Selling Your Bakery?
The restaurant recession that began in 2008 seems like it might never let up, and COVID-19 has done even more damage to this struggling industry. Bakeries are no exception. COVID-related restrictions contributed to a decline in suppliers for food and beverage establishments, finding proper staffing at reasonable wages and even allowing the patrons to safely dine in your establishment seem to be an uphill battles. This has added more pressure for the bakery business owners, creating a higher demand for even more of their valuable time and money, and an influx of bakeries for sale. In 2020 over 110,000 restaurants closed their doors permanently, and in 2021, it is expected that another 190,000 will do the same.
Bakery owners who have made this final decision to close can often find themselves overwhelmed with the process of liquidating all of the furniture, fixtures and equipment (FFE) of the bakery. WBAR understands how daunting this process can be, and we are here to make it easier on you.
While you are beginning the tasks of filing proper paperwork and notifying suppliers, employees and customers, WBAR will make you a CASH offer on your business and can complete the entire process in just days.
Request a FREE valuation today, and our experts will begin the process with you. We’ll need some information, a few photos, & we’ll help create your tentative asset list which may include:
Refrigeration (Coolers, Freezers, Walk-ins)
Cooking & Processing Equipment (Convection Range, Proofer, Warmer, Baking Oven)
Seating for Dining, Waiting and Outdoor Areas
Slicer, Mixer, Fryer, Docker
Cameras and Lighting Packages, Sound and POS system
Small Wares (Baking Pans, Serving Dishes, Catering Supplies)
Any Other Non-Permanent Assets in the Property
After reviewing the information you will receive a FREE cash offer with NO obligation. Once the offer is accepted our team will immediately begin scheduling your extraction using qualified labor and proper tools and transportation.
Still owe on your equipment? Leases? Multiple owners? Franchise agreements? Outstanding debt?
IT DOESN’T MATTER. We can help. CALL NOW!!
We Know the Bakery Business
When opening a new bakery, owners must consider local trends for their location’s market. Most bakeries focus primarily on take-out options, mainly walk-in traffic, and rely on food delivery services like Uber Eats, GrubHub, Postmates or DoorDash for their deliveries as having the added expense of a delivery driver doesn’t always make sense for their business model. Consider offering additional food options or specialty beverages like coffees, teas or lattes. Even offering deli sandwiches for lunch or family-sized dessert or baked good options in a bakery case or deli refrigerator for quick, easy to-go business. Outdoor dining options can increase sales for warmer climate markets and covered outdoor dining helps for those variable weather markets, too. Counter service is most prevalent in bakery cafes so having a large, clean area with multiple quick-serve options can increase sales. Consider having a countertop merchandiser near the cash register / checkout counter for quick salad and sandwich impulse buys. Many bakeries and cafes nowadays understand the importance of accessibility for their guests and customers with food allergies such as wheat, nuts, gluten, eggs, dairy, soy, etc. so catering your menu to those needs should be thought of. Offering gourmet baked goods, wedding cakes, custom birthday and graduation cakes, quinceanera cakes, king cakes for mardi gras, anniversary, retirement, celebration of life, rehearsal dinner, holiday meals and the like could increase your presence in your market. Because many grocery store retailers and restaurants offer bakery services it is important to find your niche. If your state allows smoking inside or on the patio, consider having a strict non-smoking section available for guests with small children, health or breathing issues, or simply because they would rather utilize that space while eating.
The average cost to open a bakery in the US is $675,000.00. When opening a brand new bakery or cafe it should be mentioned that you should expect at least 18 months before beginning to see a profit - possibly longer considering higher wages associated with labor shortages, food shortages resulting in increased costs, higher security deposits or lease terms since landlords and owners of properties or shopping malls / strips that rent to restaurateurs have experienced a higher incidence of eviction or court costs or simple business abandonment due to losing money instead of making any profit. In addition, the owner needs to consider whether they will continue their previous employment while awaiting the business to generate enough profit to properly pay them for the many hours they will be putting into the business. Anyone who has ever owned a bakery or any other type of food establishment knows that working twice as hard for half as much is almost a given, usually working for the simple reward of a business that makes enough money to make up for all of the time and energy they have poured into their family business or franchise. In 2020 there were over 59,000 cafe / bakeries in the US. Of those, 23,158 are defined solely as retail bakeries. California has the highest number of bakeries with 3,399 - not surprising considering they also tout the highest population with a whopping 39,613,493 residents . The closest state to have the highest number of retail bakeries is New York with 2,014. Texas has only 1,995 which is a bit surprising considering it is not only the largest state in America but also the second highest populated with 29,730,311 residents. It is believed that the first bakery originated in Ancient Greece around 600 BC when the Ancient Egyptians began baking bread using yeast, leading to the invention of enclosed ovens. The oldest bakery in the world is Warrens Bakery in England where locals and travelers alike have enjoyed their early morning freshly baked bread daily since 1860. The first bakery in the US, Roeser’s Bakery in Chicago, opened in 1911 and still operated today. The world’s longest cake measured 17,388 feet. It was created in Thrissur, Kerala, India, on January 15, 2020 by Bakers Association Kerala and astonishingly finished within just 10 minutes by the waiting crowd. It is estimated that for every 1,000 bakeries that open, only 30 will remain open after 5 years, with a whopping 900 of those closing within the first year. If you are considering selling your bakery, you understand the market. It is best to sell fast - sell NOW - before thousands of other similar restaurants flood the market, devaluing your investment right alongside the daily depreciation factors. Stop struggling to earn a living, and start living! Call WBAR NOW for your FREE valuation.
