How to Start a Bakery
Create a Business Plan
Many people see this step as tedious, but is vital to ensure long-term success. The business plan will lay out what sort of business you want to open, its structure, product type, marketing strategies, as well as financial projections.
Your business plan should include the following:
- Executive summary: This is a key part of your business plan. It is at the beginning of your plan and the first thing that investors will see. It should have a brief overview of what your company will do and explains why your bakery will be successful. It should clearly describe your bakery’s goals and objectives. It should also excite the reader to want to know more about the rest of your business plan.
- Company Overview: This section is meant to It should include when, why, and how you built your bakery. Be sure to include business name, business structure, location, mission statement, competitive advantage, and date founded.
- Financial Plan: You will lay out key assumptions for your financial plan. You should include sales forecasts, expenses budget, cash flow statement, income projections, and assets and liabilities.
- Marketing Plan: You should analyze the industry and your target customers. Then, decide what type of marketing will be best. You can employ social media marketing, digital marketing, and utilize SEO methods. Being a great baker these days will not cut it. You have to determine the appropriate way to market your bakery to ensure its success in this competitive landscape.
This guideline is an essential tool for you to reference on your bakery opening journey. It is key to avoid big mistakes, allows you to take an objective look at your passion project, and raise capital.
Obtain Loans and Startup Capital
Starting a bakery has plenty of costs to consider. It is unlikely that you will be able to fund your bakery completely on your own, so you will need to take out loans. Costs to consider are leasing a space, buying equipment, staff, kitchen supplies, and utilities.
Order Equipment for your Bakery
Equipment needed for your bakery will depend on the type of baked goods you will be preparing. For example, baking fresh bread versus cupcakes will require different equipment and supplies. Definitely pinpoint the products you will be selling to ensure you have the appropriate supplies. General equipment you will need include dough preparation, storage, baking equipment, display and sales, and cleaning and warewashing. In addition to the big-ticket items, your bakery will also need smallwares. Smallwares include items such mixing bowls, whisks, bread knives, and aprons.
If you need equipment financed, fill out our free online application to get a quick approval and get funded for your bakery equipment.