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Restaurant Buyer Annual Report – 2008
December 31, 2008
The 2008 business year was interesting to say the
least. Buyer activity was fairly strong in the first quarter, but slowed
considerably in the 2nd and 3rd quarter, followed by a merely stagnant 4th
quarter which every business seems to be experiencing. Although slower than
2007, restaurant buyer activity overall was pretty good as we registered
approximately 4,000 buyers which is similar to 2005. Median cash available and
average cash available fell $19.1% and 11.5% respectively. We expect 2009 to
show a better correction in the market as the first 2 quarters may skew the
data. Over the last 5 years we have registered over 27,000 registered buyers
with nearly $12 billion of cash available. Restaurant owners looking to sell
need to anticipate what is going on and be prepared to have there restaurant on
the market longer than usual. There are plenty of buyers out there, and it's a
matter of time and patience for transactions to be done.
Below find charts summarizing the buyer activity for the year:
|
2008 Summary |
Midwest |
Northeast |
South |
West |
International |
Total |
|
New Buyers |
455 |
573 |
1162 |
981 |
743 |
3914 |
|
Percentage |
11.6% |
14.6% |
29.7% |
25.1% |
19.0% |
100% |
|
Median Cash Available |
$137,500 |
$200,000 |
$150,000 |
$175,000 |
$187,500 |
$169,000 |
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Average Cash Available |
$346,000 |
$546,000 |
$458,000 |
$549,000 |
$544,000 |
$499,000 |
|
Total Cash |
$157,430,000 |
$312,858,000 |
$532,196,000 |
$538,569,000 |
$404,192,000 |
$1,945,245,000 |
Please note that the information
provided in the Restaurant Buyer Activity Reports are for informational purposes
to our site users and may not be published or otherwise utilized without the
express written consent of Restaurants For Sale Online, LLC.
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RFSO Defined Regions |
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West |
PACIFIC:
Alaska, California, Hawaii, Oregon, Washington
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MOUNTAIN:
Arizona, Colorado, Idaho,
Montana, Nevada, New Mexico, Utah, and Wyoming
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Midwest |
EAST NORTH CENTRAL:
Illinois, Indiana, Michigan, Ohio, and Wisconsin
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WEST NORTH CENTRAL:
Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota and
South Dakota
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Northeast |
MIDDLE ATLANTIC:
New Jersey, New York, and
Pennsylvania
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NEW ENGLAND:
Maine, New Hampshire, Vermont, Massachusetts,
Rhode Island, and Connecticut.
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South |
EAST SOUTH CENTRAL:
Alabama, Kentucky, Mississippi, and Tennessee
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SOUTH ATLANTIC:
Delaware, Florida, Georgia, Maryland, North Carolina, South
Carolina, Virginia, West Virginia, and the District of Columbia
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WEST SOUTH CENTRAL:
Arkansas, Louisiana, Oklahoma, and Texas
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International |
ALL REGIONS OUTSIDE OF THE USA:
Asia, Australia, Canada, Europe, New Zealand, United
Kingdom, and
all other countries/regions,
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