While you may have been successful in the running of your business over the years, the process of selling your establishment is a different ball game altogether. It requires careful planning and preparation. You will also need the services of experts like attorneys, accountants, and restaurant real estate agents to help you speed up the transfer of ownership.

According to statistics, only 20 percent of businesses put on sale every year actually sell. If you are looking to sell off your restaurant, here are some common pitfalls you should avoid to ensure you do not fall into the 80 percent statistic of unsuccessful business sales.

1. Poor pricingThe pricing of your restaurant is one of the critical factors that will determine whether you will find a buyer quickly or not. However, most restaurant operators make the mistake of setting a price that does not reflect the real value of their business. The location and financial performance of your restaurant are key factors that determine the price you should sell your restaurant.

Poor pricing results from lack of valuation of the business and inadequate knowledge of market trends and pricing. It is therefore important to conduct a comprehensive assessment of your restaurant and have your financials in order and updated. This ensures that the price you choose is not too low, or too high compared to the value of your restaurant.

Finding the right buyer for your restaurant can be a daunting task. There are a lot of buyers and sellers in the restaurant real estate industry which makes competition tough and finding the right buyer for your property tougher.

Due to the difficulty of finding a buyer and doing a shoddy job in vetting prospects for their suitability, many restaurant operators make the mistake of selling to the wrong buyers who end up not offering value for their property. Poor negotiation skills also put you at risk of being cheated out of your restaurant’s proper worth — this especially common for those who do not seek the services of restaurant real estate brokers.

3. Failing to get involved in the marketing process

After deciding to sell your restaurant, you have found a real estate agent to help you in the process, and you think your work is officially done, right? Wrong! Most restaurant operators make the mistake of leaving everything in the hands of their restaurant real estate brokers.

As much as brokers are going to leverage on their expertise and networks in marketing your restaurant, you should also chip in. No one knows your restaurant and its selling points better other than you. It is prudent to consult your broker on the best way to market and advertise your restaurant that will not interfere with their activities. Getting involved instills confidence on prospective buyers and improves your chances of getting your restaurant off the market quickly.