The Restaurant Industry in Farsund: Current Status and Future Perspectives

The restaurant industry in Farsund is a dynamic, but variable sector with 16 registered companies. In recent years, the industry has experienced both strong growth and challenges, with an increase in the number of employees from 58 in 2026 to 80 in 2024. Sales have shown an up and down movement, with an increase from NOK 9.0M in 2024 to NOK 10.0M in 2025. The most active companies are located in Vanse and Farsund, while Borhaug has lower activity. Organizational forms are dominated by AS (7 companies) and ENK (1 company). The industry has not experienced bankruptcy, but some companies have negative EBITDA or zero income. For founders, this may indicate both opportunities and challenges, especially in sectors such as takeaway and cafes.

Sales and employee development:

• Sales: In 2025, the restaurant industry in Farsund had total sales of NOK 10.0M, an increase of 11.1% compared to 2024. The highest sales were achieved in 2020 (NOK 14.5M), followed by a decline in 2021 and 2022.
• Employees: The number of employees reached its highest level in 2023 (80 employees), but has since fallen to 58 in 2026. The most significant increase was recorded from 2021 to 2022 (+31.2%).

Margins and operating results:

• The average gross profit margin is 71%, while the operating profit margin is 3% (2023). The EBITDA margin was 5% in 2023, but varies greatly between companies. For example, Pizzadrift Vanse As had an EBITDA margin of 8%, while New Asia As had a negative EBITDA margin of -2%.

Farsund has 16 registered companies in the restaurant industry, with the following organizational forms:

• AS (7 companies): Dominates the industry with 46 employees and a total operating income of NOK 14.0M. Examples include Pizzadrift Vanse As (12 employees, NOK 3.9M sales) and Vanse Take Away As (4 employees, NOK 3.4M sales).
• ENK (1 company): Pedersen Kiosk & Gatekjøkken (11 employees, NOK 0 sales).

Other companies:

• New Asia As (Farsund): Has a negative EBITDA of NOK -108.0K and sales of NOK 3.5M.
• Baremi As (Farsund): Has an extreme sales growth of 233% in 2024, but a low EBITDA margin of 1%.
• **Several companies (e.g. Bua Thai&sushi As, Legacy Invest As) have zero sales and income, which may indicate closure or previous activity.

Activity distributed across locations in Farsund:

Analysis:

• Vanse is the most active area with 4 companies and 33 employees, with higher sales and EBITDA than other areas.
• Farsund has 3 companies, but lower EBITDA (170.0K) compared to Vanse.
• Borhaug has only one company (Pedersen Kiosk & Gatekjøkken), which reports zero sales and income.

Bankruptcies and operating results:

• No bankruptcies reported in the industry in Farsund, but some companies have negative EBITDA or zero income. Examples:
• New Asia As (Farsund): EBITDA of -2% and negative operating profit of NOK -172.0K.
• Baremi As (Farsund): Extreme sales growth (233%) but low EBITDA margin (1%).

Operating results:

• Vanse Take Away As had a high EBITDA margin of 9% and an operating profit of NOK 220.0K.
• Pizzadrift Vanse As had an EBITDA margin of 8% and an operating profit of NOK 219.0K.

Development:

• Baremi As had extreme sales growth in 2024, but it is uncertain whether this can be sustained.
• New Asia As had a decline in sales and EBITDA in 2022, which may indicate operational challenges.

Opportunities:

• Rising sales: Sales in the industry have increased from NOK 9.0M in 2024 to NOK 10.0M in 2025, indicating growth in demand for restaurant and takeaway services.
• High activity in Vanse: With 4 companies and 33 employees, Vanse is a potentially attractive area for new companies.
• Low bankruptcy risk: No bankruptcies reported in the industry, indicating a stable market.

Challenges:

• Bankruptcy risk for certain companies: Companies such as New Asia As have negative EBITDA and low operating profit, which may indicate increased bankruptcy risks in the future.
• Bankruptcy risk for certain companies: Companies such as New Asia As have negative EBITDA and low operating profit, which may indicate increased bankruptcy risks in the future.
• Bankruptcy risk for certain companies: Companies such as New Asia As have negative EBITDA and low operating profit, which may indicate increased bankruptcy risks in the future.

Recommendation:

• Founders should consider focusing on sectors with high EBITDA margins, such as takeaway and cafes, and avoid companies with negative operating results.

Outlook for the overall industry (restaurant / cafe)

Overall industry (restaurant / cafe):

• Number of companies: 19 companies in the overall industry, with 16 companies in the restaurant industry.
• Sales: Total sales of NOK 14.6M in 2025, an increase of 7.9% compared to 2024.
• Employees: 79 employees in 2026, a decrease of 9.2% compared to 2025.

Peer companies in the overall industry:

Analysis:

• Farsund Pizza As has a high EBITDA margin (250.0K) and sales of NOK 4.7M, indicating stable operations.
• Brisa Cove A Jacobsen & Eikeland Company and Farsund Mat As have zero sales and income, which may indicate closure or previous activity.
• Overall industry has higher sales and more companies than the restaurant industry, indicating a larger market potential for cafes and takeaway services.

The restaurant industry in Farsund is a dynamic, but variable sector with opportunities and challenges. With an increase in sales and number of employees in recent years, as well as a stable market without bankruptcies, the industry can be an attractive choice for founders. However, it is important to be aware of challenges such as negative EBITDA and low operating profit for certain companies. Founders should consider focusing on sectors with high EBITDA margins, such as takeaway and cafes, and avoid companies with negative operating results. SmartGrunder can help founders find suitable addresses in Farsund for the restaurant industry, based on market data and development trends.