Do you often wish you could just make donuts for a living? Do you get the most compliments when you whip up grilled cheese with your homemade bread? Maybe your true calling is to be a baker with your own business. If that sounds like a dream come true to you, here are a few tips that can make that dream a reality.
7 Tips on How to Open a Bakery
Here’s how to open a bakery and achieve business success:
Decide on the bakery type
Before you start leasing and hiring people, it’s important to settle on the type of bakery you want to open. Some of the most popular options are counter service (involves a small space where customers can pick up good over the counter and go), sit-down (a space with a place for customers to buy goods and sit down to enjoy them) and specialty bakery (a bakery specializing in one type of goods like cakes, bread, gluten-free baked goods, etc.). When choosing your business type, consider your experience, skills, location and competition.
Create a business plan
One of the first steps of starting any business is creating a business plan. Your bakery business plan will lay out the business type, structure, product offer, marketing, financial projections and many other things necessary for running a successful business. If you’ve never written a business plan before, here are some of the points you must include: summary, company overview and description, market analysis, offering, management, ownership, marketing and financial projections. With this plan, you will create a stable foundation for your bakery, get funding and start selling.
Obtain funds to open a bakery
In most cases, people can’t fund their new business alone, even with a business partner having their back. Starting a bakery includes many costs from leasing to insurance, equipment, staff and utilities, and as a result, you need a lot of money available for all the expenses. And we’re not even including the initial period of adjustment that usually isn’t the most profitable. So start working on obtaining a loan— either a commercial loan, business lines of credit or a small business loan.
Order equipment and ingredients
No matter the type of baked goods you’ll be focusing on, your bakery will need various equipment and supplies. You can look at the offer of baking supplies and products at Medina bakery supplies and consider all the things you might require for your baking needs. Expert suppliers also have knowledgeable sales teams that can always help you with your orders. From frozen ingredients to decorating tools, a quality supplier will have everything in one place, so you don’t have to mess with multiple orders.
Find a location
You will obviously need a space to house all your baking equipment and ingredients and sell your products. One of the best things you can do is start small with a place that can be easily scaled up or down. Before settling on a location, make sure to do some market research and target demographic—you want to be close to your target audience.
To provide your customers with plenty of baked goods in time, you need to hire staff. Most of your staff will be dedicated to preparing and baking the food, but a retail bakery will also require trained front-of-house staff to serve people and work the cash register. It’s necessary to have at least one trained baker with experience to act as a manager of the baking process. Also, your team might also benefit from people who will wash the dishes, bring and mix ingredients, pack products and complete other tasks that don’t require special training.
It would be nice to have plenty of customers as soon as you open, but the only way to achieve that goal is with marketing. It’s necessary to inform people that you’ll be opening your doors to customers and create hype. To conduct a successful marketing campaign, it’s necessary to do market research and establish your target audience, as well as set realistic goals for your campaign. When it comes to advertising types, in urban areas, bakers usually benefit from signage. However, it’s important to invest in social media marketing so you can easily communicate with customers, share different content and get your name out there.
These are the most important steps to consider when opening a bakery. Along the way, you’ll come across many more tasks to handle, but with these main ones out of the way, you’ll be in a fast lane to success.