Beauty and the Baker - From Construction Dreams to Ready-to-Go Reality

"I've been going through underwriting for the past two years with various banks to get funding. We were trying to move our bakery from one location to a better location."

That's how Marco Navarette started our 42-minute phone call back in June. But what he told me next hit hard.

"Our landlord took our spot and gave it to our neighbors so she could expand into a med spa. On top of that, she also signed on another franchise that competed with ours, so she wasn't really willing to renew."

Marco and his wife Mikayla weren't just losing their location - they were losing their livelihood. Beauty and the Baker had been generating enough to support themselves, but now they were operating out of their home, doing pop-ups and fulfilling the contracts they could just to pay the bills. The business that had been their dream was now barely surviving.

The Two-Year Battle

Marco had been fighting for his family's future for two years, knowing the lease end was coming up. He was smart to get started early, it just ended up not being quite early enough. He'd been through the underwriting wringer with multiple banks, getting strung along for months without straight answers. Some of these being "Top 10 SBA Lenders", who obviously know how to close loans, but didn't quite have the personal touch needed for a business like this. When one bank finally agreed to move forward, they went through another full year of underwriting, got to closing, and then the construction bids came back at double the original estimates.

"We finally got our bids back after we submitted plans to contractors, and they came at double. The bank was willing to front the difference, but we weren't, because whatever our payment was gonna be... we were not gonna be able to afford long term what the cost was."

Marco wasn't just being cautious - he was being smart. He'd already invested thousands of dollars in architectural plans. He and Mikayla had put everything on the line, and he wasn't going to set them up to fail with payments they couldn't handle.

"I've got this building we own in the area. It's paid free and clear."

Here was someone who had skin in the game - real equity, not just promises. But the construction costs to build out a commercial kitchen were killing the deal.

The Family Sacrifice

What really got me was his honesty about their situation.

"I probably will have, by the end of this month, maybe anywhere between eight and ten thousand. We are, as a family, selling - we have people that are selling their houses just as backup, and I'm selling my own house because the commute is killing me."

This wasn't about greed or expansion - this was about survival. Marco was selling his house not for profit, but because "the commute is killing me to come out here and do stuff." His family was rallying around them, but Marco was determined to do this himself.

"Since this project took so long, I don't wanna take more of their time. They're my parents and other family members, but they have their own things they're doing."

The Pivot Point

That's when something interesting happened. While we were working through the financing details, Marco found hope in an unexpected place.

"I saw a Korean barbecue place that's down the street from our place in the same downtown area that went on the market last month. It has a kitchen, it's turnkey. It would just be mostly cosmetic things and moving our equipment in."

The Right Way Forward

Sometimes the best deals are the ones that pivot. Instead of building from scratch with all the uncertainty and cost overruns, they'd found an existing space that could work. The seller was motivated, the price was right, and suddenly we weren't looking at an $1.8 million construction nightmare - we were looking at a straightforward real estate acquisition that could get Beauty and the Baker back in business.

What impressed me most about Marco was his approach to the process. After getting burned by banks for two years, he was still willing to trust, but he was asking the right questions.

"I feel like we were talked towards a path that made it balloon higher. It felt like we were being set up to fail."

Marco understood that working capital wasn't about the bank trying to lend him more money - it was about having reserves to survive those first few months.

"I feel comfortable at a certain amount... I don't wanna fail in the first few months."

That's the kind of borrower you want to work with - someone who thinks long-term, not just about getting the keys.

Moving to Close

By June 13th (a Friday..) the buyer had decided to formally move forward and his real estate agent was putting in the offer. I added David Hulit at Port51, our lending partner on this on, to the sbaloansHQ loan tracking portal and he received the following:

"David, You've been added as the lender for Beauty and The Baker"

In one click he was able to view a financial summary, a narrative on the project, and a full ready to go financial package.

"Thanks, confirming receipt. This one looks like a good deal for our shop. We will review and be in touch Monday with next steps."

That's when you know you've got something solid. When experienced lenders see a deal and immediately recognize it as a good fit for their portfolio.

By August, we were scheduling closings. Megan and Maria from The Gil Law Group were coordinating with the title company and the lender. We were back and forth with the insurance team, but eventually, it all came together.

"Closing has been scheduled for August 15th at 12:30 PM at Precision Title‍


The Bigger Picture

Marco and Mikayla weren't just buying a building on Cass Avenue. They were buying their future back. A place where they could serve their community again, rebuild what they'd lost, and create something lasting for their family.

I sent Marco a check-in text this morning to make sure he didn't need anything from me.

"I'm all set! Still very surreal. I appreciate you getting me here"

Two years of frustration, setbacks, and doors being slammed in their faces. But Marco never gave up on his family's dream. Sometimes in this business, you get to be part of something bigger than just moving money around. You get to help people like Marco and Mikayla turn their vision back into reality.

Beauty and the Baker got their building on Cass Avenue.
Marco and Mikayla got their shot.
And another small business dream got a second chance.

If you're curious what we can do to help your current business buy a permanent location or add onto the one you have, you can prequalify here. We'll keep you moving in the right direction.