Congratulations! You have decided to turn your love of cakes and baking into a business.
Cake Business Start Up Checklist
- Create a business plan.
- Register your business and business name according to the local laws, rules, and regulations of your local area. You will also need to decide on a business structure: sole proprietorship, limited liability corporation, s-corporation, or partnership are common options.
- Use the Tools & Resources we have identified as helpful essentials you need when running a cake and baking businesses.
- Ensure your facilities/kitchen meet the legal requirements of your local area.
- Establish your web presence – You will need to set up a website which includes:
- Web hosting
- Website theme
- Domain name
- Business email address
- Set up your social media accounts. At a minimum we suggest Facebook, Instagram and Pinterest.
- Set up a business phone number. Google voice is a great option.
- Register for health licenses and permits (if required). Cottage food regulations and requirements vary.
- Secure other necessary licenses and permits as required by your local area.
- Sign up for food manager or food handlers training (if required). This is always good to have, even if it is not a requirement.
- Sign up for the appropriate business and liability insurance. This offers some protections for your business, clients, and and facilities where you may sell/deliver your baked goods.
- Secure a business mailing address. You can sign up for a post office box, or use a private mail service. It’s good to use a separate address, especially when working out of your home.
- Open a business checking and savings account.
- Sign up for a payment processing service. PayPal and Stripe are two popular and secure options. Make sure you don’t use personal payment options such as Venmo as they are not for businesses.
- Set up your files for bookkeeping and taxes. Meeting with an accountant is helpful as they can guide you on getting your business finances set up correctly so it’s easy to track your numbers, and so your taxes are easy to file when it is tax time.
- Create your contract and policies. Have a lawyer do a final review to ensure your documents are legally binding.
- Establish your menu and pricing. You pricing model will evolve over time. Ensure you are calculating your time, materials, and expenses correctly so you do not underprice your cakes.
- Sign up for our newsletter and gain access to our private Facebook group where you can get one-on-one cake business help from the Sweet Success community.
- Like/Follow/Share/Subscribe on Instagram, Facebook, Pinterest, and YouTube (channel coming soon)
You’re now on the road to Sweet Success. I’m glad I can help you on this journey of cake business entrepreneurship!
Editor and Publisher of Sweet Success Magazine