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Things to Think about before starting a Bakery

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If you’ve ever dreamed of opening a bakery, your chances of success may be high: baked goods and bakeries are among the fastest-growing industries for small businesses.

1. Plan your bakery

Decide what type of bakery you want to open. There are bakeries that only sell baked goods, those that sell sandwiches and others that include coffee to go. Think about what kinds of goods you want to offer. Choose whether you want to sell conventional baked goods, or a more niche product like organic, gluten-free, or vegan (e.g., egg- and dairy-free) products.

2. Decide on what kind of space you want

There are several options, and your choice may depend on the amount of capital you’re able to raise. Keep in mind that storefronts have the attractive factor of foot-traffic and a recognizable place in the business community.

  1. Online bakeries are a good way to start if you’re low on capital. You can work from home and sell your goods through a website. You’ll need to hire a web designer and figure out a system for ordering online.
  2. A counter-service bakery is a small commercial space where you sell baked goods to customers over a counter. You’ll likely need at least one other employee.
  3. Sit-down bakeries have an area where customers order their baked goods and tables and chairs where they can eat.

3. Make a list of equipment you need to start your business.

You’ll need scales, bowls, pan racks, ovens, mixers, butcher-block tables, display cases (if working from a commercial space), and refrigerators.
Check with the local consumer health department, which is responsible for setting regulations. Make sure you have included all the necessary items on your list.

4. Decide which baked goods to sell at your bakery and what ingredients you need.

Some specialty ingredients can be quite costly, so you’ll need this information prior to making your business plan.

5. Review your business plan with an accountant.

Be prepared for them to find additional expenses you’ve overlooked. An accountant can also advise you about how the costs of a startup can affect your tax returns.

6. Choose the location for your bakery.

Make sure it’s easily accessible, has plenty of foot traffic, and meets all safety requirements, which vary from state to state.
Be very choosy as you look for locations. Look at several, compare prices, talk to local business owners, and research the area(s) to find the best fit for your bakery.

7. Register your business with your city and apply for a sales permit to sell baked goods.

At the very least, you’ll need a business license, tax identification number and liability insurance. Depending on your region, you may need a separate license for a wholesale or retail baking business. You’ll also need to apply for a food-handling permit.
I hope you liked this blog. If you are looking for opening a bakery/restaurant SelectDine is here to help you. We help you in menu preparation, interior designing, finding chefs and much more. 

Call us or visit us to know more about us.

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