What type of bakery do you want to start?
Do you plan on turning your baking addiction into a profitable business? That’s great! But what kind? Have you planned it out yet?
Well, if you haven’t made up your mind about the kind of bakery service you want to provide, maybe this will help. There are generally four types of bakeries – counter service bakeries, specialty service bakeries, sit-down bakeries and online bakeries.
Learn more about them by reading the details below.
- Online Bakeries Bakers have found a way to provide baked goods at a lesser cost. They do away with having a storefront and just do business through the Internet. What they do is obtain the necessary licenses that one usually gets when putting up a bakery, then they create a website where they can post pictures of their products and add a shopping cart service onto the website.
- Counter Service Bakeries These are the traditional kind of bakeries wherein the staff would tend to their customers as they approach the counter. There the customers would choose the type of bread or baked goods they would like to purchase, people behind the counter wrap it up for them and then the customers pay. It’s the typical kind of bakery you see, and the great thing about it is that it provides quick service to customers.
- Specialty Service Bakeries Specialty service bakeries are those that specialize in certain types of baked goods. Usually, the products customers purchase from these types of bakeries are those that are pre-ordered. They describe to bakers what they want done, and the bakers would work on the project for a given number of days. Examples of such bakeries include wedding cake bakeries, personalized cakes and pastry chefs.
- Sit-Down Bakeries A lot of bakeries nowadays are trying to attract more customers and gain more profit by letting their customers dine inside the bakeries. They provide clean seating and waiting services, as well as menus with a selection of food their customers can choose from. These bakeries are like cafes, adding coffee beverages and other refreshments, only they still would mostly specialize in baked goods.
What Supplies Do I need?
To be able to open up your very own bakery, you will need to own all the essential supplies to help make your baked goods – hundreds or even thousands of baked goods. You probably know some of the stuff you need since you use all those at home, then again, you’re not just baking for your family and friends anymore.
Shelving – One of the most important things you’ll want to have in your bakery is shelving. You need storage spaces where you can keep all your ingredients, other supplies, plates and utensils, and other items that you would like to put away.
Baking Equipment – You, of course, need food prep and baking equipment. Among all those, the commercial mixer is of utmost importance, as well as your mixing accessories. Depending on your needs, you can choose between a stand or tabletop mixer. Next, you’ll need a machine that can help you crimp, fold, trim and seals dough. This is essential when making pastries and turnovers. You have to have slicers, as well, to help in preparing loaves and bagels.
Oven – Just as important is a commercial oven. Without it, baking would practically be non-existent. Make sure you know how many ovens you will need to get all your products done. Remember, you will be providing baked goods for a lot of people for a good number of hours.
Utensils – Not the usual spoon, fork and knife, but dough cutters, flour sifters, spatulas, etc. Different baked goods make use of different things during preparation, so if you were to add something in your menu, make sure you have the right supplies.
Pans – A variety of pans are also available for different applications – pies, cakes, springforms, loaves, you name it! They’re used for prep, moving and display.
Donut Fryer – Donuts are a popular treat, so why not add them to your list of products. To create these delicious treats, you need to get a good donut fryer. These will already include wire mesh donut screens with handles, as well as turner sticks.
Refrigerators – There are certain items that will need refrigerating, and yoy will also need to keep all your ingredients fresh. And to make things much easier for you and your employees, I recommend reach-in freezers or refrigerators.
Display cases – Presentation is key to attracting customers, so you’ll need the help of display cases so you can lay out all your baked goods for people to see. They come in different shapes and sizes, as well as self-service or attendant served orientations.
Click here for a list of bakery equipment needed.
Taking your bakery online
Many of us dream of starting a bakery, but for some of us it’s just too expensive. It’s a big financial risk, so is any type of business venture. But thanks to the Internet, bakers have the chance to live out their dream. They can do business online and eventually earn enough to later put up a storefront. However, an online baking business is more than just posting your products on a website and having drooling customers order. Here is what you ought to do.
- To form a corporation, partnership or limited liability company, you will need to have your business with the secretary of state’s office . To have sole proprietorship, you will have to approach the county clerk’s office and register your business there. You also need to obtain an Employer Identification Number (EIN) through the Internal Revenue Service, which will be needed on all your necessary documents.
- Before selling your baked goods online, you also have to contact the health department to be able to get a food manufacturer or distributor’s license. Depending on the state you reside in, there may be additional licenses needed, so you will have to visit your local health department and inquire about what other licenses you need to apply for.
- Food labels are also important. The best way to determine requirement labels is to check out the U.S. Food and Drug Administration (FDA) website and see how you should label your baked goods.
- Assuming you’ve picked out your bakery name and when all your licenses and other requirements have been completed, you can now register a domain name through domain registration websites like Whois.net to see what domain names are available. Then, look for a web hosting company (we always recommend Bluehost). It would be great if you find one that allows for unlimited web pages, file uploads and shopping carts.
- Now for the fun part – designing your website. Upload photos of your products and include a brief description, as well as the price. Provide customers with your contact information and instructions on how to order and pay for the baked goods they order. Also include a return policy, as well as a customer feedbacks section to help you see how well business is doing.
- Marketing is also an essential step to growing your business and establisher a bigger market, so make sure to have a good marketing strategy such as using different social media platforms to help promote your business.
Final Things to Consider When Starting a Bakery
It’s not easy taking on a new business venture, especially one that relies so much on the taste of the customers. For this reason, you will want to think carefully about the steps you will take in making it happen. So when starting a bakery, what does one have to consider?
To start with, how do you want to plunge into the food industry? There are a couple of options you can choose from – start your very own bakery, take over an existing bakery.
Once you’ve decided, it’s not time you think about what type of bakery you want to run and who you plan on marketing your products. Do you wish to put up a small stall, a counter service bakery, a sit-down type bakery pr do you want to first start online? Or maybe you would like to franchise.
Try to see if you will be able to generate cash flow. You ca do this by determining what type of baked products you will be selling and at what price, then make an estimate of all the income you ate likely to end up with after a year, VAT included.
When coming up with a range of products, decide if you want to bake the products yourself or hire someone more talented. Also think about how often you plan on introducing new products and if you would like to include imported goods, as well. what range of products will you stock.
Make sure you monitor which among your products are best-sellers, and also pat attention to what time of the year you are likely to sell more baked goods than usual to keep up with consumer demands.
Come up with a good pricing policy and see to it that you review your prices every so often. And if are going to have trade customers, determine how much of a discount you will be giving them.
You should also consider who you hire. Do you want people you know and already trust or do you want to hire actual trained bakers? And because bakeries work the early hours, make sure the people you hire are willing to do so. And remember, you also have employee discounts to think about.
Remember that there is stiff competition within the food industry. And you don’t just have other local bakers as competition, but bigger food companies, as well. Think of ways on how you can make your bakery a cut above the rest.