Valuation of restaurant businesses

Before any operation of sale or acquisition of a restaurant business, it must be estimated. Despite some specificities, a restaurant is valued like any other business. The main methods of valuation are the following: method by comparison, method by value of return, and the patrimonial method.

In order to know and justify the results of the company, it is necessary to analyze the last three balance sheets of the restaurant. The negotiation price of a restaurant can vary from simple to double if we negotiate on the basis of a multiple of the turnover according to its location, the number of people that the premises can accommodate, the presence of a terrace, or if the restaurant has a license IV. In addition to the classic criteria, there are all these elements to take into account in the valuation of a restaurant business.

If you wish to have your restaurant business evaluated, do not hesitate to contact one of our experts: contact a XVAL consultant.