Steps on setting a cake business

7 Tips For Starting Your Successful Cake Business

 

Here are some of the key Tips I would recommend:

 Tip 1: GET CAKE TRAINED

If you really want to build your cake business, then you need to take your cake business seriously so that it can be a major source of your income. You will need to educate yourself and get trained. I sometimes find that hobby cake makers may be very good at baking but their cake decorating may not be the best.  

I always recommend you take a course or attend a few trainings on cake decorating and sugarcraft. There are loads of cake training in Lagos, just do an internet search on them.

Getting a cake decoration certification can also boost your personal brand. You may think you are good and you may be right, but there is nothing wrong in adding to your cake skills. Once trained, Practice, Practice, Practice. Keep pushing yourself and continue learning new skills.

The best people to test your cakes on are family and friends who are also very good at spreading the word about your new cake business.

 

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 Tip 2: FIND AND DEVELOP A NICHE

Pick which cakes you want to focus on, whether it is cupcakes,children’s cake, wedding cakes, desserts or something else.

Having a niche can help you develop your cake company’s brand and even choose the right name to stand out from other cake businesses. Think about what makes you different from other cake businesses. Is there something that you can do that others do not?

Think about it.

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 Tip 3: PRICING

Pricing your cakes can be one of the hardest things when running a cake business. The most important things is to work out your pricing structure. It needs to be realistic and take into account your time. There are so many methods to pricing your products that you may get confused.

One quick and very simple way is to calculate the price for your cake is to add up the cost of ingredients then add about 30-50% to it, so this will cover your labour, indirect costs and some other things you forgot to include, or you could do some research and see what others are charging and then your price will be at the middle range.

Please please please, try and do not undercharge your cakes.

Also it is essential to research the industry and your market. This will help towards your pricing too.

I will be launching my pricing Course this October, so keep on reading my blog, so you don’t miss out on this Course.

 TIP 4: REGISTER YOUR CAKE BUSINESS

If you are serious to taking your cake business to the top. The next step is to make it legal and register your cake business name with the Corporate Affairs Commission. Just because you have been operating under a particular name for some time and people know you under a name which has not been registered, that does not confer legal ownership of such business name on you.

Once registered, it’s a good idea to have a corporate account for your cake business and also register your business with the tax authorities so you can get a tax identification number.

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TIP 5: BUILD A WEBSITE

Having a website is the key to marketing your business and it’s the simplest place for your potential customers to see pictures of your cakes.

If you’re not sure how to set one up, do an internet search on creating a website where you will find lots of easy templates.

If you need help setting up a website, here is a link on how to an create your own WordPress website.

 TIP 6: MARKETING

Once you’re up and running, marketing is one of the most important things to get your cake business out there. For example, Business cards, fliers, word of mouth, a portfolio of your work to show to prospective clients, and contacting local and national press are all low-cost ways of advertising about your brilliant cakes.

The use of social media is It’s a great way of spreading the word about your business. Twitter, Instagram. Pinterest  and Facebook are free and easy-to-use marketing tools.

If you need help on how to market your cakes, take a look at this Marketing Course.

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 TIP 7: KNOW WHAT CAKES AND FLAVOURS YOU WILL BE SELLING

So now you have done the above, start testing out some recipes and once you have picked the few you like, stick to it. One of the reason people buy your cakes is for the taste and you don’t want to be experiencing a different taste anytime they buy your cakes. So be consistent with the recipe you use.

And that is it. Did you find this article useful, Please leave a comment below (would love to hear from you) or if have any questions. I am here to help.

 

Tips On Getting Started With A Social Media Site For Your Cake Business

Social media sites like Facebook, Instagram, LinkedIn, Pinterest and Twitter are great for cake businesses.Today, social media sites are no longer just an ingenious way for people to meet, connect and share. It is now also one of the most powerful advertising tools which where cake business owners can use to connect to their customers. 

However, it is noteworthy that social media marketing is like a double-edged sword – it is something that needs to be wielded correctly. In the hands of a skilled marketer, it is an effective sales tool. But in the hands of an amateur, it can turn success into demise.

Here are tips to keep in mind when you are using social media for marketing for your cake business.

  1. Make a draft plan of the contents first

Getting started without a plan can lead to a messy start. This will not be good for your company image. So before you make your social media account available, make sure that you planned for its contents and design first.

  1. Come up with an editorial calendar

You may have plenty of things you want to share and say. But if you post all of them at the same, people will get confused. Also, you will quickly run out of things to share in the future. So make a timeline and plan which things you want to post first and which ones should follow in a chronological order.

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  1. Know your target market niche

There are plenty of people that join social media sites. However, you do not really want to reach to all of them. You need to focus on a group of people which are ‘potential customers’. Know who they are. If you do wedding cakes, then you should join and post on wedding sites.

  1. Check for a possibly existing account with a similar name

You do not want people to confuse you for another organization, group, or individual. You do not know how these other accounts are behaving and anything they do might have implications on your company’s image. If you found out that there are already existing accounts with a similar name or a mockingly similar name, you can go to checkusernames.com to help you come up with an alternative.

 

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  1. Know how to lure in the people in your target market niche

Do you already have a clear vision of who your target market niche is, that is your potential customer? The next thing you need to figure out is how you can lure them in. You need to make a research on the things that interest them. For example, if your products are birthday cakes, then your target market niche are mothers, then perhaps some content with pictures of different Disney character cakes will lure them in.

  1. Use high quality graphics and Photoshop edited photos

People are attracted to visually appealing cakes. Sometimes, it is not the content but the appearance. What really draws potential customers to your social media profile is the look of it. You should make sure your Facebook business page looks more attractive by using high quality pictures, photographs, and images of your cakes.

  1. Make sure that you have the resources to regularly maintain a social media account

Yes, it is free to sign up to Facebook, Instagram, LinkedIn and Twitter. You should have the time to post regularly. It will serve you no good if you don’t post consistently. And if you need to advertise, you will probably need to pay these social media sites. Make sure that you have a budget for it.

 

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  1. Check to see if having a social media account will really be of help to your company or if it will just be a liability

There are a lot benefits in having a social media account for your company. But there are also dangers. You need to analyze if you can take these risks head on.

 

 


price logo.jpgDid you register for my How to price your cakes right for profit Course. if not you are missing out. Already i have sent out Workshop Videos on why bakers struggle with pricing and How to price your cakes. the last Workshop will be on how to get customers accept the price you give them for your cakes. 

If you did not register for this Course, you will not be able to access these videos. But you have one more chance.

In a few days i will be doing a Webinar on How to increase your prices without losing customers.  You wouldn’t want to miss it. The link to register for this Webinar shall be sent to you in a few days. 


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Also for just 24 hours only, i will be opening up my past Webinar on Bookkeeping Systems to have for your Cake Business. So watch it quickly before it goes.

Watch it here

 


me3Rotimicakelady is your personal cake fairy. She is a cake business consultant and Coach.

She runs the Cake Business Owners Club where she helps bakers through Online courses have super profitable and successful cake businesses.

She has a passion for helping women who have a passion for baking, transition from hobby cake makers to successful and profitable cake business owners.

She also help cake business owners who have struggling in their cake business with strategies to enable them get more customers, so you make more money. Rotimicakelady is passionate about Cakes, business and making money.

Why I Think You Should Start A Cake Business

Starting your cake business can be a cake dream to some people.

I was so scared when I took the plunge to resign from my job and start my cake business. I had no business experience and I learnt a lot on the job. I made a LOT of mistakes. But you know what. I was happy. I was working from home, earning money, and most importantly I was spending time with my children.

So if need extra convincing to take that leap to starting your cake business, here are a few reason you should: 

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You have a passion for cake

Do you spend a lot of time thinking about cake? Do you love all those baking shows on Food Network? Sometimes you can’t wait to close from work or  at the weekend to try out a new recipe. Do you bring cakes and cupcakes to your friends and colleagues at work? You may have even spent some time looking into what it would take to start a cake business but not sure where to start.

Then my dear, you are on the right track to having a cake business.

You have the passion, then go for it.  Life is too short to be spent regretting. 

Stop making excuses, why are you working for another man’s or woman’s business,when you can be building your own?

If you have a job that you hate, where you spend half of the day in traffic, being with people you don’t like day after day, then you need to do something about that.

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Do it Afraid

Left to you, you can come up with 50 different ways why you don’t want to do this. It is because you are afraid. The uncertainty of the ‘What if.

What if i fail. What if no one buys my cakes, What if i am not good enough.

Instead replace that negative thinking with What if i am a success, What if i have so many orders that i have to turn some down, What if i make so much money that i can now buy that industrial oven

Do you know what is the No. 1 regret of the elderly?- Not doing something because they were afraid.

I spent years working as a lawyer in a job I had no passion for. I dreaded going to work each morning and being away from my children.

Yes we don’t know what the future holds. They are no really   safety nets. But you need to to take a step. Once you start, you will realise that it was silly hesitating.

So even though you are afraid. Do it Afraid.

You will be a Goal Crusher

People always say that when you want to achieve something you should write them down. So if you want to learn something or acquire a business skill, or want to start or grow your business,set it as a goal and crush it.

 Once you realize you can accomplish this huge task of starting your own cake business  you will see all the other goals will be a breeze.

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You Will Become Ms. Cake Boss Lady

You will finally be your own boss, have your own hours, be able to dictate your hourly rate, plan your holidays and spend more time with family and friends.

Yes it is going to be handwork. Infact a lot of hard work but you will see that you will enjoy it so much that it will not be like work. 

Once you know how to price right, market and promote your cakes, network, then you business will continue to grow to greater and greater heights.

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You will become more smart

When I first started my cake business I had no idea how to run a business. I was like a headless chicken running around. I had no order book, i didn’t know how to track my orders, I didn’t know how to price my cakes and i will go to the supermarket nearly everyday to buy suppliers.I used to deliver cakes and wait ages for payment.

I was so fed up so I was forced to change. I needed to come up with a system. So I started makings lists, made order forms, had a diary , made note of costs of ingredients, noted the time it took to make and decorate a cake, and learnt how to charge appropriately and made sure that the customer paid me at least a deposit before i started making the cake.

So i got smarter, by putting systems in place i was able to run my business more efficiently and organised.

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You will become an avid learner

When you start your cake business you will start to see that you don’t know a lot. So its good to make a list of skills you don’t know and make an effort to learn them.

And once you get the hang of learning, you will want to learn more and more. Both from paid and free resources like… YouTube, Google and Facebook.

You can find the answer to almost any question on the Internet, so Instead of sitting around feeling defeated and frustrated because you don’t know how to do something, just go to the internet to find out the answers or find someone who can teach you.

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P.S. So those are my reasons?  What are your own  reasons to start a cake business? Let me know  in the comments.

P.P.S. if you are ready to achieve your cake Business dream. Sign up to this Free E-Course email series Start your Cake Business In Nigeria today’. It provides all the information you need to get your cake business started. Just click here to register.


me3Rotimicakelady is your personal cake fairy. She is a cake business consultant and Coach.

She runs the Cake Business Owners Club where she helps bakers through Online courses have super profitable and successful cake businesses.

She has a passion for helping women who have a passion for baking, transition from hobby cake makers to successful and profitable cake business owners.

She also help cake business owners who have struggling in their cake business with strategies to enable them get more customers, so you make more money. Rotimicakelady is passionate about Cakes, business and making money.

How to Know what type of cakes to sell so you are always making money

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So, you want to start a cake business?

Fantastic – but unfortunately so does almost every other baker who loves to bake. How are you going to stand out? How will you succeed even when there are other already established bakers to compete with? How will you get your own customer base and following?

Well the answer to that is:

Find your baking niche

Just as with every other business whether product or service based, you need your unique selling point. In other words –– you need to find your niche. The thing that makes you exclusively you and your cakes exclusively yours.

For some people, finding a niche is simple. They already have one key strength, one driving passion and they go with it, whether that’s for edible art, fondant cakes or custom birthday cakes or desserts.

But what if it’s not that easy for you? You’ve done a few cake decorating classes, made a mixture of buttercream and fondant, cake and cupcakes – how should you know what you should focus on? And even then, how should you know whether people will want to buy it anyway?

These worries are completely normal, so today I’ve put together a few things to consider when finding your baking niche to help you follow your heart and have the baking business of your dreams.

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1. Where do your strengths lie?

It’s usually a good idea to play to your strengths. If you make amazing piped buttercream cupcakes, then why not start off selling cupcakes at events? If you’re great with fondant, why not offer more traditional celebration cakes to start with? If you start out strong, you’ll set yourself up well and can branch out into other baking styles as and when you or your customers wish.

2. What are your competitors doing?

This question works in 2 ways. Firstly, knowing what your competitors are selling a lot of tells you a bit about the demand in your local area. Are people buying tons of Christmas and seasonal cakes? What about the new trend for naked cakes? Or are you getting more cupcake orders? This is what good market research is for

Secondly, although you know where some demand now lies, you need to find a way to set yourself apart. Don’t necessarily offer what your competitors do just because you know it’s selling. There might not be enough demand to sustain several similar cake businesses and you need to set yourself apart from the other crowd of bakers, so use the information to work out your own specific style and cake baking niche. 

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3. What is the demographic of your local or delivery area?

Where do you live? Knowing who your ideal customer or target market are is essential when designing your cake products and pricing them. If you’re catering to a community of young business men and women, the types of cakes they’ll want might differ to a smaller area with families.

Likewise, the occupation, disposable income, age and interests of your ideal customer can all influence what type of cakes they will want to buy. Make sure the cakes you want to sell meet the needs of your ideal customer.

4. What do you love to do?

As well as playing to your strengths, I believe it’s important to do what you are passionate about. If your passion is in your cakes, people will know and appreciate the effort, attention to detail and love that you put into each order. It makes a difference.

So if you’re good at sugarcraft but find it tedious and prefer naked or fruit or dessert cakes consider including them in your cake portfolio. You need passion, skills and demand to be successful, so make sure you love what you do.

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5. Is there anything people comment on that you do differently?

When you’re baking regularly, it’s easy to fall into a pattern of thinking what you do is normal or typical or average. It’s easy to be overly modest and undervalue your skills, experience and expertise. Friends and family who see and taste your cakes can be really helpful at this point because they can help you see the things that make your cakes uniquely yours. Do they notice a certain flair for decorating? Some extra amazing and unusual flavours? No design is too intricate? Other people can help you realise what it is that makes your cakes special, an important selling point for your cake business that can guide your choice of niche.

Take some time out to work through these five points with examples from your own experience, then comment below with what your baking niche will be! Still not sure? That’s okay too, comment below and let me help you out!

Are you ready to finally start making serious money in your cake business, so that you can get more orders!

                                              THEN REGISTER HERE

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   (Just fill in your details below           and  we shall contact you when        the E-Course is launched)

How to deal with Your Customers if they Complain about your Cakes

Top 5 Mistakes New Cake Business Owners Make

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When I was complying materials for the Baking Business School. I observed some common mistakes made by new cake business owners. It’s one thing to be a skilled cake decorator, but it’s something quite different to be the owner of a successful cake business.

 
Making mistakes is part of life and it’s only by learning from those mistakes that we become better business owners. Having a cake business is about figuring things out as you go along, but knowing the common mistakes new baking business owners make is a good way to avoid them entirely.
 
                    ‘Remember you’re A Cake Business Owner, not a Cake Decorator
 
To thrive in the cake business world, you have to be a good marketer and be business-minded.
 
Here are a few of the most common mistakes in staring a cake business that you should try to avoid.
 

 #1: Undercharging For Your Time and Talent

Most of us started like this- you make a cake for a friend and suddenly everyone is telling you to go into business because your cakes are great. Then a friend asks you to make a cake for her child, gives you money and suddenly you’re in business. You have just conducted your first business transaction. Yay!
 
The thing you have to realize is that the moment you charge for a cake, you’ve moved from amateur to professional. This shift requires a change in thinking, especially when it comes to how you view the value of your time.
 
In most cases, selling your cakes means you’ve already made an investment in becoming a legally registered business. All that is needed is a simple change in perspective: from amateur to serious business. The rules are entirely different, and you need to think about things in a different way  – even if your cakes are not perfect and you only charged a few Naira for the cake.
 
If you are serious about your cake business and it’s not just “a side hustle”, you must think seriously about the cost of keeping your business open. With this change in perspective and a realistic valuation of your time, you can calculate accurate prices that reflect your work, effort and skills.
 

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#2: Working For Free

Even if you are new in the cake business, my advice is to always know what your cakes are worth, and refuse to negotiate below a certain price.

Making a cake for free in the hope of future orders means you won’t be in business for very long. If someone asks you to bake a cake for a very low price saying that your sacrifice will lead to more highly-paid opportunities in the future. Don’t do it! This is an insult to any baker and does a lot of damage to your business and the cake industry at large. You risk being known as a cheap cake maker who will negotiate at any price.

#3: Waiting for cake customers to just appear

 You’ve got the business cards, the cake equipment, the website and the logo, but no cake orders are coming in. New cake business owners forget that it’s not enough just to be a great baker; you’ve got to go out there and get customers. You need to market and get on social media to advertise your cake business. Word of mouth is good and helps bring in customers, but you can’t always rely on that.

#4: Not keeping track of your expenses

While you were still an amateur baker you never thought that such things as your cake equipment and ingredients were ‘expenses’. When you start selling your cakes as soon as you start, you should start keeping track of what you’re spending.
 
So keep track of the items you’re buying and note your expenses even if it’s just in a notebook and also keep your receipts. This exercise helps to keep a business mindset.

#5: Living in a Dream Fantasy

Running a professional cake business, is not so easy. Most cake business owners feel u will become a millionaire overnight just by baking cakes.
 
The reality is that the cake baking and decorating is only a small part of your business efforts.  The rest is selling, accounting, marketing, social media, customer service, ordering supplies, negotiating with customers and so on. Those business-related tasks are required in running your business so don’t ignore them. However, the good news  is that now when you’re doing those tasks, you’re and investing in your future cake business long-term success.
 

Other Business Mistakes worth noting include:

Worrying about the competition

As a new cake business owner, you need to know your competition, like what they charge and what products they sell. Knowing this is information is vital because it helps you make decisions.
 
However, if you’re spending the time comparing yourself to the competition online, complaining about other bakers doing better than you is a complete waste of your time. Spend that time marketing your business, developing new products, and surveying new and existing customers. Remember this is a business and you are doing this to make money doing what you love.

Setting Prices Without Knowing your total Cost of Goods Sold

Pricing is not discretionary. It is a calculated process. Costs includes all the direct costs necessary for making a sale such as ingredients, but not fixed costs such as internet, telephone, rent etc.
 
Take note that you should also include your time in calculating your costs. Your time is your most valuable asset and you need to charge for it.
Having determined the cost for any cake you sell, its good practice to mark that up at least 3 times or 50% to give a final retail price. Try and resist the temptation to reduce your prices for fear of not being able to make a sale.
 
To know more about pricing with pricing guides.  Register for the Start Your Cake Business in 7 days free Mini Course..
 

Failing to have Business Plan

I know! I know! this can be a hassle, but it is worth doing. When you’ve started your new cake business try to take a break and write a business plan.  Know this can be quite boring especially when you not only have to bake, but market, sell and so on. However, without a plan, you are unlikely to achieve long-term success. A business plan helps you plan your goals and tracks your progress.
 
It provides a continuous frame of reference for your cake business, defining your goals, and making you accountable.
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In conclusion, in the cake business, the easy part is the baking and decorating but the tricky part comes once you are actually in the business. Staying in business, and being successful at it, is most challenging thing you may have to face.
 
If you remember one thing, is that, this is your cake business and is not just about the baking, it’s about the business side of it too.
Happy Caking.
Talk to you next week.
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RotimiCakeLady

Should I quit my 9-5 job to start a cake business?

 

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This is a question I get asked a lot. Many Cakers are still in full time jobs and have the aspiration of starting a cake business either on the side or as a full time business.

A lot of people have romantic notions about starting a cake business. A business where you make money from your passion, where you work from home and be able to spend time with your kids and no longer have to be contend with traffic to and fro from work. This is every Caker’s dream

While cake makers may find themselves attending lots of social events, hours spent rolling fondant and making buttercream flowers, it is by no means an easy business venture, particularly in today’s highly competitive cake market.

Before you can carve yourself a slice or rather a niche, you need to ensure you’re adequately equipped to handle anything that you may get served.

For all you, would be cakepreneurs here are basically 5 things to keep in mind if you’re thinking of starting a cake business.

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Who is the cake business best suited for?

Cake making and decorating might sound easy enough but, like any business, it demands hard work and exceptional administrative skills.

The cake business is best suited for those who have a passion for baking and who love cakes. You don’t have to be exceptionally good at cake decorating, but as long as you have the basic foundation in baking and decorating, you will go a long way.

It may sound funny, but you also need to enjoy eating cake because you will spend a fair amount of time testing cake combinations and the finished products to ensure they are up to standard.

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Rules and regulations

Even if you’re planning to run your business from home, food hygiene and preparation rules apply to any premises in which food is prepared.

If you’re planning on using your kitchen or another site which isn’t purpose-built, make sure you keep all pets and soft furnishings out of the room.

 Cake making requires eggs, and eggs can spread harmful bacteria so you have to be aware of cross-contamination, particularly if you’re running the business from home.

Most cases of food poisoning occur when harmful bacteria is spread from food to food, so take extra care when handling raw meat, poultry and eggs – particularly if you are running your business from home. Also, be aware that equipment, pests, cloths, packaging and cleaning products can spread bacteria, so make sure you know what is coming into contact with your cake batter.

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Research and competition

There are plenty of cake making/decorating courses in Nigeria, and it is definitely advisable to complete one if you don’t have any cake-related qualifications or experience.

Once you have a course under your belt, you need to decide whether you want to start-up at home or in a shop, or whether you intend to sell your products online.

Because cakes are often judged on their visual value, your shop front and/or website should reflect this. People purchasing cakes are typically doing so for a party or wedding, so you want their experience to be as pleasant as possible.

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Costs and earnings

Your start-up costs will depend very much on how big an operation you wish to run. As with all businesses, the fewer overheads you have, the lower your expenditure.

The first cost you will be faced with, if you decide to run your business from a shop, is the cost of rent. Your next decision will be whether to employ staff to help out or not. Although casual administrative staff can be hired for relatively little, specialist cake decorators come at a significantly higher cost.

When you start up, you will regularly need to invest in your equipment. This is not a one-off purchase. You need to purchase equipment on a regular basis to ensure your work is of the highest standard as old equipment could compromise the finished product.

With regard to earnings, a cake maker and/or decorator can expect to take home between N50,000 and N200,000 per month.

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An average day for a Baker

There are many Cakers who have opened a cake shop even though they do not have a culinary background.

For me as a mum, there are days when I get to spend 10 quality hours a day with my children, and days when I don’t see them at all because I’m up all day and night fulfilling a cake order.

An average day for me involves sorting out cake orders, shopping for ingredients, preparing fondant decorations and taking an inventory of my supplies. Other days I will be knee deep in baking, decorating and preparing for deliveries.

One thing you have to be aware is that you have to be prepared to work antisocial hours.

Useful contacts

  • Association of Master Bakers and Caterers of Nigeria
            info@lagosmasterbakers.org; lagosmasterbakers@yahoo.com
           www.lagosmasterbakers.org
  • Association of Catering & Laundering Equipment Distribution of Nigeria, (ACLEDON)
           ftansecretariat@yahoo.com, info@ftan.org.ng
  • Association of Fast Food Confectioners of Nigeria, (AFFCON)
            web@affcon.org; web@affcon.org
 

Ready to get started? Find out everything you need to know about how to start your own business here.

Found this article useful? Please leave a comment below or contact me if you have any questions.

Don’t forget to subscribe to our newsletter here for more cake business tips or read our previous blogposts.

 

It’s time to live your cake business dream

Till next week.

Happy Caking!
RotimiCakeLady

Simple steps on Starting A Cake Business

Wondering what the first step to setting up a cake business? Are you a bit overwhelmed about all the information that is out there?

Are you looking for straight forward answers to know what is involved in setting up a cake business?

Below is a short list of 7 simple steps to Setting up a Cake Business:

  1. Decide on your cake business name.  Remember to keep it simple.

  2. Register your cake business name with the Corporate Affairs Commission.

  3. Create a business email address.

  4. Create a cake website to display all your cake pictures. There are a lot free website creators that are free, easy, and minimal techy knowledge required.

  5. Order business cards for your cake business.

  6. Set up a Facebook business page to advertise your cakes. 

  7. Start selling your cakes to the public.

 Like this article? For more cake business tips. Don’t forget to subscribe to our newsletter.\

Till next week.

Happy Caking.

rotimi cartoonRotimiCakeLady