Confidentiality
Confidentiality and Privacy in Selling a Restaurant
Maintaining privacy in selling a restaurant is very important to every seller. Unfortunately many brokers are unaware of the process of how to maintain confidentiality. Many are also unaware of the damage public awareness can create. When customers learn that a restaurant is for sale they immediately believe there is a problem and think twice before making another reservation. Public awareness severely cuts the demand for celebratory and holiday parties. Even more damage can be done when employees become aware that their restaurant is up for sale. You run the risk of losing your key employees and overall staff moral is compromised. If you, as an owner, are attempting to sell your own restaurant, the process alone reveals that the business is up for sale. When the word gets out that a restaurant is up for sale there is a risk of losing your staff and customers. Privacy in selling a restaurant is vital to the ongoing operation.
As your broker, I and my associates take privacy very seriously. All potential buyers are carefully screened and they must first sign a Confidentiality Agreement before they are provided with the name or location of a restaurant that is for sale. This process also separates the “lookers” from the serious buyers. Many local realtors are unaware of this concern and do not know the process of how to market a restaurant business discretely.
Chefs
If you are a chef looking to open your own place, privacy and confidentiality are also extremely important to you. Maintaining confidentiality of your personal interest to investigate the many restaurants that are for sale is critical to preservingyour existing employment relationship. Most real estate agents who are not business brokers are not aware of this very important system of conducting business.