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Bar and Restaurant

A high-volume Michigan restaurant and pizzeria opposite a state park in a twenty-lake tourist region, where three-quarters of sales land between May and September.

Business Highlights

  • Over $500k invested in renovations including log siding, stone wall, fenced patio, outdoor bar, interior bar, walk-in cooler and modernised bathrooms
  • 179 indoor seats plus a 40-seat outdoor patio with a fenced bar area
  • Directly across from a state park and near fairgrounds in a twenty-lake region
  • 26-person team with a full-time general manager
  • Takeout and pizza account for at least half of revenue

Considerations / Questions to Ask

  • Three-quarters of sales fall in five months. How is the business funded through the off-season?
  • The current owner works 10 to 12-hour days in kitchen and front of house. What does replacing that cost?
  • Is the property owned or leased, and on what terms?
  • Seasonal staffing is hard. How is the team recruited each year, and how much returns?
  • What liquor licence is held and how does it transfer in Michigan?

Opportunities

  • Takeout and pizza are already half of revenue and are the least seasonal, least labour-intensive part of the business
  • The renovation capital is already spent, so a buyer inherits the asset rather than the bill
  • A state park opposite and fairgrounds nearby produce footfall that does not depend on marketing
  • Events and catering would use the patio and bar in the shoulder season