Free Small Business Valustion Services
Get a Free Businness Valuation Consultation now! Free Business Valuation Calculator
Popular Biz Valuation Formulas:
All Categories

Site Directory



  Bookmark and Share

Restaurant Business Valuation Formula:

Pricing Restaurant Business: This is a general business valuation formula or pricing method for existing Restaurant businesses based on a percentage of annual gross revenues or sales that can be used to help determine an approximate value and asking price to market an established restaurant for sale.

Restaurants (General): Approximately 30 to 40% of annual gross sales + inventory.

Broker Comments: In general valuing and pricing a restaurant for sale can depend on a wide variety of factors and metrics including years established, location, lease terms, management, alcohol sales, and more. Because it’s a very competitive industry with high start-up costs and a well documented high failure rate, (60 % or more fail in the first 3 years) Its been my experience that finding qualified buyer for established restaurants can very challenging indeed. In many major metro markets restaurant sales are often handled by business brokers who are specialists in that particular field.

Need a business valuation or appraisal report for legal, personal, or selling purposes? Request a free & confidential preliminary business valuation consultation about your established restaurant business here.