When to sell a restaurant? 8 reasons why that start with D!

Texas Restaurant Broker

When to sell a restaurant is a difficult decision for most restaurant owners. Interesting fact that the reason a restaurant owner wants to sell a restaurant usually will start with the letter D! Buyers are always curious about why a restaurant owner wants to sell a restaurant?


The Dallas Restaurant Broker at EATS Broker explains the most common reasons to sell a restaurant. There 8 reasons to sell a restaurant:


1. Debt– A restaurant owner has multiple forms of debt. All these forms of debt can affect a restaurant owner mentally and physically. One of the biggest concerns of a restaurant owner is to avoid bankruptcy and sell a restaurant for a profit.


-Landlord Debt

-Bank loan Debt

-Vendor Debt

-EIDL Loan Debt

-PPP Loan Debt

-UCC lien


2. Disability- There are many types of disabilities, such as intellectual, physical, sensory, and mental illnesses.


3. Divorce- Restaurant ownership’s demanding physical and financial requirements can break up a happy home and lead to divorce. Many restaurants depend on an owner/operator to be present to be successful. 


It’s common for a restaurant owner to work 50-60 hours a week and work on the holidays. The life of a restaurant owner requires sacrifices from the family and owner.


4. Death- Everybody deals with recovering from death differently. The thought of restaurant ownership after death could seem impossible.      


5. Disinterest– It’s easy to get disinterested in a restaurant that is unsuccessful or doesn’t live up to the restaurant owner’s dreams. 


6. Declining Sales- This is one of the biggest reasons for selling a restaurant business. Inflation is at an all-time high, labor costs are exploding, and rents keep increasing. 


7. Dissension among owners-Once partnerships start to be unproductive, and the relationship between parties starts to crumble, it’s time to sell your restaurant.


8. Disaster- The pandemic is a good example of a disaster that happens and changes everything.


**Delivery of a child would be another good reason for selling a restaurant business**


To learn more about EATS Broker consulting services or receive a complimentary restaurant valuation, contact Restaurant Resale Specialist Dominique Maddox at 404-993-4448 or email at [email protected]. Visit our website at www.EATSbroker.com.