How To Start An Online Cake Business

Must Try

Select The Kind Of Bakery Youd Like To Open

How to start a cake business from home and sell cakes successfully – Cake Business Series

One of the first decisions youll have to make is the kind of shop you want to open. To do this, youll want to assess your talents, budget, and goals. Be sure youre not making this decision in a bubbleyou will want to have your ear to the ground on national trends in the industryremember the cupcake shop craze a few years back? But dont simply take your findings at face value either. Its equally important to do local market research to figure out how national currents will affect your particular location and demographic. From there: take a look at the list below and decide which one is right for you.

  • Online. You dont need a storefront to open a bakery. You can start out online. With a killer website, pictures of your work, and a way to place an order, you can run it from your home.
  • Counter service. With a small commercial space, customers can walk in and pick up baked goods from an employee-managed counter.
  • Specialty service. If you plan to specialize in a certain kind of baked good, a specialty service is your best option. Whether you run the business from your home or rent a space is up to you.
  • Sit down. More owners are trying to capitalize on the sit-down and dine option. Its a growing trend in the bakery industry right now. Picture a space that has both an area to order baked goods and spot to sit and enjoy them.

Top Three Goals For This Year

Now weve reviewed where you are at, you can jot down your top three goals for the next 12 months. These goals may require lots of mini goals to be met before you get there, but by writing down the three main things you want to achieve they will become tangible and you will be more inclined to actually stay on track to meet them. My plan is that this business plan will be printed out and frequently referred to by you, this constant reminder of your top goals will make achieving them easier.

Find A Business Mentor

One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.

Having a support network in place to turn to during tough times is a major factor of success for new business owners.

Recommended Reading: Gluten Free At Nothing Bundt Cakes

Meet The Bakery Pro: Melissa Ben

Before launching the popular Baked by Melissa, Melissa worked full-time in advertising. But getting fired in June 2008 from a New York City advertising firm turned out to be the start of a wonderfully creative and fulfilling career. Within days of being fired, I started baking cupcakes for events and one-off cupcake orders I received out of my apartment, says Melissa. Melissas older brother Brian, now the CEO of Baked by Melissa, suggested she consider turning her cupcakes into a company. Eight years later, Melissa is no longer frosting her fanciful mini-cupcakes in her apartment. Instead, she shares her treats with her loyal fan base through her 14 locations in New York City and via shipping nationwide.

How To Start Cake Business From Home In 7 Easy Steps

Five Things You Should Know Before Starting A Cake ...

Furthermore, if the result at your disposal doesnt lay emphasis on the customers wants and needs as well as their location, consider doing another to get to those information.

Lastly, your result should also extensively cover your Competitors.

The result will then help you help you pinpoint what they are doing right which you can replicate

and also their drawbacks which you can work on to help you offer better service and to get their customers facing your direction instead.



You know youve done a proper market research when its able to perform the following purpose

  • Helps you spot existing and potential problems in the cake business industry or market. So you can work on them and prepare ahead.
  • Helps you spot your competitors advertising strategy that will help you make better decisions.
  • To check and come up with a selling method


  • To check and come up a suitable distribution plan to make your cakes available when and where needed

Theres more to the purpose of market research when starting a cake business however, the few i highlighted above will do to get you started on the right path.

You may want to read that again.

You May Like: Wedding Cake Pool Steps Parts

Lies Home Bakers Believe About Opening A Storefront Bakery

**Guest content further down by Tina McJunkin from Cautiously Optimistic Kitchen**

This 2 PART SERIES Im starting today is probably the most important one I have shared with you to date. Its not a fun one, but it is ABSOLUTELY necessary.

The reason why it isnt going to be fun for you to read is because it will address a BIG and sacred dream you probably have. I know you have this dream because I had this dream too for 5 long years.

For 5 years I used to pin beautiful images to a Pinterest board I named If I had my own little bakery.

MANY of my readers confirm for me every week that this is a home bakers ultimate dream

Is It A Good Idea To Start A Winter Cake Business

Its a good idea, but only for one season. Your cake business should be designed to be profitable not only in winter but throughout the year. To make your business successful you need to choose a secure e-commerce platform for international exporters and importers so that you can expand your business to a wider range and open up new possibilities.

Read Also: How To Install Wedding Cake Pool Steps

Think About Standing Out

Theres a large number of baking and cake making businesses out there, so you need to think about how youre going to differentiate yourself. You could specialise in vegan or gluten-free bakes, for instance, or concentrate on childrens party cupcakes or wedding cakes.

Since cakes are difficult to transport, you need to have a good sense of your local market, as most of your customers need to be close enough for in-person delivery or collection.

Stuck for inspiration? Our guide to the best small business ideas highlights the latest trends in the baking world, including vegan options and nostalgic flavours.

Raise The Needed Startup Capital

How to sell Homemade Cakes Online [ 10 Steps to Starting a Cake Business ]

It is often said that money is the life line of any business. No doubt raising start up capital is perhaps one of the major concerns for entrepreneurs it can be challenging raising capital to launch a business idea. Your idea must be workable and promising for you to secure finance from financial institutions or from investors.

The first thing to put in place before sourcing for start up capital for your business is to draft a detailed business plan. With a good business plan, you can easily convince investors to invest in your business. The truth is that no bank can give you a loan if you dont have a good and workable business plan. Besides, investors will not take you seriously if you dont have a business plan on ground before launching out to source for start up capital.

There are several options when it comes to raising money to finance a start up business. Some of the options are

  • Raising money from personal savings and sale of personal stocks
  • Raising money from investors and business partners
  • Applying for loan from bank
  • Pitching your business idea and applying for business grants and seed funding from donor organizations and angel investors
  • Sourcing for soft loans from family members and friends.

Recommended Reading: Baskin-robbins Turtle Ice Cream

Get The Necessary Legal Documents You Need To Operate

The legal requirements for cupcake business vary slightly from country to country, states to states and even from cities to cities. So it is important to contact your local authority to know the legal requirements that you would need in order to open your own cupcake shop in your country.

These are some of the basic legal requirements needed before you can successfully start and run your own cupcake business / shop in the United States

  • Business and liability insurance
  • Franchise or Trademark License

Quick And Easy Steps To Starting A Cake Decorating Business

Starting a cake decorating business is a great way to turn a hobby into a bit of extra wiggle room for the bankbook.

Its fun and it never gets boring. Each order is different, and people are always so happy and excited when they see the finished product!

Plus, you get to lick the frosting

So, if you have a passion for baking with a penchant for decorating, sit back as I let you in on how to start a cake decorating business in 12 steps!

Its time to turn your hobby into a full-fledged business!

Read Also: Turtle Ice Cream Cake Baskin Robbins

Step : Obtain Necessary Permits And Licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

Federal Business Licensing Requirements

There are federal regulations regarding what can and cannot be added to, sold as, and processed with food. Attached is a resource from the Food and Drug Administration detailing the process of starting a food business: How to Start a Food Business

State & Local Business Licensing Requirements

Certain state permits and licenses may be needed to operate a cake business. Learn more about licensing requirements in your state by visiting SBAs reference to state licenses and permits.

Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses.

For information about local licenses and permits:

Certificate of Occupancy

A cake business is generally run out of a bakery with a commercial kitchen. Businesses operating out of a physical location typically require a Certificate of Occupancy . A CO confirms that all building codes, zoning laws and government regulations have been met.

Food Regulations

You Can Stay Home With Your Kids

Starting Your Baking Business

If you have a family or younger kiddos, you dont have to find childcare when you are baking and decorating the cupcakes from home. It also cuts down on your commute .

As your business grows, you can think about expanding into a storefront with a professional-grade kitchen. When you are first starting out, its nice to do it right from home.

Recommended Reading: Turtle Ice Cream Cake Baskin Robbins

Keeping Up To Date With Admin Having All The ‘paperwork’ Together Planning A Strategic Social Media Plan All Contribute To A Successful Baking Business Shelly Shulman Has Worked Many Years In The Baking Business And Is Offering These Specialist Downloadables At A Fraction Of Their Original Costs

For this, you would receive:-










PLUS AN ADDITIONAL BONUS OF 210 HASHTAGS FOR CAKE MAKERS – THAT’S 7 DAYS OF 30 HASHTAGS TO HELP YOU GROW YOUR INSTAGRAM – Order HERE today to start your journey of planning your cake business

Get Some Good Recipes Behind You

I have always loved baking so I have some recipes I’ve developed over time. I tend to stick to only offering a few flavour options but I’ll do something a bit different on request, especially if it’s a dietary requirement. Also, spend some time sourcing ingredients – if you shop around you can save lots of money.

Also Check: Gluten Free At Nothing Bundt Cakes

Choosing The Right Recipe

  • Certain recipes clearly lend themselves to postage more than others with brownies, cookies, flapjacks and cupcakes being top contenders.
  • Layer cakes can also travel well but must be chosen carefully. Delicate sponges such as chiffon or angle cake are best swapped for more robust travellers such as fruit, Bundt and madeira and fruit/Christmas cakes are excellent choice for postage.
  • Anything requiring refrigeration such as cream cheesed based cakes and icings are definitely best left at home along with homemade fruit curds which contain eggs.

Dont Forget About Marketing

How to Start a Cake Business

Your initial marketing strategies will hopefully result in a steady stream of repeat customers, but that doesnt mean you should let up on your marketing efforts.

Try new marketing tactics. Buy ads on social media, participate in charity events, and hand out business cards as often as possible. You should always be looking for new ways to get your name out there, Green says.

Read Also: Turtle Ice Cream Cake Baskin Robbins

Advantages Of Starting A Business From Home

When you start a cupcake business from home, it can have many advantages over the other option working for another baker or trying to start a brick and mortar business. There is an incredible amount of creative and cost-saving benefits as well.

Here are some of the biggest benefits that youll find when you start your own cupcake business from home.

Sort Your Home Baking Insurance

Its important to think about business insurance when youre setting up your baking business. Public liability insurance and product liability insurance can cover you if youre sued by a member of the public for injury or damage.

For example, you might have a claim made against you if someone falls ill after eating one of your cakes, or if you knock over an expensive vase when youre delivering a cake to a customers home.

Theres also stock insurance and tools insurance, plus employers liability insurance if your home baking business will have any employees. Go to our home baker insurance page to get started.

Also Check: Oreo Ice Cream Sandwich Cake Baskin Robbins

Tell Your Landlord Or Mortgage Lender

If your home is rented, you need to get permission from your landlord to run your business. However, the law says that your landlord cant unreasonably withhold or delay their permission. If you own your home, you may need to get permission from your mortgage lender to run your home-based baking business.

Work On Your Cake Business Plan

How to Start a Cupcake Business: A Case Study ...

A business plan is very important to run a successful business.

And in case youre wondering:

What is business plan?.

In a nutshell, this is simply a guide that is specially prepared for you to ensure you start and run a successful cake business.


I have seen successful business owners without a business plan. so its not completely true when some expert

say you cant run a successful business without a business plan.

However, you cant run a successful business on a LONG TERM without a business plan.

Ill explain.

I know people who ran successful businesses without a business plan, but after they died, the business crashed

There was three of them i was pretty close to.

I recollect one was into pizza business, another ran a grocery shop while the last one owned a modeling agency.

In essence, a business without a business plan is likely to stop functioning when the owner or founder stops functioning.

Why? You may wonder.

The answer to that is simply because the owner died with all the information and experience needed to keep the business moving.

Had it been those ideas and strategies the owner has been using to succeed in the business where documented, it possible for someone else to pick up from where he left off

and know the next line of action to take to keep the business moving.

So as you are looking at the possibility of starting a cake business from home

If you answered YES, get a business plan and have your strategies and next line of action documented.

Recommended Reading: Gluten Free At Nothing Bundt Cakes

Popular Recipes

More Recipes Like This