Client Spotlight: Lux Bakery, Inc.

 

Lux Bakery, Inc. has been a staple in the San Antonio area since 1965 and serves as a commercial manufacturing bakery selling primarily to retail grocers, school districts and bakery wholesalers and distributors.  Since opening its doors 47 years ago, Lux Bakery has operated out of a 7,000 sq. ft. building located in the Southside of San Antonio. Due to tremendous growth, owner Ignacio Alvarez wanted to move forward with increasing the capacity and capability of the bakery by purchasing a property of approximately 81,000 square feet.

In 2010, Ignacio began working with San Antonio SBDC advisor Richard Sifuentes to develop a business and financial plan to expand the bakery. Ignacio and Richard met with a real estate agent to outline a cost proposal and terms of acquisition for the land and building.  After initial appraisals were lower than expected, Ignacio and Richard reviewed and revised the financial projections based on several determining factors and were able to come up with a loan package that was both approved and served the needs of the bakery.

With the assistance of the SBDC, the company has been able to obtain the financing to grow the facility into an 80,000 square foot facility. Ignacio’s business partner and wife, Frances, has attending our QuickBooks Series workshops. The company has invested a substantial amount of owner investment into purchasing new digital technology that tracks ingredients and orders.

Since the expansion, the company has doubled its first quarter sales and purchased new equipment including ovens and a chilling room. According to Ignacio, “production is coming along nicely,” and he is “looking forward to the continued growth of the Lux Bakery.”