How much is my Texas restaurant worth?

Most profitable independent restaurants sell for about 1.5×–3× SDE (seller's discretionary earnings — net profit plus the owner's salary and add-backs). The multiple depends on clean books, an assignable lease at workable rent, location, whether real estate is included, and how turnkey the space and licensing are.

Does a TABC liquor license transfer when you buy a restaurant in Texas?

No. Texas does not allow a TABC permit to transfer from one owner to another — the buyer must apply for their own permit, which typically takes 45–60 days. Deals should plan the closing and possession timeline around that gap so the business doesn't have to stop serving alcohol.

What is successor liability for Texas sales tax?

If the seller owes sales tax to the Texas Comptroller, the buyer can inherit that debt after the sale. To prevent it, the seller requests a certificate of no tax due (tax clearance) from the Comptroller, and the buyer confirms it before closing.

Do I pay state income tax when I sell my restaurant in Texas?

Texas has no state personal income tax, though federal capital-gains and other taxes still apply, and business entities may owe Texas franchise (margin) tax. Talk to a CPA about your situation — but the no-income-tax environment is part of what keeps Texas's buyer pool strong.

How do I sell my Texas restaurant without my staff finding out?

Sell confidentially: market it by concept, location, and numbers without naming the business, and require interested buyers to sign an NDA before you share identifying details. See our guide to selling a restaurant confidentially.

How to Sell a Restaurant in Texas: Houston, Dallas, Austin, San Antonio & Beyond

Texas is one of the biggest and most active restaurant markets in the country — no state income tax, fast-growing metros, and a steady stream of operators looking to buy. If you own a restaurant in Texas and you're thinking about selling, here's what it's worth, how the process works, and the Texas-specific steps (TABC and taxes) that catch sellers off guard.

What Is Your Texas Restaurant Worth?

Most profitable independent restaurants sell for a multiple of SDE (seller's discretionary earnings — net profit plus the owner's salary and add-backs), generally in the 1.5×–3× SDE range. The multiple is driven by clean, provable books, a long assignable lease at workable rent, location, whether real estate is included, and how turnkey the space and licensing are. Walk the math in our restaurant valuation guide.

The Texas Market, Metro by Metro

Houston

The state's largest and most diverse food city — an enormous, multicultural buyer pool across the Inner Loop, the Heights, Montrose, and the sprawling suburbs. Deep demand for everything from taquerias to full-service concepts.

Dallas–Fort Worth

A massive, corporate-heavy metroplex with active buyers from Uptown and Deep Ellum to the booming northern suburbs (Plano, Frisco, McKinney). Strong appetite from multi-unit groups.

Austin

High-growth, high-rent, and nationally watched — buyers pay up for the right location, but present your numbers tightly because occupancy costs get scrutinized.

San Antonio

More affordable buy-ins with dependable local and tourist traffic (the River Walk and beyond) — a good fit for owner-operators.

Beyond the big four

El Paso, the Rio Grande Valley, Corpus Christi, and college towns like Lubbock and College Station each bring steady local buyer demand.

How a Restaurant Sale Works in Texas

Get a realistic valuation — overpricing is the #1 reason a listing sits.
Organize your package — two to three years of tax returns and P&Ls, the lease, an equipment list, and a clear reason for selling.
List where restaurant buyers look — a hospitality-specific marketplace, not generic classifieds.
Sell confidentially if you don't want staff or regulars to know — here's how.
Handle the Texas specifics at closing (see below).

See our full guide to selling a restaurant for the step-by-step.

The two Texas details that trip sellers up

1. The TABC permit does NOT transfer

If your restaurant serves alcohol, know this up front: Texas does not allow a liquor permit to transfer from owner to owner. The buyer has to apply for their own TABC permit from scratch — which commonly takes 45–60 days. Smart deals plan the closing and possession timeline around that gap (sometimes with an interim management or escrow arrangement) so the bar doesn't go dark. Build it into your timeline early.

2. Get a tax clearance to avoid "successor liability"

Texas has successor liability for sales tax: if the seller owes the Texas Comptroller, the buyer can get stuck with that debt after closing. The fix is routine but essential — the seller requests a certificate of no tax due (tax clearance) from the Comptroller, and the buyer's attorney confirms it before funds change hands. (A plus for owners: Texas has no state income tax, part of what keeps the buyer pool deep.) Also transfer the local health permit with the city/county and keep the entity's franchise-tax standing current.

A closing attorney and your accountant coordinate all of this — don't wing it.

What Texas Buyers Want

Clean, verifiable numbers.
An assignable lease with real term left at a workable rent.
A clear TABC path — and a realistic timeline for it.
Well-maintained equipment and a turnkey kitchen.
A believable reason you're selling.

Ready to sell your Texas restaurant?

List it where buyers come specifically to buy restaurants — not buried under every other industry.

List your restaurant free on ListingLedge — zero commission, and you keep every dollar of your deal.
Browse restaurants and bars for sale to see how comparable listings are presented.
Selling elsewhere? See our guides for Georgia, Florida, North Carolina, Tennessee, and South Carolina.