Your 5-Step Guide to Selling a Fast Food Restaurant

Updated September 2024

From drive-thru restaurants, such as McDonald’s, Burger King, KFC, and Taco Bell, to independently run eateries, Americans have formed a strong relationship with fast food establishments over the last several decades. With hundreds of thousands of restaurants in operation and counting, the industry has generated billions of dollars in revenue. If you’re thinking about selling a fast food restaurant, it may be the perfect time to cash into this growing market.

5 Tips for Listing a Fast Food Restaurant for Sale

In an industry with steady growth, fast food restaurants all across North America are seen as an attractive investment. So, whether you’re selling a franchise or an independent restaurant, you’ll likely find that buyers are eager to invest. To help ensure serious offers and a profitable exit, follow these essential steps.

1. Develop an Exit Strategy

As you prepare to leave your business, you need to have a well-thought-out exit strategy. Exit strategies can help you stay on track and ensure you’re not missing any crucial steps during the process. Consider the following when making your exit plan:

• When do you plan on officially leaving?
• Who are your potential buyers?
• Will the new small business owner keep current crew members or employ new hires?
• How will the ownership transfer take place?

2. Organize Your Books and Financials

Next, you’re ready to start prepping your paperwork for the parties interested in buying a fast food restaurant. Anticipate serious buyers reviewing anything from cash flow records and tax statements to start-up costs and anything else that will help them validate their potential investment. If you need any assistance getting these documents ready, consider reaching out to a professional lawyer or an accountant.

3. Improve and Get Your Restaurant Ready

Before listing your fast food restaurant on the market, take time to ensure your establishment and operations are in a suitable selling condition and seen by buyers as an attractive investment. To do so, make sure the building and dining room don’t require any cosmetic repairs and that they’re free from internal and external damage. Additionally, take a deeper look into your restaurant’s business model and take a look at any potential opportunities that were missed out on previously. For example, you may want to look into:

• Expanding your restaurant’s social media presence
• Responding to online reviews
• Partnering with delivery and take-out services, such as DoorDash, Uber Eats, or Grubhub

4. Determine Your Restaurant’s Real Value

As a business owner, it’s relatively normal to have some bias while formulating your asking price. Emotional attachments formed over the years can get in the way of making explicit and precise calculations. To alleviate some of the uncertainty during this step, consider hiring a professional to do the work. A business broker or accountant can determine the true value of your food business and help you negotiate fair pricing.

5. List Your Fast Food Restaurant for Sale

Once the above steps are accounted for, you’ll be ready to list your fast food business for sale. While many restaurant owners list businesses on the market themselves, it sometimes proves more beneficial to enlist the help of a broker. Hiring a third party allows you to manage your day-to-day restaurant operations while your broker takes care of finding qualified buyers.

For expert guidance and help selling your fast-food chain or restaurant franchise business, consider connecting with the professionals at Sunbelt Business Brokers. Our large-scale professional network can connect you with a pool of qualified buyers interested in your restaurant. To get started, find your local Sunbelt Business Broker office today!