Jonathan and Hannah Young, a married couple with three daughters, are the owners of Flour Shop Bagels in Pawcatuck, CT. What began as a modest “pay what you want” bake sale at the end of their driveway quickly gained traction and evolved into the thriving business it is today.
Bagel Shop Beginnings
Jon Young has worked in the restaurant industry for his entire career, mostly as a chef and line cook. Outside the kitchen, he is also a talented local musician, whose gigs paused during the early days of the pandemic. Hannah Young holds a degree in English from Eastern Connecticut State University and brings experience from working in a variety of local restaurants.
Flour Shop Bagels began as a fun, pandemic-friendly project for the Young family, who simply enjoyed creating homemade sourdough bagels, scones, and muffins. In the summer of 2020, they launched a farm stand-style bakery from their home in Ledyard, offering a rotating selection of scratch-made scones, muffins, and sourdough bagels from a self-serve stand every Saturday and Sunday.
In September 2022, they made the leap from selling out of their home kitchen to opening a brick-and-mortar location in the Velvet Mill. The new space allowed them to increase production and expand their offerings to include breakfast, lunch, and wholesale bagels. They also introduced catering services for special events, featuring charcuterie platters along with an assortment of baked goods and fresh fruit.
Their loyal following continued to grow, and they quickly realized they were outgrowing their space in the Velvet Mill. Jon and Hannah relocated to a new location on Mechanic Street in Pawcatuck, where they’ve operated since May 2024.
Jon serves as Flour Shop Bagels’ full-time cook, while also managing inventory and staffing. Hannah assists with early-morning preparation of bagels and pastries, and oversees payroll, social media, and marketing.
As Flour Shop Bagels continued to grow, Jon and Hannah needed a banking partner that understood both their business goals and their commitment to the local community. When it came time to purchase a larger, permanent home for the business, they turned to Chelsea Groton.
Banking Partnership
For Jon and Hannah, Chelsea Groton was the ideal partner to help take Flour Shop Bagels to the next stage of growth.
“When we saw a restaurant space on Palmer Street in Pawcatuck become available, we felt it was the right next step for us,” Jon explained. “We were excited about the idea of growing into a space like this, but knew we couldn’t do it alone. Chelsea Groton was the perfect lending partner because of our shared commitment to the community.”
Patty Startz, VP, Commercial Lender at Chelsea Groton, helped guide the Youngs through the Small Business Administration (SBA) loan process, providing support as they navigated this transition and expansion.
The convenient location of Chelsea Groton’s Pawcatuck branch in relation to the shop has deepened their relationship to the branch and its services. Jon especially values the personalized service he receives at Chelsea Groton.
“What sets Chelsea Groton apart is the genuine care they show for their customers. The team consistently takes time to understand our needs and deliver personalized solutions. Walking into the Bank always feels like visiting people who truly know us. They knew what our hours are like, so offered us the ability to use night drop to better match our business’s needs. They’re always listening and looking for ways to support us,” shared Jon.
Patty shared, “Each business is unique, and Flour Shop Bagels is no exception. Jon and Hannah’s story reflects the power of a strong community partnership. We were proud to help them secure a permanent home in Pawcatuck and support the next chapter of a business that has become an important part of the community.”
The Future of Flour Shop Bagels
The new facility will bring several improvements, including a larger dining room, an outdoor patio, a walk-in cooler, and better parking, all designed to enhance customer experience and operational efficiency. The Youngs are busy preparing the space, and plan to move operations to the new location later this fall.
Once moved in, they are looking forward to expanding the menu and planning community events. Jon is exploring the idea of adding sourdough pizzas to the menu on special occasions, taking advantage of the facility’s pizza oven. He also envisions hosting pop-up events such as pasta nights or movie nights. Serving delicious food is only part of Flour Shop Bagels’ story. Ultimately, Jon’s hope for their new location extends beyond the physical bakery into a space that brings neighbors together.
Chelsea Groton is proud to be a business partner of Flour Shop Bagels. To learn more about Chelsea Groton’s business lending capabilities, visit Chelsea Groton’s website. To keep up with Flour Shop Bagels’ growing menu, services, and new location, visit their website.
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