When is the Best Time to Put Your Restaurant Up For Sale?

10.20.22 | Selling

After putting countless hours of work and emotion into your restaurant, the best time to sell will always be when you’re ready to. That being said, there are certain seasonal elements that can have an impact on your sale. 

Restaurant real estate is nuanced. Beyond broader commercial market trends and economic factors, choosing the right time to sell your restaurant involves unique logistical considerations that can vary business by business. 

If you’re looking to sell your restaurant in the near future, here’s everything you need to know about choosing when to list. 

The Lowdown on Restaurant Real Estate 

Selling a restaurant is no small task. As a commercial entity, there’s a lot more that goes into a restaurant sale compared to a residential transaction. Before you start preparing for the market, you’ll want to find professional expertise. 

Restaurant brokers are commercial real estate agents who specialize in the food and beverage industry. Not only do they know the unique sales process inside and out, but they also understand first-hand how restaurants operate. For sellers, a restaurant broker’s knowledge of the industry is invaluable. 

In addition to guiding you through the sale process step by step, they can ensure you get the best possible return on your restaurant regardless of when you sell. 


Need more information about selling a restaurant in Ontario? Explore these blog posts. 


Industry Seasonality

Being a specialized market, restaurant real estate follows its own unique trends and dynamics. If you’re looking to sell in the near future, it’s important to know when the market is most active. Let’s get into it. 

From a seasonal perspective, the best time to sell a restaurant is usually the new year. More specifically, January through April. This is when the market is most active with buyers. As a seller, choosing to list in Q1 means having a larger pool of qualified buyers to appeal to. 

There are a number of reasons why the start of the year is busiest, but in most cases, it boils down to buyer motivations. For many first-time buyers and entrepreneurs, the new year marks the chance to finally pursue their business goals. For seasoned industry veterans and restaurant owners looking to expand, the end-of-year holiday season provides the chance to get organized and prepared for making moves in January. 

Selling in Q1 has undeniable advantages. That being said, if you want to have your restaurant ready for the optimal market window, you’ll need to prepare well in advance. After hiring a restaurant broker, making repairs, preparing documents, getting inspections done, and creating marketing materials it could be a few weeks to even a few months before you’re ready for the market. 


Want to get the strongest possible return on the sale of your restaurant? Check out these helpful resources on our blog. 


Regional Factors

While Q1 is the busiest season for restaurant real estate, depending on certain regional factors, it’s not always the most optimal time for some owners to sell. Restaurants typically see the highest customer volume during the fall. However, there are some micro-markets where this isn’t the case. 

In Ontario’s tourist hubs, most businesses see peak season during the summer months. In these regions, industry-savvy buyers may enter the market early to buy a restaurant in time for next year’s tourist season. 

Thinking about selling your restaurant? Click here to learn how you can get a free no-obligation market evaluation of your business. 

Business Health 

In some cases, the “right” time to sell your business isn’t found on the calendar. Rather, getting the best possible return for your restaurant involves selling when the value of the business is the highest. Of course, there are a lot of factors that can impact the market value of your restaurant, including seasonal elements. However, one of the primary factors that buyers will consider is your restaurant’s past and present performance, along with future projections. When your restaurant is at its most successful, potential buyers will be most interested. 

Given their unique industry expertise, your restaurant broker can help you be ready for this process. They have a complete understanding of what buyers are looking for, and the knowledge and know-how to ensure you have everything they need. Your broker will help you prepare and present recent income statements, balance sheets, statements of cash flows and a prospectus overview of your restaurant that highlights essential information. 

READY TO SELL YOUR RESTAURANT WITH TRUSTED INDUSTRY EXPERTS? LET’S GET STARTED. CLICK HERE TO CALL US.