What should I check before buying a breakfast restaurant?
Check how much of the business lands on weekend brunch, how secure the egg and coffee supply is, who staffs the early shift and whether they will stay, and how quickly tables turn. These are the pressure points of a restaurant that does most of its work in the morning.
This page is about a restaurant that serves breakfast and brunch to the public, not a bed and breakfast with rooms. Its work is concentrated into a few hours on a few mornings, so small problems show up fast. Look first at the shape of the week, then at what keeps those mornings running smoothly.
Weekend concentration
Many brunch rooms earn most of their sales on two days. Ask for sales by day of the week for a full year, and note how a rainy Saturday or a holiday weekend changes things. If weekdays are thin, ask what fills them and whether that source, such as an office crowd or a nearby school, is stable.
Eggs, coffee and the supply line
A breakfast menu leans on a few ingredients. Ask who supplies eggs, bread, produce and coffee, whether there are written arrangements, and whether anything is tied to the current owner. Look at invoices over time to see how often costs moved and how the seller responded on the menu.
Early shifts and table turns
Opening crews start before dawn and are hard to replace. Ask how long they have stayed, how they are paid and who unlocks the door. Then sit through a busy brunch and watch how long a table stays, how long guests wait and where the line backs up. Faster turns can lift sales without adding seats, but only if the kitchen keeps pace.
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 02Restaurants CanadaIndustryRestaurants Canada - The Voice of Foodservice
- 03Business Development Bank of CanadaGovernmentWhat are financial statements?
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