Leading Gourment And Medicinal Mushroom Farm In Melbourne For Sale

Business For Sale Thomastown, Victoria 3074

Business Category Medical

$420,000

Description

Leading Gourment And Medicinal Mushroom Farm In Melbourne For Sale

FOR SALE: Australias Leading Organic Mushroom Farm with High-Value Contracts and a Fast-Growing Health Supplement Line

Asking Price: $670,000 AUD (includes state-of-the-art equipment, fixtures, and initial stock inventory)

Business Overview: Xotic Mushrooms is a premier producer in Australias fast-growing natural health and wellness industry, specializing in premium organic Lions Mane extract powder and 18+ varieties of gourmet exotic mushrooms, including Oysters, Shiitake, and King Browns. With an impressive $1M+ annual wholesale contract secured in 2022, Xotic Mushrooms has supplied more than 30 tonnes of fresh mushrooms to top chefs, elite restaurants, and luxury hotels across Melbourne and Sydney, including high-profile names like MasterChef stars Manu and Colin Fassinige. The founders have recently pivoted from wholesale to a high-potential medicinal mushroom product line with plans for international expansion, collaborating with leading doctors, scientists, and RMIT University to bring innovative, health-boosting mushroom products to a broader market.

Key Assets and Highlights:

Valuable Assets: $350,000 in high-end equipment and fixtures, $350,000 worth of fruiting stock with Lions Mane blocks ready to produce, and an additional $30,000 of Lions Mane extract powder.
High Production Efficiency: Optimized processes enable a small team of four to produce 800+ kg of fresh exotic mushrooms weekly, with sustainable, pesticide-free practices and a minimum yield of 2kg per block.
Advanced Freeze-Drying Process: Ensures maximum bioactive potency in the Lions Mane product, distinguishing it in a growing market with unmatched quality tested for NGF purity.
Prime Location Near Epping Market: The farms proximity to the Epping Wholesale Fruit & Vegetable Market (10-minute drive) allows for an efficient supply chain, quick sourcing, and ease of access for local high-end buyers, strengthening valuable client relationships.
R&D Collaboration with RMIT University: Validated research and studies on Lions Mane potency have elevated the farm's credibility, garnering recognition from the medical community and setting it apart in the natural health sector.
Growth Potential in Health Market: With demand for natural supplements like Lions Mane surging over 400% in Australia, the business is positioned for rapid expansion. The founders digital marketing expertise has demonstrated a high ROAS, with $40-$50 CAC for a $70 average order value, showcasing an 80% profit margin for key SKUs.
Market Expansion Potential: With over 50,000 Australian customers already familiar with Xotic Mushrooms product line through wholesale and retail channels, and a solid digital marketing strategy in place, this farm is primed for international expansion. The founders strategic PPC campaigns and strong market presence offer new owners a tested advertising approach. Future product lines, including Reishi, Turkey Tail, Cordyceps, and Snowflake mushroom varieties, are ready for launch, adding versatility to Xotic Mushrooms premium product range and meeting the rising demand for natural wellness solutions.

Location and Lease: Situated in a 400sqm facility in Thomastown, the farm includes a production space and an office area, with a renewable 2+2-year lease, ensuring operational stability. The location offers convenient access to wholesale distributors, further strengthening the farms established supply chain.

Seamless Transition and Support: As part of the sale, the founder is committed to a seamless ownership transition, offering a six-month support period that includes comprehensive training packs, operational guidance, and established supplier introductions. Buyers will gain immediate access to lucrative wholesale contracts, including a $1M+ annual gourmet mushroom contract, and a robust support.
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Bsale ID: 653344
Broker REF: 23109

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