What Will I Need to Start a Home Bakery Business?
Starting a home bakery business not only requires culinary know-how and a well-equipped home kitchen, it also requires business operations and marketing acumen -- or a willingness to learn those skills. You also must be in a state in which home-based food businesses are legal. "Cottage food" laws do change; so check with your state's department of health or food to find out the most recent information. Begin planning your home bakery business by investigating the legalities and logistics.
Other People Are Reading
-
Licenses and Permits
-
You'll need to pass a health inspection to get a business permit for your home food business in some states, like Ohio. In other states, like Texas, "home" food businesses are only allowed if the kitchen and storage areas are physically separate from living spaces -- for example, in a separate building on the property. You will also likely need a business license and distributor's license. Check with your regional government to ensure compliance with all relevant regulations.
Business Plan
-
A home-bakery business plan will guide you in starting your business, from targeting an under-served market niche, such as gluten-free cakes, to pricing your cupcakes, scones or bread. Without a business plan, you could spend too much money on ingredients that your baked goods require unreasonably high prices just to break even.
-
Recipes
-
Recipes are in many ways the cornerstone of a home bakery business because they determine the taste and general appearance of your wares. Consider underscoring the "homemade" aspect of your business by using recipes passed down within your family or favorites within your region. In any case, test your recipes thoroughly to ensure maximum yum.
Kitchen Equipment
-
Kitchen equipment necessary to start a home bakery business will vary according to the size of your kitchen and business, and the type of baked goods you plan to sell. Items needed may include an oven for baking the goods, a storage spot to stash ingredients, a preparation surface like a counter or table, sinks, a dishwasher, a blender, a mixer, pots, pans and trays.
Marketing Plan
-
A marketing plan will flesh out the marketing section of your business plan, forming a blueprint for how you will gain customers. For example, your marketing plan might include plans for a website, an online-ordering option and distributing brochures at local events. It may also include a baking column in a regional publication and a booth at the local farmer's market.
Packaging
-
Develop a stock of packaging materials for your products, whether you are selling them retail, wholesale or custom-made. Even sturdy baked goods like rye bread and scones need to be packaged and transported -- and other goods, like cupcakes and pastries, require careful packaging to preserve their appearance. Test how your packaging preserves goods under different handling conditions, such as during different modes of transportation or while driving on a bumpy road.
Kitchen
-
A kitchen is a vital part of a home bakery business, because you can't prepare or bake your goods without it. Some states require "home" food businesses to have kitchens partially or entirely separate from the main dwelling space, so check the rules before you get too far in the plans for your home-bakery business.
-
References
- Photo Credit Jupiterimages/Pixland/Getty Images
