Venture capitalist backs Chicago bakery Phoebe's Cupcakes

Ty McMahan at The Wall Street Journal has more on the business end of Chicago's soon-to-open Phoebe's Cupcakes, who we told you about yesterday (and will have more about direct from the Phoebe's Cupcakes very soon).

Chad Mollman, general partner of Ascent Equity Capital, is a cupcake fan - particularly the mint chocolate chip flavor from the kitchen of Phoebe Walters and Kate McNamara.

“I was probably one of their best customers,” Mollman said. “I probably bought 200 cupcakes a year there. I was a customer and a big fan.”
phoebescupcakes_E_20090410101003.jpg

In fact, he’s such a fan that he has committed up to $1.5 million from his venture fund to launch Phoebe’s Cupcakes LLC. Walters and McNamara were previously working at another baker, but the new company will be their own design, featuring a menu of about 200 different flavors.

The first store will open in Chicago on April 18. Mollman said Ascent is willing to commit between $50,000 and $100,000 per store and is currently looking at opening in other cities.


The piece also states that Phoebe's Cupcakes plans to do mail order cupcakes by year's end, and continues:

“If it were just a little cupcake shop, I probably wouldn’t be interested, but there’s a lot of other opportunity here,” Mollman said.

Comments

Kim@Galavanting said…
Ooh, I'm excited. We're based in Chicago and filming a episode on our hometown in May. We'll have to drop by Phoebe's!
Coco Cake Land said…
wowee. that's pretty amazing to have someone back you with all that dough (of the money kind!) !! from their facebook page, the cupcakes look great too! congrats!