How to Start a Bakery

Making Sure Your Bread and Bakery Profits Will Rise

Finding out how to start a bakery takes a little bit more than simply knowing how to bake a cake or make bread from scratch. Instead, you need to realize that it is a business and that there are certain essential requirements to which you will need to conform, no matter how great your product may be.

You need to be ready to know how to make and sell product, provide customer service, manage inventory, hire and maintain employees, and accomplish all of this after having started your day extremely early in the morning.

Don’t forget that due to the nature of a bakery business, your prep time will need to be in the wee hours, before the birds have even considered getting up. After all, most recipes require several hours to be prepared, with needs such as time for the dough to rise, and baking time.

You also need to consider the type of setting you’d like to use to sell your products. Will you be delivering to local restaurants and stores? Will you be selling to customers in the setting of a café? Or will you be selling in a window-style, where you simply display your products and your customers browse, buy, and leave?

Keep in mind as you consider how to start a bakery that this is a business that will also require you to spend some time for cleanup – usually an hour or more – after the shop has closed. Your cookware, bake ware, and the kitchen as a whole must be spotless, and your prep will need to be ready for you to start early in the morning again the next day.

What should you consider before your start a bakery business?

Ahead of opening your own bakery shop, you will have a number of important decisions that you’ll need to make. To start, you’ll need to decide where you plan to begin. Will you be starting with a home bakery and growing your customer base, or will you be renting a shop right from the get-go?

If you are considering opening your shop from home, you need to remember that as much as it keeps your overhead costs low, you need to be certain that your local city or town laws don’t prohibit selling food that was made in a residential home. Be sure to check the laws in your area before you get going, to prevent possible legal issues down the road.

Next, you’ll need to think of the style of bakery you’ll be opening. Are you going to sell everyday items such as bread, rolls, and bagels, or will you specialize in treats such as cakes and cookies? You may also consider pastries, or something a little bit more unique such as a bakery that makes products specifically for pets!

What skills do you need to open a bakery?

There are many different tasks that a bakery owner needs to complete, and each of them has a certain number of skills required in order to do them properly. Consider the following and whether or not you have the necessary skills.

General business skills:

• Sales and invoicing

• Bookkeeping

• Inventory management

• Customer service

• Marketing

• Scheduling

• Leadership skills

• People skills

• Website maintenance and online marketing

• General money management

Skills specific to bakery ownership:

• Menu planning

• Product ordering (ingredients such as flour, yeast, eggs, milk, sugar, etc.)

• Food preparation (following a recipe, measuring and combining ingredients, rising bread, baking, cooling etc.)

• Decorating, glazing, and icing

• Baked goods display (on shelves, in refrigerators, and in display windows)

• Cleanup of public and work areas

• Equipment maintenance

• Deliveries (if this is an element of your business)

What licensing do you require to open a bakery?

Before you open your doors, make sure that you have all the appropriate licensing. To find out what is necessary in your area, call the local Department of Revenue or the Courthouse to discover who is responsible for bakery licenses. Though the application process is generally the same from one state to another, the regulating office is different.

On top of this, you will also require a Federal Employee Identification Number, a business license, insurance, and you may also need incorporation. You will also have to obtain a food handler’s permit for yourself and your staff.

With this foundation for how to start a bakery, you will have a better idea of whether or not this type of business is right for you, and what you will need to get it started.

Bakery Business Plan