What should I ask about a restaurant’s busiest and slowest months?
Ask for monthly sales over several years and what caused each peak and dip. Learn how staffing, hours and cash flow change through the year. A restaurant that looks strong in one season can strain through another, so plan your first year around the slow part.
Ask the seller to show sales month by month, then explain the shape. Is it weather, tourism, school calendars, events or a single large customer? Ask which weeks are truly busy and what the room feels like on a quiet night. Your accountant can compare the sales with the financial statements, so you are not relying on a verbal account. Next, look at the cost side. Ask how staffing changes between seasons, whether hours are cut, and who is let go or rehired. A restaurant that depends on seasonal staff needs a plan for finding them again.
Cash is the hard part. Slow months still bring rent, loans and supplier bills. Ask how the seller managed it, and whether a line of credit was used. Make sure you start with enough working cash for a slow stretch right after closing. Also ask about plans to smooth the swings: catering, events or off-season menus. Visit on a quiet day as well as a busy one, and ask staff what the slow shifts are like to work.
Key takeaways
- Get monthly sales over several years, not a single recent period.
- Ask what explains each peak and each slow stretch.
- Plan working cash for a slow period right after closing.
- Ask how staffing changes between busy and quiet times.
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Restaurants CanadaIndustryRestaurants Canada - The Voice of Foodservice
- 02Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 03Business Development Bank of CanadaGovernmentWhat are financial statements?
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