Details - Information last confirmed on March 18, 2021
This well-established and highly popular food concession company thrives at a wide variety of sporting events, street or larger fairs, outdoor markets, concerts, holiday festivals, car shows, corporate parties and many more. The simple company is ideal for many, as it’s a lot of fun and it only requires small amount of on-site preparation and production during appearance. Historically the owner invested the vast majority of his time booking and curating a solid roster of sites to attend. With its lengthy track record, the company has become a vendor of choice so the heavy lifting has been done. New management will be able to focus on the most lucrative gatherings to maximize profits and productivity on top, and choose to expand the operation as they see fit or earn a solid living by attending some of Southern California’s most enjoyable gatherings and socializing with others while making their worlds a little brighter!
This bourgeoning enterprise is operated with its sister company, in an office warehouse set-up that could be anywhere in the Greater Los Angeles area. The facility is a spacious 2,000+ square feet, but this includes indoor storage for the 2 wrapped vans included in the sale, the necessary onsite cooking equipment, canopies and more. The business operates alongside a sister company that needs the facility, so the buyer may move the company as they see feet. It is likely that the company could operate from a home, or an office warehouse with under 1,000 square feet (ideally with a 3 compartment sink). Due to this unique situation, a buyer should note that facility expense has not been included in the company’s financials.
While competition amongst food vendors is high at these coveted events, there is generally only 1 provider per food category. Since this company has been a dominant player in its category since 2007, they are the incumbent providers as what they’ve determined to be the most attractive events. This status provides them predicable, recurring revenues and eliminates the need to determine where to focus their time, which nascent providers often struggle with.
The business has historically focused on a convenient geography for its owner and staff, however new management should not limit their productivity to those events that the firm already plans to attend. In fact, management estimates that they can double business if they wanted to; the only limitation is the size and complexity of a new operation that new management wants to take on. Additional opportunities also exist for those with other products and boast their own roster of events. Such people can introduce this concept alongside their existing one or visa-versa. With multiple offering as the same event, efficiencies and economies of scale can be achieved in staffing, travel, and perhaps even event fees or commissions. For those gatherings that merit minimum sales requirements like corporate parties, a buyer with multiple offerings will likely then offer or more compelling advantage over others.
Training: 3 Weeks at 20 hrs/wk
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Disclaimer: DealStream has not independently verified any of the information in this listing and makes no warranty as to its accuracy or completeness. This listing does not constitute an offer to sell, solicit or make an offer to buy an investment interest. Offers to sell, or the solicitation of offers to buy, any security can only be made through official offering documents, such as a subscription agreement and private placement memorandum.