How do I sell a Chinese restaurant?

Selling a Chinese restaurant means preparing for questions that are particular to the kitchen and the way the business is staffed. Many are run by families, with several people covering the roles a buyer would otherwise have to hire. Work out what you do, what each person does, and what a new owner would need to replace. Prepare a clear answer to each.

The wok line and the kitchen equipment

Wok burners, exhaust hoods, fryers and walk-in coolers are the working heart of the kitchen, and they take heavy use. Prepare a list with age, condition and service history where you have it. Be clear about what is owned and what is leased. A buyer’s lender will often ask for this, so having it ready saves time later.

Family staffing and the chef’s knowledge

If the same people have run the kitchen and the front for years, a buyer will ask whether they are staying. Decide what you can honestly say about each role. Talk to your lawyer about how employees are handled in the sale and when to tell them. Where the head chef holds the menu in practice, consider a training period after closing.

Takeout, delivery and banquet sales

Takeout and delivery apps may make up a large share of your trade, and banquets or dim sum service add another stream. Keep each one separate in your records so your accountant can explain it, and so a buyer can see what is regular and what is seasonal. Delivery-app accounts and their terms are worth reviewing before you go to market.

• Equipment list with age, condition and ownership.
• Who works in the kitchen and front, and for how long.
• Sales records by dining room, takeout, delivery apps and banquets.
• Specialty Asian supplier accounts and ordering habits.

Seeing the sale from the other side helps. Read what to check before buying a Chinese restaurant and compare it with your own records. For the sale process generally, see how to prepare your restaurant for handover.