Do you have a baking addiction and would also like to turn it into a profitable business? It can be a very lucrative idea, especially if you are a skilled baker and have exceptional entrepreneurial skills. To make your bakery business profitable in this industry, you need to understand how to plan and effectively run the company. To generate enough revenue in order to stay in business, planning is very essential. The following steps will help you to learn how to open your own bakery.
Decide On The Type Of Bakery
First thing you will need to do is choose the type of bakery you would like to open and what kinds of baked goods you want to sell.
As for types of bakery you have several options. Your bakery can sell only baked goods or you can additionally sell coffee and sandwiches. You can open a bakery as just a shop or with a seating area for customers. It can also be an online service of baked goods delivery and you can start a home-based baking business.
Choose the baked goods you want to sell. Do you want them to be conventional, organic, vegan or gluten-free?
Research the Local Competition
Before starting out any business, one of the first things on the list is research of competition and demand for the product or service. In your local area do some research to see if the people would be ready to buy your baked goods. Also check the competition. Is it over-competitive in your area? If not, think of what you can do to stand out. For example, open a bakery with specialty baked goods. Also offer a seating area, where the visitors could enjoy them with coffee.
Write a Thorough Business Plan
The business plan should contain all the details on the calculated costs of the location, equipment, staff, taxes, marketing and supplies. Determine who will be managing the business, your marketing strategy and how you will finance the business. Then determine the profit you plan to make in the first couple of years by projecting the costs against the projected income. To help you with the financial part of the business plan, you might need help of an accountant to make sure that no expenses are overlooked.
Find the Perfect Location For Your Bakery
Research the areas of your city and select a location where you could have many potential customers. The ideal location should be easily accessible, shoudn’t have any zoning guidelines, has plenty of traffic passing through and meets all the safety requirements.
Register Your Business
Before opening the bakery you will need to register your business with the city. To sell the bakes goods you will also need a sales permit. Check with the state’s health services department.
Get and Install the Equipment
Depending on the baked goods you will be selling, determine the equipment you will need. You will need a commercial oven, mixer, commercial blender and more. Make sure that you buy all the professional equipment that is safe and up to the code.
Determine the Menu and the Ingredients
Develop you standard menu. Calculate the ingredients and how much you will need for each of the items on the menu. Find suppliers and buy enough materials.
Make sure that the staff you hire is friendly, trustworthy and efficient at work.
Place an ad in a local newspaper and online, and give out flyers.
You are ready to open!