The step-by-step plan to make money with your baked goods, spend more time with your family, and live a more relaxing life!
Hey y’all! I am Haley Boykin. I’m a home bakery owner from Texas who has successfully entered multiple local markets and established a client base for my home bakery business. Using a mixture of online marketing and word-of-mouth advertising, I’ve generated a steady income and been able to spend more quality time with my family.
Step 1: Know the law.
Texas H.B. No. 970, the law that allows home bakers to operate, can be found here. Another awesome resource to help understand the law is the Texas Cottage Food Law. com’s FAQs which can be found here. It’s important to know what you can and cannot sell and all of your rights as a home baker in the state of Texas.
Step 2: Decide on products and pricing.
Chances are you already have at least one good recipe that people have complimented you on. Start there! Start by offering just one product. This is the easiest way to get going. Deciding on price requires a little more effort. Read the full article here.
Step 3: Test the market.
Is there a market for your product? What does that even mean? This just means to find out if people will buy your baked goods. The easiest way to do this is to set up a pre-sale. Make a post on social media. Include pictures of your past projects so they have an idea of what you’re capable of creating. Ask people in person and get their pre-payments right then. Ask friends and family in your community if they will pre-pay for a baked good from you. Get their payments either in cash or on PayPal. This will give you the startup funds you need to get your home bakery off the ground and get a few clients and orders for you to start working on. Keep in mind that this is a test. You will learn things from the experience of having a few orders and can decide if opening a home bakery is right for you.
Step 4: Open shop.
If you have tested the market and decided you like running a home bakery, it’s time to officially open shop. Get your Texas Food Handler’s License, costs about $8-$15. Decide on a business name. Go to the County Clerk’s office and submit a DBA- “Doing Business As” application, costs about $20-$25. Speak to a tax or legal professional about what type of business you should have. i.e. sole proprietorship, corporation, LLC, etc. Open a business checking account. This can typically be added to your personal checking account with your bank teller in less than 15 minutes. Establish your presence online. Start a website. Start your business’s Facebook, Instagram, and other social media pages. In-depth articles about these processes will be coming soon!
Step 5: Find customers.
After testing the market in step 3, you will have a few customers to get you started but you will need more to keep business going. There are lots of ways to do this. The cheapest and easiest is word-of-mouth. Ask those market testers to tell their family and friends. Ask them to post on their Facebook pages about you. Get testimonials about their experience with your home bakery and post them on your website. You can do traditional marketing like business cards and flyers, or you can use online marketing through Facebook and Google. There will be in-depth articles about these topics coming soon as well.
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