Selling Your Butcher Shop?
Besides the devastating effect COVID-19 has had on the restaurant industry, since 2008 the business has been struggling to recover from a recession. Expectations for minimum wage keeps rising and it is becoming more and more difficult to maintain staff to properly cover shifts. Food and beverage shortages make it more difficult to properly plan and order inventory and indoor dining is becoming scarce due to social distancing requirements. There were over 110,000 restaurant-type businesses that closed in 2020. In 2021, it is expected than an additional 190,000 will shutter their doors as well. As the owner of a butcher shop makes the decision to close, the difficulty in finding a qualified buyer becomes more apparent. At WBAR, that won’t be a problem because we ARE the buyer. We will make you a CASH offer on your butcher shop and help you get back to planning your future. With decades of extensive market research and experience, we know the Butcher Shop business. And we know we want to buy your butcher shop. Contact us now so we can begin your FREE valuation. You’ll provide us with a bit of info about the business, send us a few photos, and gather a list to get a general idea of equipment. This list may include: Refrigeration (Walk-in Freezer and Cooler, Deli Case, Merchandiser) Cooking & Processing Equipment (Smoker, Fryer, Grinder, Cutter, Slicer, Grill, Broiler) Chairs, Booths, Tables, Patio Furniture Stainless steel tables, Butcher Blocks POS Computer Systems Deli Papers and Serving Equipment, Utensils, Dishes, Cookware, Bakeware, Disposables Any Other Assets Not Permanently Affixed to the Property We will review the information, do some due diligence and make you a fair CASH offer. If accepted, our team will schedule a time that is convenient to safely remove all furniture, equipment, fixtures & supplies. Still owe on your equipment? Leases? Multiple owners? Franchise agreements? Outstanding debt? IT DOESN’T MATTER. We can help. CALL NOW!! We Know the Butcher Shop Business When opening a new butcher shop, owners must consider their regional area and select a location that will allow maximum visibility and profitability. Some markets seem to strongly prefer delivery options, utilizing the convenience of food delivery options such as GrubHub, DoorDash, Uber Eats, Postmates or Caviar, while others choose to more frequently dine in. Outdoor dining on a patio, porch or other dedicated space can increase in the warmer seasons for variable climates, and year-round in warmer states will increase your traffic, especially when paired with an outdoor bar. It is best to offer a space specifically for those non-smoking guests if your state allows for smoking indoors. Since delis are typically well-known for quick service, having pre-made to-go options for your guests can increase your average ticket as well. The average cost to open a delicatessen in the US is $350,000.00. When starting from scratch and designing a build-out to open a new location it should be mentioned that you should expect at least 12 months before beginning to see a profit – maybe even longer when taking into account labor shortages resulting in higher wage requirements, food and beverage shortages along with reduced capability to provide expedited delivery of those commissary orders resulting in higher costs, higher security deposits or stricter lease terms and requirements for lessors since landlords, property owners and commercial property owners that lease proper spaces have experienced a higher incidence of broken leases, bankruptcies, non-renewals or simple business abandonment due to the large amounts of loss suffered in lieu of profits for these businesses. In addition, the owner needs to consider whether they can await profitability while maintaining their own financial responsibilities and while awaiting the business to generate enough profit to properly pay them for the many hours they will be putting into the business. Anyone who has ever owned a butcher shop or any other type of food establishment knows that working twice as hard for half as much is almost a given, usually it needs to be enough working for the simple reward of a business that makes enough money to make up for all of the time and energy they have poured into their family business or franchise. Butcher shops have been around since BC times, although it has been considered an organized industry since the 11th century. The four biggest meat processors in the US are Cargill, Tyson, JBS SA and National Beef Packing Company. These plants span the industry to provide different services but ultimately the outcome is to provide Americans with the freshest, highest quality of packed meats. Ensuring the facility is climate-controlled is of the highest importance.. It is estimated that for every 1,000 butcher shops that open, only 30 will remain open after 5 years, with 900 of those closing within the first year. If you are considering selling your butcher shop, you already know the market. It is best to sell fast - sell NOW - before thousands of other bars like yours flood the market, devaluing your investment right alongside the daily depreciation factors. Stop struggling to earn a living, and start living! Call WBAR NOW for your FREE valuation.