Locating restaurants for sale in Minnesota isn’t difficult. From the small rural diners to exotic gourmet venues, you won’t find a better state for variety. However, in Minnesota, restaurants for sale in the right area and at the right price is only the start of your adventure. Here are 3 more things to look for when considering purchasing a restaurant.
1. Why Are They Selling?
You will need to do more than just ask. If you are not a financial guru, make sure to hire someone who is to look over their financial records. Sometimes, unscrupulous owners looking to pawn off a bad property may make things sound, or look, better than they are. Find out if there are any pending legal issues or health code violations that might transfer with the sale and what assets belong to the company.
2. Is the Seller Going to Be Your New Competitor?
Your seller is selling for a reason. Make sure they are not opening a restaurant down the street. Having them sign a non-compete agreement can be an effective way of protecting your new investment.
3. What Shape Are the Assets In?
Take a close look at the restaurant’s assets. If you are only planning on financing the business and don’t know much about equipment, make sure you bring along someone who does. Ask questions, point out problems. If the building or its assets are on lease make sure to contact the leasing agents to ask about transferability. Rundown or non-transferring equipment will have a significant impact on the sale price and viability of your future business.
Finding restaurants for sale in Minnesota is the easy part. Make sure that you take into consideration more than just the venue and never take anything on the seller’s good word. Having experts by your side to help you recognize when you are being given the runaround can help you avoid costly mistakes.