How to Start a Small Bakery

Starting a bakery can combine your love of baking with your desire for business ownership. A detailed business plan is needed before your start a bakery.

Difficulty: Moderate

Instructions

Things You'll Need:

• Accountant
• Baking Equipment
• Bank Loan
• Cookbooks
• Lawyer
• Menu planning software
• Staff
• Website

1. Establish a business plan which includes business owners, financial plan, marketing plan, menu plan with estimated prices, and operations plan. This plan acts as a guideline for your bakery and it should be reviewed semi-annually.

2. Determine operating capital including your financial contribution, angel investors, bank resources, and family loans. Provide an estimated 25% or more for extra equipment/supplies and yearly commercial rent increases.

3. Check with your state licensing board to determine permits and zoning issues. Also, verify location based on foot patterns, monthly business costs, and bakery profit potential.

4. Obtain bakery business equipment such as baking dishes, baking ovens and cooling racks, cookbooks, food supplies, and utensils. Purchase some of the equipment via online bidding sites and old bakeries but make sure the equipment is good.

5. Hire and train bakery staff using demonstrations (cooking class), manuals, and visual aids. Also, hold weekly staff meetings to address any concerns or questions before issues become escalated.

Tips & Warnings

• Take refresher business and cooking classes yearly.
• Market and promote the business regularly.
• Monitor inventory and manage employees effectively.
• Keep up with your financial records such as payroll.
• Follow food/health inspector's suggestions.
• Follow standard food practices to maintain safety.

[subramaniyan]

on 11/17/2009 i want to open the bakery please give me all information

[bar10dr98]

on 3/19/2009 A business plan is crucial to starting up. Great advice!