FOR SALE
657186
Business Description:
Established in 2022, Sumo Donuts is an established independent artisan donut business operating across Kent.
Built from the ground up by the current owners, the business now comprises three customer-facing retail locations in Canterbury, Maidstone and Folkestone, supported by a dedicated central production facility in Ashford.
All core production is centralised at the Ashford facility, with finished products distributed across the retail estate. This provides a significantly more scalable operating model than individual production kitchens at each location and creates infrastructure capable of supporting additional retail outlets and revenue channels.
The sale includes the established Sumo Donuts brand and goodwill, fitted retail operations, central production infrastructure, equipment, recipes and production methods, supplier relationships, operating systems, digital assets and social media presence, together with training and handover from the existing owners.
The business has experienced significant recent growth, with latest annual turnover of approximately £228,000, compared with approximately £153,000 in the previous year, representing growth of approximately 49%. Latest reported profit is approximately £59,000.
Alongside conventional retail sales, Sumo has already developed a number of additional revenue streams including weddings, corporate and bespoke orders, wholesale, markets, festivals and events.
The business has confirmed wedding bookings extending into 2027, repeat corporate customers, an existing wholesale customer and further inbound wholesale interest.
Sumo also benefits from established relationships with universities, tourism operators and local commercial organisations, together with an established social media following and in-house content capability.
The existing owners have focused considerable time and resources on establishing the current retail estate and production infrastructure. Consequently, a number of additional revenue channels have developed organically without dedicated sales or business-development resource.
This creates an opportunity for an incoming owner to acquire an established trading business while also having a platform from which to pursue further growth.
Growth Opportunities:
Potential areas for further development include expanding the existing wholesale operation into cafés, farm shops, hospitality and independent retail; growing the established corporate, wedding, event and bespoke-order business; developing nationwide boxed delivery and online gifting; testing the Sumo brand in London through markets and pop-ups; developing smaller-format kiosks or concessions; increasing market, festival and event trading; expanding coffee, drinks, desserts and complementary product ranges; and increasing utilisation of the existing central production facility.
The business has also held early-stage exploratory discussions regarding potential high-footfall concession opportunities, although no value should be attributed to these discussions and no agreement or rollout commitment currently exists.
Premises:
Canterbury – Established city-centre flagship retail store.
Maidstone – Recently established retail location with a larger customer-facing area offering additional scope for events, pop-ups and experience-led activity.
Folkestone – Coastal retail location with a relatively low annual rent and potential for further seasonal and visitor-led trade.
Ashford – Dedicated central production and operational facility supplying the retail estate and providing infrastructure for further expansion.
Total headline annual base rent across the four locations is approximately £53,020, excluding VAT where applicable, service charges, insurance and other property outgoings.
Relevant leasehold interests would transfer subject to transaction structure and any required landlord consents.
What's Included:
Sumo Donuts brand and goodwill; retail operations; central production facility; relevant leasehold interests; shop fit-outs; production and retail equipment; recipes and production methods; supplier relationships; operating systems; EPOS infrastructure; website and transferable digital assets; social media accounts; market/event equipment; and owner training and handover.
A detailed information memorandum and supporting documentation are available to suitably qualified prospective purchasers.
Staff & Handover:
The business has an existing trained team and store management familiar with the day-to-day retail operation.
The owners are prepared to provide an agreed handover and training period of up to approximately four weeks, covering production, recipes, suppliers, ordering, operating procedures, systems and relevant commercial relationships.
Reason for Sale:
The owners are considering a sale in order to pursue other family and business interests.
This is not a distressed sale, and the owners are seeking the right purchaser to take over and develop the business.
Financial Summary:
Guide asking price: £400,000
Latest annual turnover: Approx. £228,000
Previous annual turnover: Approx. £153,000
Latest reported profit: Approx. £59,000
Year-on-year turnover growth: Approx. 49%
Detailed financial information will be available to serious prospective purchasers.
Enquiries / Confidentiality:
Further information is available by way of a comprehensive Buyer Information Memorandum.
Prospective purchasers will be asked to provide some basic information regarding their background and proposed acquisition before commercially sensitive documentation is released.
Serious enquiries only.
Do not pay any deposit to private sellers upfront. If you are looking to purchase a business, we advise that any deposits or transactions made are through a solicitor to prevent fraudulent activities from occuring.
Do not share confidential information with any private sellers, including your home address, account passwords, bank accounts and credit card information.
The vast majority of these scams involve the transfer of substantial sums of money. We advise all transactions made are through a solicitor to prevent fraudulent activities from occuring.
Send a test amount before you consider handing over a large amount of funds. Maybe even try transferring £1, and then speaking to your solicitor to confirm receipt.
Do not disclose proof of funds directly to the sellers. If the sellers request you to show proof of funds, we advise that it is done through a solicitor to prevent fraudulent activities from occuring.
Buying a business is not covered by consumer rights legislation. It is your responsibility to acquire a business that holds up in quality and agreement.
Fraudsters will typically use false news in an attempt to get you to act quickly. For example, 'Your account has been disabled. Reset your password now.'.
Review the performance of a business to make appropriate financial projections. Some businesses are dormant or not trading, so it is essential to check their short and long-term potential.
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Be safe, use a Rightbiz Solicitor
Do not pay any deposit to private sellers upfront. If you are looking to purchase a business, we advise that any deposits or transactions made are through a solicitor to prevent fraudulent activities from occuring.
Don't share confidential information with any private sellers, including your home address, account passwords, bank accounts and credit card information.
The vast majority of these scams involve the transfer of substantial sums of money. We advise all transactions made are through a solicitor to prevent fraudulent activities from occuring.
Send a test amount before you consider handing over a large number of funds. Maybe even try transferring £1, and then speaking to your solicitor to confirm receipt.
Do not disclose proof of funds directly to the sellers. If the sellers request you to show proof of funds, we advise that it is done through a solicitor to prevent fraudulent activities from occuring.
Buying a business is not covered by consumer rights legislation. It is your responsibility to acquire a business that holds up in quality and agreement.
Fraudsters will typically use false news in an attempt to get you to act quickly. For example, 'Your account has been disabled. Reset your password now.'.
Review the performance of a business to make appropriate financial projections. Some businesses are dormant or not trading, so it is essential to check their short and long-term potential.
Legitimate emails from Rightbiz will be with the domain @rightbiz.co.uk. However, emails from [email protected], [email protected] or [email protected] are not affiliated with Rightbiz.
Be safe, use a Rightbiz Solicitor
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