Vanndie Long followed his father, San, to Kyle from California in 2006 to open Hays City Donuts. Hays City Donuts was the only doughnut shop in town then, but the duo have watched the city's population more than quadruple in the seven years since making the move. They've also been faced with challenges from competitors looking to take a bite out of their market share.

The shop's doughnuts, kolaches and coffee gained so many loyal followers that Vanndie said the shop's parking lot would fill up, and some customers would struggle to find street parking.

Hays City Donuts has also become the doughnut of choice for many members of Kyle United Methodist Church, said congregation member Sean Claes. Only two weeks after Hays City Donuts had opened its doors, Claes realized he was running late for church and needed to pick up something the congregation could snack on between services. He stopped into the shop, ordered dozens of pastries, and when services let out, the doughnuts were gone in record time.

"I go by there every couple of weeks," Claes said. "They have the best blueberry doughnut. Their blueberry doughnut is stellar, [their] sour cream is phenomenal, and the breakfast sandwiches are amazing."

Vanndie said in addition to making consistently great-tasting food, he and his father focus on customer service. It is not unusual to walk out of the shop with an extra handful of doughnut holes—Vanndie's way of thanking customers for their business.

Vanndie said little touches like an extra handful of doughnut holes gained the restaurant a loyal following. Things were going so well that in 2008 the Longs bought the restaurant's building and opened Hays City Chinese Cuisine, a Chinese food restaurant that shared space with the doughnut shop.

San would arrive in the mornings around 2 a.m. and cook doughnuts for a few hours before the doors opened and the morning rush arrived. At around 9 a.m. Vanndie would fire up the wok and begin preparing soups for the Chinese restaurant.

But that was five years ago, and things changed, he said. In 2011, after struggling to keep both restaurants going, the Longs decided to close Hays City Chinese Cuisine.

Kyle's exponential growth insulated Hays City Donut from the recession in the mid-2000s, but Kyle's pastry market is getting crowded with doughnut shops, Vanndie said. Shipley Do-Nuts opened less than a quarter mile from Hays City Donuts in 2008, and Super Donuts opened at FM 150 and Lehman Road in the same year.

Vanndie said the business has been showing signs of improvement, and each day he sees new faces coming into the restaurant. Business has picked up enough that in May, the Longs relaunched Hays City Chinese Cuisine alongside the doughnut shop.

The Chinese restaurant is beginning to regain its old business, too, Vanndie said. In October, the restaurant received a beer and wine license, so diners can now wash down their meals with an alcoholic beverage.

Vanndie said he is hopeful that Hays City Donuts and Hays City Chinese Cuisine will continue on an upward trajectory.

"As long as people keep ordering, I'll be here to cook," he said.

Hays City Donuts, 106 N. Burleson St., Kyle, 512-268-3920, Hours: 5 a.m.–9 p.m. Mon–Sat., 6 a.m.–3 p.m. Sun.