The Buying Process - Restaurants and Businesses For Sale
WA Brokers specializes in selling restaurants, bars, clubs and related food and beverage businesses. In association with SellingRestaurants we've provided brokerage and valuation services for the restaurant industry for over 16 years. We have the experience, expertise and objectivity to answer restaurant buying questions. We match your needs, interest, and financial capabilities to the right business listing. One of our axioms is "we don't want to sell you something you don't want!" Our services are free to buyers, but we represent sellers and our agency relationship is with the seller. To get the most from our website and services, please register and login with us.
12 Steps to Buying a Business through WABrokers
- As WA Brokers is honest and professional in selling restaurants, bars and clubs, we ask buyers to be equally honest and professional throughout the buying process.
- You must sign WA Brokers on-line Confidentiality Agreement and Disclaimer prior to receiving business information. This is done at the convenience of your computer, no paper or faxing required. All proprietary business information must be kept confidential, including the business name and address. Before a purchase agreement is drafted, the Buyer should not discuss the business sale anyone who is not bound by the confidential agreement, particularly the owner, employees, or customers.
- You agree to visit the restaurant, bar or club and not reveal you're a Buyer to anyone at the business.
- You agree to provide accurate information about yourself, such as contact information, experience background, types of businesses desired, geographic regions desired, and financial information.
- WA Brokers will provide a selling package on businesses you're interested in.
- WA Brokers schedules a phone conversation or on-site meeting with the Seller, giving you the chance to ask questions about how the business operates and to discuss your qualifications with the Seller.
- You agree not to discuss price and terms with the Seller.
- Once satisfied, you make an offer with contingencies to purchase along with a good faith deposit. The most common contingencies are:
- Financial due diligence and verification.
- Transferring of existing lease or negotiating a new lease.
- Financing, if required.
- Inspection of the fixtures and equipment.
- Transfer of Alcohol License, if any.
- Approval of Seller's Disclosure Statement.
You can have your attorney draft the purchase agreement or WA Brokers can draft the purchase agreement on a WA Brokers exclusive purchase and sale agreement.
- The offer is presented to the Seller and the Seller rejects, accepts or counters it.
- Escrow is opened and the contingencies to purchase are diligently addressed by the Buyer and Seller. WA Brokers manages the escrow process and assist the Seller, and on behalf of the interest of our Seller, we help the Buyer meet all the closing requirements to complete the purchase.
- Due diligence is completed and contingencies to purchase are removed. This includes a search for any UCC and tax liens as well as the creditor clearance process.
- Signing of the escrow/closing documents occurs just prior to closing. At this time the balance of the purchase price plus inventory and closing costs is deposited into escrow. The two parties sign escrow documents. Inventory is counted the night before closing. And the deal closes!
Don't Forget to ask the WA Brokers agent for the "Important Points about Buying a Restaurant" and "The Law of Real Estate Agency" brochures.