Profitable And Highly Popular Dessert Shop, REDUCE

Business Overview:

TRANSWORLD BUSINESS ADVISORS OF HOUSTON. LISTING REF #76931-449869

House of Chimney Cakes, Profitable and Highly Popular Desserts

This unique franchise dessert store in Richmond (Southwest Houston) is the only one of its kind in the Houston area. House of Chimney Cakes opened in April of 2023, and in only four months, the business generated over $90,000 in revenue, with sales growing each month with zero dollars in paid marketing. The brand and the concept are both so popular that customer reviews, pictures posted on Instagram and word of mouth have all driven ample traffic to this store. Annualized and estimated revenue for the first year in business is $193,643 with an estimated an SDE of $35,000, but that implies steady sales with no continued growth. With the addition of even minimal paid advertising and more owner involvement, the numbers should be even better. All needed inventory can be easily purchased at local grocery stores and/or big box wholesale stores, and the day-to-day operations of the business are straightforward and simple. Chimney cakes are a traditional Hungarian dessert that are hand crafted and freshly baked at the store and then topped with soft serve ice cream.

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Property Features and Assets:

Monthly Rent: $3,500.00

Square Units (Foot, Meter): 1,000

Lease Expiration Date: August 31, 2028, 10:00:00 PM

FF&E General Condition: New

Market Competition and Expansion:

Expansion: Since the business just opened in the spring of 23, there is ample room for growth and expansion at the current store and throughout the Houston area if the buyer chooses to open additional locations. The owner has spent little to no money on paid advertising and marketing, and the shop has grown tremendously based on a large social media following and word of mouth. Adding something like Google Ads could drive even more traffic to this location. A new owner should drop off marketing materials, discount “first time offers” or even samples at other local businesses and schools and look to partner with both as well. The franchise still has many available territories in the Houston area, so it would be ideal if a buyer worked with the franchisor to secure future territories and/or ask for rights of first refusal in order to have the most opportunities.

Reason for Selling:

Personal

Additional Details:

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