BizBen.com
500 New & Refreshed Posts, Postings Daily
Over 8,000 Postings & 2,500 Resources
Assisting Buyers & Sellers Over 25 Years!

Categories

Good Management Beats A Good Location When Buying A Restaurant

People who know me know my opinion about what it takes to be successful in the restaurant business- and it's not just a good location.  What makes a difference time and time again is the difference in management.  Good management is the key to success.  Every time you hear its Location Location Location, I say it's Execution Execution Execution!

Look over my list of "done deals" over the past 23 years and you will notice that many are no longer in business.


Some have been sold as many as four times.  But eventually, with good management, the same location that was once a loser has been turned into a winner by good management.

Nowhere is this truer than with the Charley Brown's chain.  These restaurants flourished for many years but are now all gone in the Bay area. There are many reasons for their demise, but location is not one of them.  Their locations were always terrific and are still terrific even though Charley Brown's is no longer in business in the San Francisco Bay area.

The best location is the right location.  You have to take into account the characteristics of the concept and match them up to the characteristics of the location. Different concepts have different location needs and different affordability.

When I'm trying to help someone find a site, buy a restaurant for sale, or sell their restaurant, I try to use all of my experience in the restaurant business so that the right decisions are made.  The same location can be absolutely perfect for one concept and absolutely wrong for another concept.

I have had many of my clients for 10 to 15 years or more.  These long term relationships mean a lot to me and I am rewarded with a good deal of inside information that I can use to help them and others make the right real estate decisions.

The restaurant business is difficult to say the least. But it is an exciting business, and an ever changing business.  And, it can be a very profitable business.

Categories: BizBen Blog Contributor, Buying A Business, How To Buy A Business

Contributor:

Jeff Back
Areas Served: SF Bay Area, North Bay, Central Valley
Phone:  925-736-8200 Cell, 925-736-8200 Text
J. Back & Associates Restaurant Real Estate was founded in 1988 as the first SF Bay Area firm to specialize exclusively in restaurants. I am the past President of Charley Browns restaurants & have been involved in the restaurant business for over 35 years. Call 925-736-8200.

Comments & Feedback From Pro Intermediaries & Pro Advisors On BizBen:

Posted By: Joe Ranieri, Business Broker: LA, Orange Counties, California    

I think it's also true that an owner/operator must also have a love of people or at least good customer service skills. I have had clients where I have steered them away from certain businesses, because I knew it would not be a good match.

I had a client who was interested in a dance clothing store near the coast, but later changed her mind and wanted a bar/dance hall about an hour and thirty minutes inland. I told the client that I felt it would not be a good match for her, even though I probably could have sold it to her, and made a higher commission, but it breaks my heart to have to relist something six months after a client buys something (at a 40-50K loss, because of insufficient books).

Bars, liquor stores, restaurants, and coffee shops really demand that the owner really enjoy being there and connect with the customers, because the temperament of the owner sets the mood for all other management and employees underneath.






Place A Posting To Sell Or Buy A Business, Search All Postings


Sell A Business Fast: Place A For Sale Posting Now To Sell A Small Business - 7 Programs To Select From >
Find A Business To Buy Fast: Place A Wanted To Buy Posting Today - Best Way To Find & Buy A Business >
Search Business For Sale & Wanted To Buy Postings On BizBen - 500 New & Refreshed Postings Daily! >

Other Related Blog Posts, Articles, And Discussions You May Be Interested In

8 Tasks To Help Sell Your Contractor Business 8 Tasks To Help Sell Your Construction Or Contractor Business: New Blog Post

Construction & contractor businesses can be difficult to sell. Licensing requirements, technical experience & owner reliance often create obstacles to getting a deal done. Here are 8 things potential sellers can do before putting your business on the market. Brian Loring explains in this blog post.
6 Untruths Told To Business Buyers 6 Possible Untruths Told To Business Buyers When Buying A Small Businesss

Even without meaning to be dishonest, sellers or brokers talking to someone who wants to buy a small business often make statements that are not true. And sometimes what is said is known to be a lie. The buyer is smart to carefully evaluate what they hear - six untrue statements sometimes told.
8 Questions To Sellers 8 Questions You Most Likely Will Be Asked When Selling Your Small Business

When selling your small business, you'll be bombarded with questions - from the brilliant to the ridiculous. You need to be prepared. Here are some of the key questions you can expect to be asked. Tim Cunha (SF Bay Area Business Broker) reviews many of these possible questions from potential buyers.
Business Buyers Biggest Mistakes What Are Buyers Biggest Mistakes? The Pro's Examine 25 Of The Most Common

A business buyer in our ProBuy Program searching to buy a small business asked me to sum up what I thought the biggest mistakes business buyers make when they search for and bought a small business. I asked ProIntermediaries on BizBen their thoughts on the matter and received a diverse response.
Buying Or Starting Up Pop Up Restaurants Pop-Up Restaurants: Pro Tips For Starting Or Buying One: Broker Shares Info

For starters, a pop-up restaurant is a short-lived dining experience in a temporary location, most found in abandoned factories or warehouses, rooftops, barns, or an already existing restaurant location, so basically anywhere done legally and safely. Joe Ranieri, Business Broker shares his tips.
Taking Back Up Offers Important Back-Up Offers: Crucial When Buying Or Selling A Small To Mid-Sized Business

An often overlooked aspect of selling (or buying) a small business is taking back-up offers during the entire process of selling (or buying) a business. Most sellers (or buyers) don't realize that over fifty percent of all deals/contracts fall out escrow or contract for one reason or another.
Coin Card Laundry Business Valuations What Top Key Factors Contribute To Coin & Card Laundry Business Valuations?

We are finding that many laundry buyers and investors are not being given true light to selected elements of value or there are inconsistencies in the interpretation of these elements of value. This common error needs to be addressed. In this BizBen Discussion we address many of those factors.
Buying An Absentee Small Business The Pros And Cons Of Buying An Absentee Run Small Business In California

Peter Siegel, MBA - BizBen Founder discusses the difference between a hands on owner and an absentee owner. It covers why someone would want to be an absentee owner and then goes on to discuss the pros and cons of buying an absentee run small business in the California marketplace.
Keeping A Business Sale Confidential Why Is A Small Business Sale Kept Confidential? Advisors Discuss This Topic

Recently a business owner asked me on the phone, "Why do you keep the sale of a business confidential? How do you keep the sale confidential - any good tips?" Multiple Advisors weigh in on this subject. What would be your answer to this business owner? ProIntermediaries on BizBen discuss this topic.
Latest Business Broker Survey 6 Successful Traits Of Top California Business Brokers: New BizBen Survey

The latest BizBen.com survey of California Business Brokers and Agents outlined what it takes to be a top ten percent performer in the business brokerage industry. From good communication to utilizing your resources, these traits are something to take note of and put into practice to be successful.