How do I check a bakery’s ovens and equipment before buying?
Check a bakery’s equipment by asking for service records, inspecting each oven, mixer, sheeter and cooler under load, and confirming who owns or leases every piece. Bring a technician if you can, and list anything that will need replacing soon.
Equipment is where a bakery’s history shows. A neat shop can sit on ovens that are close to the end of their life, and a plain one can have machines that were looked after for years. Ask for a list of every major piece, then see each one working. This page is about checking condition. Whether to sell the business or the equipment is a different question for the seller.
Start with the list and the owner
Ask for each major item: deck or rack ovens, proofers, mixers, sheeters, dividers, coolers, freezers and the exhaust hood. For each, ask who owns it. Some is leased, some is financed and some belongs to a supplier. Ask your lawyer whether a lien or a lease is attached to the equipment. Your lawyer can search for claims against it and read the lease terms.
Ask for the service history
Request invoices for repairs, cleaning and inspections, and ask who services the equipment. A bakery that keeps records usually kept the machines running well. Ask about breakdowns on busy days, parts that are hard to get and any work the seller has put off. If the hood and exhaust are overdue for cleaning, ask what that means for your insurer.
See it run, with a technician
Watch the ovens heat, hold temperature and bake evenly. Listen to the mixers and check the coolers hold their temperature. A refrigeration or baking technician can spot wear that you will miss, and the cost of the visit is small next to a surprise repair. Our page on equipment checks for a print shop uses the same approach.
Plan for replacement
Even good equipment ages. Ask your technician what is near the end of its life and put a realistic cash cushion for replacing it into your plan. A lender may want to know what the equipment is and its condition. Our page on what costs come with buying a bakery covers the cash side.
Related reading
15 pages on the same subject, grouped by topic.
Selling
Buying
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentEquipment valuation: How to do it
- 02Business Development Bank of CanadaGovernmentEquipment purchase financing for entrepreneurs
- 03Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
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