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Tax reform helps Baker Boy bring investment, jobs, and $15 million in donuts to North Dakota
Baker Boy—a family-owned baked goods manufacturer in Dickinson, North Dakota—is using tax reform to grow its company, develop new product lines and continue to create highly skilled jobs in manufacturing for the people of North Dakota.
First on the docket? The complete reinvention of the filled donut.
“When tax reform came around, we had our accountants investigate how much money we’d save per year,” explained Guy Moos, president of Baker Boy. “When we found out our savings would be so significant, I thought, ‘What can we do to reinvest that and grow our business?’”
The answer turned out to be Magic Ring Donuts—Baker Boy’s latest product innovation that promises to shake up the donut market. Magic Rings are special jelly or crème-filled donuts that still looks like a regular donut with a hole in the middle, but the ring itself is injected with filling, using new technology that’s only recently been introduced overseas.
“We’ll be the first company in North America to produce these types of donuts,” Moos said. “We’re taking advantage of tax reform by writing off the new equipment and reinvesting our savings in the business. Over the next three years, we’ll invest $13 million in growing our business—including $9 million over the next 18 months. It’s a huge project, but we know tax reform will allow us to grow sales pretty significantly.”