Bar/restaurant For Sale

[Sullani]

Hi all,

Seen a bar cum restaurant for sale in the north for what I would think is a ridiculously low price. Any advice on potential pit falls and problems I should look at prior to any decision making?

[chuchok]

Hi all,

Seen a bar cum restaurant for sale in the north for what I would think is a ridiculously low price. Any advice on potential pit falls and problems I should look at prior to any decision making?

<{POST_SNAPBACK}>

Nothing is for free in this world.A really cheap price to me spells DANGER. location,current laws,who is selling...blah,blah, blah.

Best advice would be to get somebody who really knows about these types of business to advise you.

[Firefan]

Agree w. Chuchock. The list is loooooong. so get a pro to help/evaluate. Cheers!

[bendix]

Agree . . . proper due diligence is essential. It's easy to get excited over the facts you know (historical sales, profitability etc); the thing to beware of is the things you don't know.

Case in point: a friend of mine got all excited recently about a bargain convenience store business for sale. he boasted that according to the books his investment would pay for itself in 18months. Sounds nice. What he didnt know at the time - but found out later (thankfully) before signing the purchase agreement, was that the empty space in 100 metres away was being lined up for a 7-11 to open in 3 months off. No wonder the vendor was so keen to get rid of it at such a cheap price.

[loong]

Hi all,

Seen a bar cum restaurant for sale in the north for what I would think is a ridiculously low price. Any advice on potential pit falls and problems I should look at prior to any decision making?

<{POST_SNAPBACK}>

"The North" covers a large area.

Low price compared to Thailand or Farangland?

Often business sale price is for goodwill, fixtures and fittings and remainder of a lease. So may still have to pay rent, subject to a review in the (near?) future.

Have you ever run a bar/restaurant? I have assumed that you are a British policeman, so probably unlikely.

Don't believe what the existing owner tells you.

Go and see how busy it is.

Based on number of customers that you see with your own eyes, do a projection of income and expenses - be realistic.

Think about why you want to buy this business, do you have an income, do you need to work to support yourself in Thailand?

Do you intend to treat this as a 'Hands on' business? If so, will the business support a work permit?

Do you know the area?, Do you think you can live there? Are you prepared to put in long hours?

How long, in total, have you spent in Thailand?

Do you fall into the category of first-timer to Thailand, in love with the country and/or girl and suddenly want to throw up your life in your own country to move here?

If so, don't rush into anything. Take your time.

I know quite a few people who have tried to start in this type of business in Thailand. Most fail. The ones who succeed are those who are prepared to work hard. It is not easy.

One of my friends is now in his 3rd year and is just breaking even with a turnover of about 100,000 per month.

Edited July 31, 2005 by loong

[COBBER]

Where is it?

How much is it ?

What do you get for your money ?

[Sullani]

Have a look, it's on sunbeltasia.com The second to last ad on the first page.

[Sullani]

[

Think about why you want to buy this business, do you have an income, do you need to work to support yourself in Thailand?

Do you intend to treat this as a 'Hands on' business? If so, will the business support a work permit?

Do you know the area?, Do you think you can live there? Are you prepared to put in long hours?

How long, in total, have you spent in Thailand?

Do you fall into the category of first-timer to Thailand, in love with the country and/or girl and suddenly want to throw up your life in your own country to move here?

If so, don't rush into anything. Take your time.

Buy a business as a side venture/hobby/retirement project/something for missus to do.

Don't know about work permit

Been to the area twice, did like it.

In total I would say i have spent a year in Thailand over the last 3 years. don't quite know if that places me in the class of a first timer??

[loong]

Buy a business as a side venture/hobby/retirement project/something for missus to do.

Everyone that I know who has cited these as reasons for starting a business has failed.

Those who have started as something for the missus to do. -Unfortunately their relationships have also deteriorated, constant arguments, bad moods and eventually splitting up.

Those who are prepared to put in the effort are most likely to succeed.

Think carefully, take your time and do your homework. Whatever you do, I wish you good luck and hope it works ouit for you.

[Chang_paarp]

It would be worth spending some time watching the business. As part of the due dilligance.

eg, if you see a new person at the till of you local chinese restraunt (sp), making a tick in their book for every transaction, there will be new owners soon. This is a simple method for determing that the books are close to reality. Remeber you buy a business on the tax figures not a nudge and a wink. I have seen people come to grief by listneing to the "don't believe the tax figures, I don't want to pay much tax... " They were the real figures.

Good luck