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This isn’t necessarily a legal requirement but it does make good business sense. It keeps all your business finances separate from your personal account. You will need to come up with a different spin to your business so that it sets you apart from other bakers. If you wouldn’t stand in front of an audience and say it, don’t say it on social media.
Starting a cake business can be a daunting task, so we asked Paula Wilkinson at Mum’s Bake Cakesto share the secrets to successful sales. Cake business owners areverybusy, they don’t just pop a cake in the oven then go and watch ‘Loose Women’. I think the above just goes with the nature of the business. It’s food-related, so it has to have the utmost highest standards of hygiene and you have to keep up with best practices and stay in front of your target audience. Consider contacting large Human Resource Departments and offer to bake cakes for corporate events. Create a portfolio of your cake designs and put enlarged photo’s in a photo album.
Think money & set up your books
It is very simple and can be completed online in a few easy steps. Legally however, you don’t have to complete this step until the second year of trading as a business. Failure to comply with the legal requirements can mean fines or even being asked to close.
You can also complete a food safety level 2 certificate online from various companies (try food-certificate.co.uk). Many bakers start off making treats for family and friends and enjoy the thrill of people enjoying and congratulating them on their creations, however... I’ve ran dozens of home-based businesses, both offline and online, since my early twenties. I also have a list of 47 home business ideas for women if you want to take a look at them first before you decide to charge ahead with your own cake decorating business.
How Much Should I Charge?
You will burn out quickly if you’re working every waking moment. Tania Griffis is a blogger and business owner who has a background in human resources, hiring, and recruiting. She's been featured on CNN and dozens of other blogs and online publications, putting her journalism degree to good use.
If you love baking and cake decorating, keep reading, and learn everything there is to know about starting a cupcake business from home. No matter how delicious your pastries and cakes are, starting a bakery café relies on customer service. The customer experience is often only as good as the technology that gets customers through the line.
Learn and follow the legal requirements in the UK.
That’s what will set you apart from the competition and help you to better your craft. A plan will also help with developing a growth strategy as you can monitor your firm’s development and keep track of upcoming bookings. It’s important to know when to push for more business and when you’re in danger of overbooking and letting a customer down (which could be detrimental to your start-up). The costs and timescales vary considerably so make sure you research the most appropriate option for you and your business..
Ideally, you should register with the environmental health service to ensure that your products are safe to eat. The next step in starting a cake business is to register with the local environmental health service. The registration process is simple and doesn’t cost anything. It can be done online and doesn’t require much initial capital. The environmental health service will also conduct a home inspection of your premises to check that they are in compliance with the law.
Social media marketing is a great way to get your name out there, not just all over the world, but also in your local community. Use hashtags pertinent to your area so that you’re seen by people in that area. You can list your cakes on your own website, and without people having to reach out to you, they’re able to place an order and pay. Ice-cream cakes will need a lot more fridge than they will oven.
It's not enough to keep you going that your friends think you make the best cupcakes in town. You need your own reason why you are doing this, one that you can return to time and time again on rubbish days to remember the fundamental 'why' of your business. Maybe you want a challenge, maybe you want a job you can work from home. It will be different for every person but you need to know, deep down, why you are doing this.
Customers like to know they’re buying from a legitimate and hygienic business. Having an official food hygiene rating of 5 stars really helps to give your customers confidence they’re buying from a food business that’s operating safely. The reason for registering is that your council is responsible for all the food business on its patch.
After you decide what kind of business structure you are going to follow, you need to get a federalEmployer Identification Number . You’ll use this when you file your taxes and report your business information. Liability insurance, both public and product, protects you and your business. Other types of insurance to consider are business contents, employer’s liability, and stock insurance.
The rules also require a separate sink in or near the kitchen for cleaning. Getting expert advice from your local authority may help, especially if the initial launch is going to be from home. Cake making is like any food business, competitive; and it’s important that you stand out from the rest of the market. However, though innovation will get you noticed, quality will remain key to a sustainable business. For businesses selling food online, we are aiming for mandatory online display of your rating in Northern Ireland in 2023. Guidance is available to assist businesses with displaying their rating online or on social media.
Remember that your business plan can determine the viability of your business. So, rather than banging your head into a brick wall for months questioning why your company isn’t running, make a plan. For example, packaging materials may be required to be liquid or fat repellent to prevent leaks, or to stop paper becoming soaked through. Without this type of packaging, chemical contaminants or germs could transfer onto the food. Well-fitting lids or closures will also minimise any hygiene or spillage risks. Traceability rules help keep track of food in the supply chain.
You can then become even more niche by targetting people specifically in your area - ‘diabetic birthday cakes in Brighton’, for example. The UK government is well aware of the increase of food companies starting. In this situation, you’ll need to register as a self-employed partner rather than a sole trader.
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