Need Advice for a Café TakeOver..

[inle]

Hi..

I am getting in touch with a Café owner who I will be taking over his Café..
This Café is not a Starbucks or Dome chain Cafés but it is more like localized Aussie theme Café, serving a localized group..
From what I know, this Café is not making $ due to the fact that the owner's focus is on his other bigger businesses in import & export..
Because of my expertise in helping companies to generate profits, I am offered to take over at little cost..

I am new in the Food & Beverage industry & new in taking over existing businesses..
So far, the projects I did was non F&B related & I am the self-starter..

I wonder if you guys got any advice on what I need to look out for before I sign anything?

Thank you..

[inle]

Hoping thqt someone could offer some advice..

[tytorelli]

First thing I would make SURE OF,.. When contracts are drawn up, Make sure you do not take on his debt or are responsible for paying it back. See what the credit lines are for your product and terms for payment. Being a cafe, product costs are low enough to run many promotions and offer free samples to local businesses, schools and local government agencies.

If this will be your primary focus, you should be OK. But, if you are planning on doing other work as well, you may come across the same problems of the current owner. I am not in the F&B business but, in many ways, it's not so different. Its a business that needs to be branded and people need to know about it. Start off by running an Online Coupon campaign. As a matter of fact, Run many campaigns so you know where your customers are coming from. Once you figure that out, you know where to focus you marketing at.

I hope this helps you a little but - make sure you hire a business lawyer that can draw up contracts to protect yourself.

Good Luck!!

[inle]

Thank you..
Yes, I agreed that the principle of running a business is about the same..

The sales & marketing part I can handle well enough..
That, I am not worry..

It is just the details that I am not familiar with and worried about on the takeover part..
I will draft out my concerns & talk to the current owner..