The North Hollywood Area bakery and catering company has a tremendously innovative concept that is embraced by its corporate client base as well as its private patrons. The business uniquely combines food and art in manner that changes the customer landscape and the value proposition the business offers its clients.

This 700 square foot commercial kitchen leases for $1,275 per month with 3% annual increases on a lease that expires in 2018. All of the business's furniture, fixtures, equipment, goodwill and specialty equipment will be included in the sale. Approximately $2,000 in inventory will be sold at cost at close.

Due to this firm’s highly unique concept, which requires special equipment to apply, this bakery does not compete directly with other commercial or retail bakeries as its offering cannot be matched by them. Alternately, since their specialty equipment allows them to offer services typically not present in food service (i.e. advertising), this firm actually presents new competition to competing advertisers such as print shops.

New management will eagerly seek to capitalize on this opportunity’s unique value proposition as it provides them such a unique long-term competitive advantage. They would do well to couple this offering with more traditional baked goods products or general and specialty catering services.

Posted Jul 1, 2016

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