1988 was a year to celebrate; this was when Spence Family Bakery opened. Some 16 years later, in 2004, the current owners took ownership and ever since, it's been a proverbial goldmine in the suburbs.
Now approaching retirement, this husband-and-wife team are looking to hand over ownership to new owners.
It's been a profitable little machine and would suit a family looking for simplicity and security using a proven formula.
In setting the price of $220,000, they have essentially factored a little over one year's profit, and owners wage the business made approximately $274k for them in 2021. The owners are willing to accept vendor finance option including $150,000 payment in advance and $100,000 repayment in two years with agreed terms.
There is nothing to spend on fitout or equipment, and the business consistently turnover is between $15K and $20k per week. As a bonus, the owners take about 4 weeks of every Xmas and January and shut the shop.
For those of you from outside of Canberra, we would invite you to visit our prosperous national capital. One of the things you will quickly appreciate is the unique planning laws that essentially isolate retail trade into suburban centers.
This planning regime protects retail businesses within suburban centers by limiting competition. Spence is now emerging as the premium local-shopping center in Belconnen with a highly regarded supermarket, hairdresser, butcher and chemist.
The lease is secure for approx. ten years, and the rent is under $50,000 without the onerous demands of major shopping centers.
There is a large pool of casual staff that can run the front-end of the business. You will need to have experience in baking.
It's a 6-day week business, not opening on Sunday, and there are plenty of ways to increase profit and sales; the current owners have not needed to focus on this as they have made approximately $200k-$275k a year.
So, you will need experience in bakeries. We are reasonably confident that robust bank finance options will be on such a profitable opportunity. If you can raise 75% of the asking price, the owners will contribute 25% of the sale price to the right, experienced incoming owner.
There is a considerable list of assets offered with the business, and we have compiled a detailed business information package.
If you are interested in securing this business, please email sales at capitalcommercial.com.au with your full name, phone and interest in "Spence Family Bakery" and our team will action your enquiry.
Are you concerned about finding a pastry chef to help you run the business? Well, that's understandable.
The current pastry chef is prepared to sign an employment agreement to stay on. He currently works 7-3pm 5 days a week.
Thank you and best of luck in 2022.
