Restaurant Investment

The Most Common Restaurant Commercial Due Diligence Findings

Private Equity firms have been snapping up restaurant chains at an astounding rate in recent years. It makes sense, considering the industry is cash-generative, offering a continual source of new concepts that can be scaled and eventually sold, generating lucrative returns. And while those in the financial and banking sectors

Restaurant Valuations: Global Trends

As Private Equity activity continues to flourish in the foodservice sector, restaurant valuation multiples have followed suit — rising even when deal volumes drop. Premiums for high-quality targets are on the rise, with valuations reaching their highest multiple (1.3x EV-to-Sales) since 2010 in 2019. There are plenty of opportunities for

The Largest Restaurant Acquisitions of the Past Two Decades

In 2015, estimates pegged the value of restaurant mergers and restaurant acquisitions (M&A) in the US at roughly $120.8 billion, jumping 58% from the previous record the prior year. In 2016, the value of those deals was down some 23%, but the number of deals was up, with restaurant deals

Restaurant Due Diligence: What To Look For Before Investing

There’s been a lot of investor interest in the restaurant industry as of late, and for good reason: even when economies around the world struggle, consumers continue to dine out. And even though habits might change and trends might shift, the global restaurant industry remains a force. Still, with so

Glossary of Restaurant Investment Terms

Though restaurant IPOs have remained elusive in recent years, investment into both restaurant chains and restaurant technology remains on the rise. Funding to the restaurant delivery space, for instance, reveals that there remains plenty of opportunity on the horizon. Restaurants and restaurant technology companies often turn to private equity and venture capital in

A Look at Global Restaurant Investment Banks

The food and beverage investment banking coverage group has proved attractive for investors in recent years. Changing demographics, shifting consumer habits, and household income are some of the key drivers for the food and beverage sector — and investment banks have taken note. Higher income levels and longer lifespans have

A Roundup of U.S. Restaurant Commercial Lenders

Considering “lack of startup and working capital” is one of the top-cited reason restaurants fail, success generally hinges on access to capital. Chain restaurant investments offer attractive opportunities to lenders (i.e., debt side) and owner/operators (i.e., equity side). Still, they aren’t without risk. That risk is part of the reason

The Most Active Restaurant Private Equity Firms

Private Equity has found a niche in the restaurant industry, where a slew of high-profile deals have made their mark in recent years. The most active restaurant private equity firms aren’t necessarily restricted to one country, with deals increasingly cropping up in Asia, the Middle East, and South America, and

A History of Restaurant Initial Public Offerings, 2000-2017

A slew of restaurant chains have made their initial public offerings in the past few decades. For some, the move has paid off. But for others, the future is a little more murky. Case in point: Chipotle, which received several downgrades from Wall Street analysts in July after reports of

The Unfamiliar Face of New Competitors

The restaurant industry has been undergoing some pretty major changes lately. Restaurant delivery growth has skyrocketed in recent years. Automation is transforming the industry, one human-replacing-robot at a time, too. And the bulk of the companies paving the way for those trends are still just startups. Today, “startup” seems an