The small business baking industry, according to Hoover’s Inc., brings in about $3 Billion a year in revenue. Most notably, the designer cupcake trend seems to be in full swing, sparking shows like “Cupcake Wars” that offer a $10,000 prize for competing bakers. If you’ve been thinking about starting your own cake or cupcake business, there are some things to consider:
1. Where Will You Bake?
From Home: The beauty of starting a cake business is that you can work from home, but working from home will limit your potential output, so unless you have a full-on Viking kitchen with a giant oven, small orders might be all you can handle (which is fine!). This step by step guide from Chron suggests you first check with your Department of Health and Chamber of Commerce about licenses and restrictions, because like any food service business, you’ll need to have a brief inspection to ensure you’re cooking in sanitary conditions. Some restrictions include separating personal food items from baking ingredients and some even restrict household pets!
Commercial Kitchen: If you want to avoid the hassle of creating a potential war-zone in your kitchen, and bypass some of the inspection requirements, you can rent a commercial kitchen for all your baking needs. This will increase your costs a bit with rental fees, but it might make your life easier, especially if you have a dozen cakes to cook before the weekend.
2. Type of Cake
You don’t have to do it all! Try and find your niche, be it wedding cakes, birthday cakes, cupcakes, bundt cakes, or cheesecakes. Think of it from your customer’s perspective, if you’re looking to buy a wedding cake would you buy it from a company who specializes in cheesecakes or one that specializes in wedding cakes? Some entrepreneurs worry that narrowing their focus will cost them potential customers, but it’s quite the opposite.
3. Put it in Ink!
Starting your own business can be hectic and overwhelming for any entrepreneur, no matter how experienced. It doesn’t have to be. The best way to avoid getting lost in the clutter of day-to-day activities is writing our a business plan that includes your mission statement, finances, pricing, and short and long term goals. It’ll serve as a reference and an outline, and it’s also an essential part of acquiring loans and other financial assistance. If you don’t know how to write a business plan, don’t sweat it, it’s not that complicated and there are plenty of resources online, like this one from the Small Business Association.
4. How Will People Find You?
Time to find some hungry customers. It goes without saying that you need a website, and with new resources like Wix.com, anyone can create a professional looking website without breaking the bank.
Next, make your cake business visible on Google Maps with this simple guide so anyone who needs a cake can find you in a snap.
Take advantage of social media sites like Yelp, Facebook, and Instagram for some cost-effective advertising. Keep in mind these sites rely heavily on user feedback and testimonials, so place customer satisfaction at the top of your priorities.
5. Business Name
Sometimes the best form of advertising is a catchy, cute, memorable name that people just love to talk about. Here’s a list of cake and cupcake business names we found:
Layer Cake Bakery
Main Street Cakes
Sugar Beak Bakery
Just A Bite Cake Pops
Angel Maid Bakery
Half Baked Co
Crave Dessert Company
Takes the Cake
Aunt Joy’s Cakes
Big Man Bakes
The Confection Co-op
Scratch Baked Goods
‘Cake’ interest over time:
The truth is, naming a business can be frustrating and downright time consuming…
Your company name is important, there’s no doubt about that, but it’s really something you need to ‘get out of the way’ so you can focus on the nuts and bolts of the business. So the question is…
“How do these companies get such good names?”
One option is hiring a ‘boutique’ branding agency to handle this critical step, and this does NOT come cheap. Some of these branding agencies charge as much as $100,000 for a brand that SELLS tons of product…
Does it work?
Of course it does, but for a small business with a careful eye on its cash flow, dumping tens of thousands of dollars for a swanky agency to sit back in their plush offices and promise you the next Google could spell disaster.
This is what they WANT you to think:
“Our branding agency charges a lot because what we do is incredibly difficult.”
It couldn’t be further from the truth, and the truth is that there are a core set of branding principles that can be reliably and affordably applied to ANY branding effort…
…and Branditory has done it for thousands of businesses, for every industry imaginable, in over 20 different countries, for just $97…
You name it, we’ve named it. The names we come up with are just as good (we think a little better) as anything a high priced agency could provide.
This unbeatable price comes with unlimited revisions and optional logo design for just $70.
Don’t believe it?
Take a look at their satisfied customers