26 Oct Buy & Sell a restaurant, business, bar or cafe in Ukraine. Pros & Cons
Buying a restaurant has been gaining popularity in recent years. While some restaurateurs are selling their restaurant business, others are actively looking for opportunities to invest in promising projects. Also, many restaurateurs in pursuit of a good location often consider buying an existing restaurant in order to further develop a working concept or rebrand and open a new gastronomic cafe.
How do novice restaurateurs or entrepreneurs look at such transactions? What can be the nuances, pros and cons?
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Hotel & Restaurant Experts in Ukraine
Hello dear reader, let’s get to know each other first. We are 👉 Proriat Hospitality Partners – investment management company in the hotel and restaurant industry. In this article, we would like to reveal and share a few subtleties that beginners in the restaurant industry who want to buy a business, restaurant, bar or cafe may not be aware of.
Most restaurateurs are not very fond of sharing the secrets of success in the restaurant business. After all, it is unprofitable for professionals to produce competitors. This is beneficial only for coaches who are indirectly related to business. But sometimes it hurts to look at the mistakes of beginners who ruin projects and lose huge amounts of money. And we decided to give up our principles and write this article for those who are ready to plunge headlong into the restaurant business. Or rather, for beginners who think that buying an existing restaurant in Ukraine is the easiest solutions in hospitality business.
Our hotel and restaurant experience
First, a few words about our experience and specialization. Our company is engaged in investment, development and management of hotels and restaurants in Ukraine. As a team and experts in the hotel and restaurant industry, we have devoted the last 14 years to a deep study of the hotel and restaurant market. Thus, we are well versed in all the intricacies of restaurant franchising, hospitality and commercial real estate, buying and selling restaurants and businesses. Throughout our experience in the restaurant business, we have seen many gastronomic trends. Starting from street food formats to premium restaurants with three Michelin stars. From small pubs to wine boutiques or cocktail bars with global trends in drink mixology. Today, as a management company, we create turnkey restaurants, provide effective management for existing restaurants and hotels. In our portfolio you can find both established restaurant franchises and new restaurant concepts:
The nuances of buying an existing restaurant in Ukraine
As experience shows, in most cases, less successful restaurants are put up for sale. Even if in the ad description of the sale of the restaurant, you saw an attractive amount of net profit. This is not yet a reason to buy a restaurant in an accelerated order. Often, sellers do not provide up-to-date financial reports. But this does not mean that by buying such a restaurant, you will simply lose money. Experienced restaurateurs know and can feel the potential of a restaurant project. Therefore, if you do not have such a skill in assessing the location and concept of a restaurant, then you can involve restaurant consulting experts in this matter or study all the restaurant nuances on your own. Although, such a process can take quite a lot of time. But having studied all the pitfalls of buying and selling restaurants, you will not need to involve consulting companies for help and spend your budget.
How does restaurant consulting work?
Proriat Hospitality Partners takes on unprofitable restaurants and, having completed a complete rebranding, we bring the hospitality project into an operating profit. Our experience shows that by optimizing business processes, we can free up enough resources to make conceptual changes in the restaurant.
Buying and selling restaurants in Ukraine
Our experts will help you sell a restaurant, bar or cafe. We will conduct a full analysis of the restaurant, create a commercial offer, photo and video content to attract potential investors or restaurateurs. We will conduct the required number of impressions to conclude the final transaction for the sale of the restaurant.
And if you decide to become an investor in the restaurant industry or develop your own chain and are considering options to buy a restaurant in Kyiv or other regions. Then, our company will become an indispensable partner in the selection and purchase of restaurant real estate or an operating restaurant in Ukraine.
Buying and selling an established business in Ukraine can be a long and exhausting process. But thanks to our team, you have the opportunity to transfer all the work to our experts in the sale of a ready-made business and real estate for catering. We minimize the risks in the sale or purchase of a restaurant business, and our team will develop a concept for a new turnkey restaurant.
Restaurant franchising and franchise directory
Often restaurateurs and entrepreneurs are interested in buying a restaurant franchise or want to start developing their brand through a franchise system. Actual Ukrainian franchises, startups, restaurant consulting services can be found in our franchise directory 👉 Proriat Franchise Development
Is it worth buying an existing restaurant business?
With this question, we are often asked, as a rule, by beginners in the restaurant business. Because it seems to them that buying an existing restaurant in Ukraine is the easiest and shortest way in the restaurant business. However, buying a restaurant has its own nuances and secrets. Moreover, this is a market, and in the market, as a rule, one side is selling and the other buying. If you ask an experienced restaurateur, is it worth buying an existing restaurant business? It is more likely that you will be told that no, you should not do this for a number of reasons. For example: a weak brand, an unfavorable location, an uninteresting or little-demanded product, and much more. Although there are worthy offers on the market for the sale of an established business. Keep in mind that not all restaurants can be found in public sources. Often interesting offers: buy and sale of restaurants, bars, coffee shops, cafes and hospitality properties in Ukraine are presented in closed circles for potential restaurateurs and investors.
Who sells an existing business?
Let’s analyze the following. We hammer in the search line to buy a ready-made business in Ukraine. And we are given dozens or even hundreds of proposals for a turnkey restaurant business in Kyiv, Lviv, Kharkiv, Odesa and other cities. Also, we go to the websites of real estate agencies and see that there are many offers of completely different types of business: factories, hundred, farms, warehouses, companies producing goods and much more. Real estate agents sell real estate and various types of businesses. It is clear that it is impossible to be an expert in all areas. Our company will not sell a pharmacy business or select premises for a clothing store. Proriat Hospitality Partners works exclusively in the hospitality industry in Ukraine and selects premises for restaurants, bars, cafes.
Pros of buying an existing restaurant
No matter how you are tormented by doubts about buying an existing restaurant, this deal has its advantages. If you are well versed in the restaurant industry, or you have a reliable partner who can quickly take control of all business processes. Then, the deal can be a profitable investment for you. Since, in a functioning restaurant, it is much easier and faster to assess the prospects of work and the payback period of investments. Often, it is enough for an expert in the restaurant industry to make small changes in the concept of a restaurant or in its management, so that a loss-making restaurant gets a new life and begins to generate profits for its owners.
Cons of buying a restaurant in Ukraine
Like any business, buying a restaurant in Ukraine is a big risk. Since you’re buying someone else’s idea, you need to be ready to drastically change the concept of the restaurant. Often, such a decision can entail rather big financial costs. You must have enough funds to keep the restaurant running for at least six months, even if it is unprofitable. You need to understand that in order to buy a restaurant, you must have impressive experience in the restaurant industry. As an option, you can start cooperation with a management company that will ensure the achievement of planned results. The restaurant management company will be able to conduct an in-depth analysis of the restaurant’s activities and determine the prospects for this investment.
Commercial, hotel and restaurant real estate in Ukraine
If you are looking for an existing business, a restaurant, a cafe bar, a coffee shop in Ukraine, then we invite you to our website dedicated to hotel & hospitality real estate and sale of Ukrainian businesses.👉 Proriat Real Estate
Conclusions on the topic of buying and selling a restaurant in Ukraine
If you are new to the restaurant industry, we recommend that you think a hundred times before buying an existing restaurant, coffee shop, cafe or bar. You need to understand that just buying an existing hospitality business is not yet a guaranteed ticket that will provide you with a monthly profit. You will need to independently master many business processes in the operation of a restaurant: HR department, marketing and sales, kitchen, bar, back office, warehouse, accounting and, most importantly, build and train a hospitality result-oriented team. Only joint and well-coordinated work can create a restaurant that loves its guests and, as a result, generates the expected profit.
Our company and experts in the restaurant industry, commercial real estate and franchising will be glad to partner and work together on a new gastronomic project. If you are looking to buy an existing business in Ukraine or sell a restaurant, then we are waiting for your application and requests.
The next step
Visit ✍️ contact page to get in touch with us.