Commercial Bakery With Major Clients
Location California,United States
Asking Price Range < $250K
Gross Revenues $91000
Net Profit / Cash Flow $12000
Cash Flow Type Sellers Discretionary Cash
Seller Finance No
Year Established 1996
Number of Employees 1 - 3
Relocatable Yes
Number of Employees 1 - 3
Real Estate Leased
Training 2 weeks at 20 hours / week.
Reason for Sale Personal.
Description This small, simple 4 person commercial bakery for sale is a business that holds tremendous potential for the motivated owner / operator. The business operates out of a low key commercial kitchen in a business park, but sells its 4-5 baked products to national retailers such as Whole Foods and regional players such as Mother's Market. The company does so without attending trade shows, without distributors or appointed sales reps, without a marketing force in place, and without their own retail presence. In fact, they do not even engage in web sales, farmers markets, or any types of grassroots marketing efforts, and have not made any significant attempt to expand the product offering. The facility, which only operates from 6 am to 3 pm, is well under its capacity and it on a year to year lease - so the operation can easily be relocated anywhere in the country (its Whole Foods accounts are both local and East Coast).
Asking Price $135,000.
This 1,800 square foot facility leases for $1,580 per month, on a year to year lease that is up in November. The facility includes a 12 x 8 walk-in cooler, 2 convection ovens, 2 mixers, a shrink wrap machine, a chocolate machine, surveillance equipment, and a dough depositor.
There is strong competition in the commercial baked goods market. This firm, however, has been in existence since 1992. It was sold in 2006, with no loss in business due to the firm's superior product and recipes.
There are many directions in which a new operator may seek to take this operation. The business currently has a few key accounts (with Whole Foods being the largest). As the current owner seeks to maintain a simple operation, they have not actively marketed the firm or otherwise made any substantive efforts to grow sales. In fact, they don't court additional Whole Foods stores, or any others. New owners may seek to expand the product line to increase sales with existing clients, or gain new clients.
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