Newton’s No Gluten

Brenda Maschio, Melissa Maschio Newton and Thomas Newton, a family from Guelph, Ontario, asked for $150,000 for 10% of Newton's No Gluten, a retail and wholesale bakery making gluten-free, nut-free and allergen-friendly baked goods, mixes and ingredients, also largely dairy, egg-free and vegan, made in a dedicated gluten-free kitchen. The company has a retail store in Guelph and wholesales into 13 Sobeys locations with a self-imposed waiting list, plus six Foodland locations; 2016 sales were $332,000, with 2017 retail up 30% and wholesale up 75%. The family has invested $750,000 of their own money over ten years, including $250,000 lost in leaseholds during a 2008 restructuring, and the business was profitable for the first time last year, making $8,000.

All five Dragons declined to invest. Jim Treliving cited a slowdown in gluten-free demand, Michael Wekerle said the category was not his preference, Joe Mimran and Michele Romanow felt the business had not proven it could scale capital-efficiently and was already supporting the family, Manjit Minhas wanted more proven sales before further investment, and Arlene Dickinson said the family needed to resolve capital contributions between the parents before seeking outside investors. No deal was made.

Newton’s No Gluten is still operating and sells through its website.