Pierogi Pantry (1)

Pierogi Pantry (1)

Pierogi company turning into a collective that supports the Cleveland local food scene

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Security Type
Secured Loan
Categories
Food & Bev
Location
North Olmsted, OH
Offering Date
October 15, 2020
Expected Close Date
December 17, 2020
Deal Notes

Loan Purpose:  Open location; equipment

Interest Rate: 10.25%

Payments: Monthly, disbursed to investors quarterly 

Maturity: 6 months interest only + 54 months fully amortizing

Personal Guaranty: Nikki Odongray

Security Interest: Blanket lien on assets of company

Company Description

Pierogi Pantry is a small craft food company serving up delicious scratch-made comfort food at farmers markets, local events, and wholesale to local restaurants.

Now we have the amazing opportunity to open our own retail location, but instead of just selling our own products, we have decided to create a new company called Cleveland Bakery Collective so that we can share this opportunity with many other local business owners who may otherwise not have the resources to sell out of a brick and mortar retail location or produce out of a licensed commercial kitchen.

Cleveland Bakery Collective will be a retail outlet for Pierogi Pantry, providing a steady revenue stream for us.

Producers will have the ability to rent production space in our commercial kitchen for $15-20/hr, and for those just wanting to sell our products there, we will take a 20% commission.

Commission sales and kitchen rental will help us offset the overhead costs of operating Cleveland Bakery Collective while also giving other small business owners the opportunity to sell their products in a retail setting––as well as an affordable option to produce their products in a commercial kitchen.

Use of Proceeds

  • Hood $20,000
  • Second hood $5,000
  • Contractor & architect start up $8,000
  • Build out $20,000
  • Refrigerator/walk in freezer $15,000
  • Immersion blender $700
  • Robot coup $1,200
  • Kitchen labor tables $1,000
  • Other equipment $5,000
  • Small wares $1,000
  • Cooler-display case $2,000
  • Signage $2,000
  • Staffing(one hire for three months) $5,400
  • Retail store shelves $1,000
  • Reach in cooler $2,000
  • Reach in freezer $2,000

Management Team / Advisory Board Bios

Nikki Odongray is the owner of Pierogi Pantry LLC and Cleveland Bakery Collective LLC. In addition to running the business and financials, she also helps out with the day-to-day operation of the business and product creation.

Jay Odongray acts as General Manager of Pierogi Pantry, creating new recipes and overseeing all production and sales for the company. She has 10 years experience in the restaurant and food industry.

Deal Notes

Loan Purpose:  Open location; equipment

Interest Rate: 10.25%

Payments: Monthly, disbursed to investors quarterly 

Maturity: 6 months interest only + 54 months fully amortizing

Personal Guaranty: Nikki Odongray

Security Interest: Blanket lien on assets of company

Amount Raised : $0
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Security Description

Secured debt is debt backed or secured by collateral to reduce the risk associated with lending. If the borrower on a loan defaults on repayment, the debt holder can seize the collateral, sell it, and use the proceeds to pay back the debt. Assets backing debt or a debt instrument are considered as a form of security, which is why unsecured debt is considered a riskier investment than secured debt.

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