Hi,
I would like to start a small bakery franchise in NorCal (not in the Bay Area). Now I have two options. One is buy an existing store that already has kitchen equipments and sink that I can use for my own business. Or I would lease a space that doesn’t already have a kitchen and I need to do the built out myself. I can’t decide which one would be more cost effective? I know the existing store is trying to sell for 100K, I could try for a lower offer. How much exactly will a built out of a complete kitchen cost?
My wife owns a bakery. You can expect to easily spend between 50k to 100k on equipment. A lot will depend on what, exactly, you need and whether you can get some stuff second hand. For example, we just recently bought a second large mixer. 60qt Hobart… We bought a used one for 6k. A new one would be closer to 30k. We’re also looking at a large roll-in oven, which if we find a used one, would likely cost us around 10k to 15k but new would be in the 50k to 60k range.
However, at least where I am, the largest hurdle you’re likely to face is zoning, permits and inspections. If you find a location that already has an approved kitchen you’ll be in for a much easier time than if you have to build a kitchen from scratch with all of the regulations that go along with that.