What should I check before buying a takeout-only restaurant?
Before buying a takeout-only restaurant, check how sales split between delivery apps and walk-in pickup, whether the app accounts and ratings can pass to you, how orders and drivers move through the space, whether customers can park, and whether the lease allows a takeout counter.
A takeout-only restaurant has a storefront but no dining room. That changes what you are really buying. The business may live mostly on delivery apps, or on neighbours who walk in. The two look the same on a sales total and behave very differently after a sale. Start by asking where the orders actually come from, then work outward to the space and the lease.
App sales versus walk-in pickup
Ask for sales by channel: each app, phone orders, and counter pickup. Ask how much of the sales come through one app and how much from walk-in trade. The page on checking a pizzeria’s delivery-app sales shows how to reconcile payouts against the till.
Accounts, ratings and menus
Ask each platform how a change of owner is handled. Can the listing, the reviews and the menu carry across, or does the new owner start over? Find out who holds the login and who owns the phone number and social accounts. Your lawyer can help you make sure these are included in the agreement.
Packaging, hand-off and the pickup flow
Visit at a busy hour. Watch where drivers wait, where finished orders sit and whether walk-in customers collide with app couriers. Check that packaging suppliers are reliable and the pickup shelf is organised. A cramped hand-off area slows every order and hurts ratings, so ask how the current owner manages it.
Foot traffic, parking and the lease
Pickup customers want a quick stop. Look at parking, short-term access and visibility from the street. Then read the lease with your lawyer: does the permitted use cover a takeout counter, can it be assigned to you, and how long does it run? BDC’s article on commercial lease terms, listed in the sources below, explains the common ones.
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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
- 02Business Development Bank of CanadaGovernment13 terms you need to understand before signing your commercial real estate lease
- 03Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
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