Brisbane City, Queensland 4000
Manufacturing Bread Products. Buyer does not need to be a Baker.
For Sale | $1,700,000 + SAV
The business sells product mostly through Frozen Food Distributors around Australia any direct clients are generally large institutions.
All product is sold frozen, (little to no wastage) up to 6 weeks product is stored in the 500 Pallet freezer and transported to clients in Freezer transport. (no trucks owner by the business)
With the high level of automation, staff are not bakers. The Owners over the years has bought equipment that reduces staff and the cost of production. Excellent equipment like: the bread line (Bulk dough is fed to the hopper and the line puts the product onto trays at the other end), The trays are put onto trolleys and pushed into the Proving room (capacity 24 trolleys) then onto the 8 gas fired Ovens (trolleys are pushed into the ovens) after the cooling room the trolleys are fed into the chain pulled blast freezer. The product is then boxed and the robotic arm stacks the boxes onto the pallets.
The factory has HACCP Certification. The factory currently operates four days a week. Because of the capacity of the freezer the business enjoys every weekend off, public holidays, Easter, Christmas and New Year. Providing a great lifestyle. Currently the staff like to operate from early morning with production finishing around 8am, packing by about 9 / 10 am.
Over of the 25 years, the business has established practices, and systems where the staff are self reliant, requiring little supervision. The current Owner has staff that look after the day to day management, accounts and any maintenance issues. The Buyer does not have to be a Baker, but general knowledge of management and marketing knowledge would be a benefit.
Recently a Food Broker was contracted to source large contracts.
Recently the Owner signed a contract with a supermarket chain for the supply of Retail Frozen product. This is a first for the business as they have not provided retail product before. The packaging machine has been installed with sales to commence mid 2019 or before. This packaging machine opens up a whole new market for the business, the depth and spread of such sales is not limited.
The production key indicators of this business are good for this type of operation, as the owners over the years have introduced cost-saving measures and automation to reduce wages and the cost of goods. On sales of $2.81 M in 2018 the cost of goods including production labor was 35% and adjusted net profit PEBITDA (Where owner is paid $100,000) was 17.6%. These key indicators have remained steady over the past five years.
Buyers that are able to increase sales from existing products or introducing products to a larger client base will gain the greatest benefit as little to no capital expenditure is required to triple production.
Current owner will assist transition to new Ownership
Equipment was valued by an Equipment Valuer in May 2017 at over $2 million
Buyers should be able to demonstrate the ability to purchase in the first instance.
To show your interest or for serious inquiries, please contact the Broker via email.