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Catering Business In Dallas County For Sale

Dallas County, Texas
Asking Price:
$380,000 (USD) Furniture / Fixtures and Inventory / Stock included
Sales Revenue:
$668,080 (USD)
Cash Flow:
$138,440 (USD)

MegaBite Restaurant Brokers LLC offers, for your ownership consideration, a well-established full-service business-to-business catering and event company providing on premise and off premise catering services to the DFW Metroplex (specializing in corporate and special events in greater downtown Dallas) to large legal/financial firms, churches, service organizations and the film industry. The company has a 20+ year history and operates from a leased large, well-equipped commercial kitchen. They have regularly renewed the lease and have had no issues with the landlord regarding their operations. The landlord and landlord related businesses account for about 21% of catering revenue.

The business has developed an excellent reputation for unwavering commitment to excellence and attention to detail. The company operates with a family-owned, well-organized, high-energy and creative culture. The business does very little catering in the social markets but caters many small functions at the homes of their professional clients.

The owner feels that a major advantage over competitors is the trained, loyal, dedicated employee workforce. The staff are professional and a major asset to the company. Customers are happy with the service and committed to using the company. The owner feels that they can be replaced by a hard-working owner who is dedicated to the company. The company employs 5 trained full-time employees (all W2 paid) and approximately 20 other part time/contract labor who work on an as-needed basis. The sellers feel that all employees will stay with a new owner. The owner works approximately 40 hours per week, primarily week days.
All the key production staff is in place and have many years of experience in catering and food production. The company has several high profile long term customers who rely on the quality of their products and services to make them look good. As a rule, catering ordering is done by Administrative Assistants and their only concern is that the Boss is happy. The company has made it their mission to maintain consistent quality and service and develop relationships with the folks who actually order the food. There is a great deal of trust that is necessary in building these relationships. There are always new Caterers, but this company has a solid reputation for food and service. These relationships can be expanded upon by an owner who can make sales calls. It is not dependent on the seller’s personal involvement beyond transitioning a new owner into the General Manager’s role. The seller states that their books and records are thorough and easy to see where opportunities present themselves to a new owner.

The owner has intentionally kept the business in the current size range for personal convenience. More importantly, the business has grown with no advertising and very little sales effort. There are MANY opportunities to further grow sales and profits. As the general economic climate in DFW continues to grow, customers are increasingly proceeding with expanded catering budgets. The business can grow with the addition of sales staff or pursuit of existing market niches. The owner estimates than the business can be doubled in the current space.

The asking price for the assets of the business is $380,000. The seller is willing to finance 20% of the sales price to a qualified Purchaser approved by the seller. All financing is to be personally guaranteed and is subject to seller’s approval. The seller prefers to sell for ALL-CASH. The assets include inventory at cost of $25,000, FFE (Furniture, Fixtures, Equipment and vehicles) valued at $70,000 and Accounts Receivables of $19,000.

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Property information

Real Estate:


Lease Terms:

The business leases an approximately 2,000 SF kitchen space in Dallas, TX, for ~$2,200 per month and subject to percentage rent. THe rent includes all utilities (eg gas, electric, water, trash, pest control) and no building insurance or property taxes are charged to tenant. The landlord maintains all the HVAC, plumbing, electrical, ceilings, floors; equipment repairs are the tenant’s responsibility. The landlord is willing to transfer the lease to a qualified buyer and provide renewals beyond the current lease. The floorplan consists of a large, fully equipped kitchen, office, storage room for food/disposables, dishes, chafers and other catering supplies, Walk in Cooler, Walk in Freezer, Vent a hood plus additional equipment storage.

Leasehold Rent:

~2200.00 per annum

Premises Details:

The business leases an approximately 2,000 SF kitchen space in Dallas, TX,

Business Operation

Expansion Potential:

The seller has used consistent on-time quality production and outstanding service to generate repeat and word of mouth referral business. The business will significantly benefit from continuing the current sales-marketing efforts. A new, energetic owner can further increase sales & profits in many ways: 1) Continue servicing landlord and landlord-related catering, 2) Continue expansion into providing meals for various film production companies who are shooting both still film, TV commercials and motion pictures in the DFW area, 3) Introduce direct business marketing program using soft-sell personal marketing by dropping off samples to admin assistants at major legal/financial firms, 4) Business is running at ~35-50% capacity. The business will significantly benefit from hiring an outside sales person, 5) Capitalize on trend: DFW Corporate environment is increasingly spending money on caterer meals, 6) Expand marketing into Wedding or event business by building on name recognition , 7) Internet and search engine optimization online marketing program

Competition / Market:

The catering industry is very competitive. In the Dallas area, there are many catering companies and every restaurant in town does “catering”. Despite the presence of competitors, the business has developed a solid reputation with a loyal following and has substantial growth opportunities. The owner sees the local market constantly expanding. DFW has a very business friendly environment and most catering customers are always looking for new tastes and presentations. The business distinguishes itself by not being a restaurant that does catering, but by being a true catering company.

5 FT + 20 PT
Years established:

Other Information

Support & training:

The seller wishes to ensure a seamless transition with a purchaser and will train a buyer for up to 4 weeks included in the purchase price. The seller is willing to remain for a longer period of time, in a consulting role, if desired by a purchaser, at mutually agreed compensation.

Owner financing:
Owner financing is available. Please contact the seller for more information.
Financing available:

Price $380,000 with up to 20% seller-financing to a qualified buyer

Furniture / Fixtures value:
$70,000 (USD) - included in the asking price
Inventory / Stock value:
$25,000 (USD) - included in the asking price
Related Documents:

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