Serving Up Better Business Results For The Restaurant Industry

Owning or investing in franchised restaurants remains a risky and complex endeavor. To achieve consistent profitability and growth, you need to leverage sources of capital while managing costs and minimizing your corporate and personal tax bite. This makes your approach to restaurant accounting imperative to success.

Food and labor costs are influenced by a variety of factors, from healthcare and minimum wage legislation to the weather. While you may be focused on defusing wage protests and managing your employee headcount to mitigate the effects of increasing healthcare costs, you also need to keep a wary eye on interest rates and their effect on commodity prices.

Interest rates also affect access to capital, which is critical whether you need to fulfill your franchise development agreement or you’re looking for new concepts to add to your portfolio. While banks and private equity funds are currently eager to underwrite these franchise restaurant ventures, rising interest rates could signal the end of ready capital.

Tax, Accounting & Advisory Services for Restaurants

Restaurant owners, operators and investors in the quick-serve, casual-dining and fine-dining segments depend on Bennett Thrasher’s restaurant industry services practice for guidance in navigating these risks and opportunities. Through a full range of tax, accounting and advisory services, we support our restaurant clients by:

  • Fulfilling franchise disclosure requirements, loan covenants and other contracts through financial statement audits and reviews
  • Minimizing the overall state and local tax (SALT) burden through multi-jurisdictional revenue and expense sourcing
  • Complying with IRS rules regarding tip reporting and gift card revenue reporting
  • Tax-efficient structuring of merger and acquisition transactions
  • Illustrating an accurate picture of a potential acquisition target’s quality of earnings and liabilities
  • Providing regular access to bookkeeping and tax compliance resources through outsourced accounting support
  • Discovering federal, state and local economic incentives and credits, such as the federal tip credit and Work Opportunity Tax Credit
  • Preserving the value of a restaurant facing condemnation via eminent domain, through valuation and expert witness support

Schedule a Consultation

To schedule a consultation with professional advisors who know the business issues facing the restaurant industry, contact Cory Bennett or Tim Watt by calling 770.396.2200.