Highly Profitable Modern Designer Bakery

2022 Gross sales $1,271,811 adjusted net $428,233 SBA approved

SB834 Blind Image 2


$1,271,811 in 2022
Cash Flow:
$428,233 in 2022
East Bay South
Service Area:
Greater Bay Area
 Adjusted Profit Margin:
16 PT (plus 2 owners)
Reason for Sale:
Pursue other interests
Goodwill: 4.6 star Google rating. 4.5 star Yelp rating
Year Established:  2018
Services:  Donuts, pastry, and coffee.
& Equipment: 
40qt planetary mixer, 24”x24” fryer, proofer, combi oven, dough divider, table top sheeter, 2 group espresso machine, Square POS, 48” range, refrigeration, work benches, etc. a full list will be included in the business memorandum following the executed NDA.
Delivery Service:  Third party delivery utilized
Clientele:  100% Retail
& Lease: 
1820sf at $8,225 per month including CAM. 10-year lease (started 09-2018) with 2 five (5) year options. Security deposit is $6,606.60, lease is assumable to a qualified buyer.
Personnel:  2 owners, 9 bakers, 7 customer service
Software Used:  Square POS

Value Proposition

  • 5 years of Established Reputation
  • Exceptional Customer Reviews of 4.8 stars
  • 33% Profit Margin, $428,000 Adjusted Earnings
  • Priced at Market multiple of 2.34x•Operates on 4 sale days a week
  • Year over year increase average is 17% (not including 2020)
  • Experienced Team of Bakers and Sales Staff
  • Buyer to Replace Sellers in daily operations
  • Systems, Concept and Atmosphere could be duplicatable
  • Highly attractive website and robust ordering system
SB834 Profit Margin Chart 2023 07 26

Revenue Breakdown

SB834 Rev by Categry Chart 2023 07 26
SB834 Expense by Category Chart 2023 07 26

Financial Highlights

  • Listing Price: $1,000,000 + Inventory
  • 2022 Cashflow (SDE): $428,233
  • 2022 Gross Sales $1,271,811
  • Business opened 2018 gross sales $206,499
  • 2019 Gross sales $902,092, Net $217,190
  • Suggested Working Capital $125K
  • Inventory as of May 31, 2023 $16,500
  • Security deposit $6,606.60
  • $365,527 in FF&E and TI Included in asking price
  • 2023 projected sales over $1.4M
  • $200,000 growth year over year at 4 days a week open
SB834 Sales Cash Flow Chart 2023 07 26

Cashflow Analysis

SB834 Fin Table 2023 07 26

Asking Price

The asking price is determined using a cash flow methodology. Cash flow is the sum of net income from the business plus any non-cash expenses, non-recurring items and any seller’s personal expenses. A multi-factor multiplier is applied to the cash flow based on the condition of the business.

For this business, as they are experiencing a high growth rate and operations are 4 days a week making this a very desirable business, last year’s numbers have been used as the basis and then applied to the average multiple of 2.34X based on research and comparable historical sales found from the data base in Gulf Coast Financial.

This business has been pre-approved by SBA.

SB834 Multiple Box 2023 07 26 2

Funding Example

Purchase Price: $1,000,000

10% Buyer Down Payment


Buyer’s Equity

90% Bank Loan


10-Yearterm at a rate of 11.50% = Monthly loan payment of $12,513

  • Cash Flow (SDE in 2020): $428,233
  • Annual Payment to Bank: $150,156
  • Net Profit (After Expenses and loan payment): $278,077
SB834 ROI Box 2023 07 26
SB834 Coverage Ratio Box 2023 07 26

* Please note that the decision of whether to extend a loan on any sale belongs to the bank, and this document does not guarantee specific terms or verify that financing is available.