid-19 depending on if they represent the buyer, seller, or both.
The biggest take-away for EATS Restaurant Brokers was the different issues a Seller’s Brokers should be concerned about vs issues a Buyer’s Brokers would be concerned about.
Dominique Maddox Founder and Restaurant Broker for EATS Restaurant Brokers says, “ over my 8 years of being a Restaurant Broker I have seen a range of issues that affect deals. The majority of my deals I work in a Dual-Agency capacity, this experience has helped me understand both Seller and Buyer Broker needs and wants”.
Working with a trained professional Business Broker or Restaurant Broker can make all the difference of a deal getting closed or terminated. EATS Restaurant Brokers list some issues for Seller’s Broker vs Buyer’s Broker.
Issues for Seller’s Broker:
- Terms of lease-including option years
- What assets are attached to the building
- Security deposit to Landlord
- Security interest to Landlord
- Lease-asset or liability
- What lease exist
- Personal guarantee
- Assignment prohibition
- Franchise issues
Issues for Buyer’s Broker:
- Value of lease to a business
- Insurance Requirements
- Terms of lease-including option years
- What assets are attached to the building
- Security deposit to Landlord
- After-sale liability
- Lease-asset or liability
- What leases exist including amendments
- Personal guarantee
- Assignment prohibition
- Assignment Fee
- SBA lease requirements
- Franchise issues
- Landlord approval requirements
Let us show you how Restaurant Brokerage is done with flavor!
For more information on the restaurant market and other available consulting services or restaurant valuations, contact Dominique Maddox at 404-993-4448 or by email at sales@eatsbroker.com. Visit our website at www.EATSbroker.com
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Dominique Maddox of EATS Broker Sells CANS Taqueria
Dominique Maddox of EATS Broker Sells CANS Taqueria located at 12635 Crabapple Rd. Milton, GA 30004
Dominique Maddox of EATS Restaurant Brokers Sells CANS Taqueria located at 12635 Crabapple Rd. Milton, GA 30004. EATS Broker represented buyer and seller. The buyer’s family owns the following successful restaurants in Alpharetta, Southern Porch, Mercantile Social, and Flatlands Bourbon and Bayou.
CANS Taqueria has been established since 2011, buyer plans to bring some exciting changes to the drink menu, food quality, and create a fun family environment. Plans now are to have CANS back open by mid- July.
Dominique Maddox is the founder and President of EATS Broker and www.eatsbroker.com, a business brokerage firm specializing exclusively in restaurant franchise resales, restaurants for sale, bars and nightclubs. After working with one of the nation’s largest restaurant brokerage firms for seven years, Dominique decided it was time to bring a new flavor to the Restaurant Brokerage Industry and founded EATS Broker.
Dominique Maddox has been selling restaurants since 2010 and has undergone intensive training in the Restaurant Brokerage Industry. Dominique attended Morehouse College on a football scholarship, he brings that same competitive spirit and energy to the field of restaurant brokerage.
EATS Broker are Restaurant Resale Specialists that can guide you thru the complex process of buying or selling a restaurant. EATS Broker is a full-service Real Estate Business Brokerage practice focused on the restaurant industry. Our company specializes in selling Restaurant Franchise Re-sales and Restaurant Sales. We also help clients with Restaurant real estate site selection, Tenant Representation, Franchise Consulting, and Business Price Evaluation.
We exclusively sell restaurants, bars and nightclubs. We are happy to answer any questions about restaurant pricing and valuations, exit strategies, bank financing or any other subjects related to the purchase or sale of a restaurant.
Let us show you how Restaurant Brokerage is done with flavor!
Contact Dominique Maddox 404-993-4448 or sales@eatsbroker.com
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