A seasoned restaurateur just opened a new restaurant, unfortunately it’s a disaster, Why?

The premises: This fellow has opened several restaurants in the Los Angeles area. His last operation was in business for more than 30 years and very successful it closed for following reasons:

Lease was coming to an end, the landlord as usual was very greedy and came up with  an imposible lease. The health department closed the place for vermin infection [not a very good medal to add to the restaurateur’s blazon.]

Although a very knowledgable restaurateur he made the same mistakes as a newbie will do. Continue reading

The Ten Commandments to Purchase an Existing Restaurant

I recommend chicken soup

I recommend chicken soup

Is this a good business? Follow those ten rules by which you have to abide with to find out.

The 10 Commandments:

Commandment #1 – Purchase the Past, Assume The Present, Buy For The Future!

  • The past financials help determine the purchase price but, they will give you a guarantee of the future income.
  • The future is up to you. You must evaluate the business for what you will be able to do with it.

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