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Baking (rec.food.baking) For bakers, would-be bakers, and fans and consumers of breads, pastries, cakes, pies, cookies, crackers, bagels, and other items commonly found in a bakery. Includes all methods of preparation, both conventional and not.

Making baking pay?!



 
 
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  #1 (permalink)  
Old 11-03-2005, 09:44 PM
IanW
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Posts: n/a
Default Making baking pay?!

I have a recipe for a cake that you don't get in the shops, but is really
very tasty. I make it every so often and it always get enthusiastic
responses.. it's one of those ones where everyone wants to know the recipe -
as far as I know it's one of my grandmother's recipes.

Now, I have an idea for 3 different types of cake on a similar theme and was
thinking it would be great to make a brand out of them and sell them to
supermarkets etc. I've got ideas for packaging and a way to lift them above
the rest of the average line of cakes you get in the shops. However, I don't
have a bakery, so how does one go about realising this kind of ambition?

One approach, I thought I could try is to make some at home myself and take
them round to supermarkets and see if I can clinch some orders. If
successful them there happens to be a large scale bakery not too far from
where I live, that makes things like flap-jacks and muffins, so I could
approach them and see if I could come to a deal with them to make the line
of products under my brand.. does that kind of thing sound feasible or am I
just dreaming here.. how do other people start up this kind of business?

Ian


  #2 (permalink)  
Old 11-03-2005, 10:00 PM
Vox Humana
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Posts: n/a
Default


"IanW" wrote in message
...
I have a recipe for a cake that you don't get in the shops, but is really
very tasty. I make it every so often and it always get enthusiastic
responses.. it's one of those ones where everyone wants to know the

recipe -
as far as I know it's one of my grandmother's recipes.

Now, I have an idea for 3 different types of cake on a similar theme and

was
thinking it would be great to make a brand out of them and sell them to
supermarkets etc. I've got ideas for packaging and a way to lift them

above
the rest of the average line of cakes you get in the shops. However, I

don't
have a bakery, so how does one go about realising this kind of ambition?

One approach, I thought I could try is to make some at home myself and

take
them round to supermarkets and see if I can clinch some orders. If
successful them there happens to be a large scale bakery not too far from
where I live, that makes things like flap-jacks and muffins, so I could
approach them and see if I could come to a deal with them to make the line
of products under my brand.. does that kind of thing sound feasible or am

I
just dreaming here.. how do other people start up this kind of business?


You might call around and see if a certified kitchen will rent some time or
space to you. You would then need to figure out how much the ingredients
will cost along with the
packaging/promotions/advertising/transportation/insurance/employee costs,
etc. You then need to figure out how much you can charge (based on similar
items in your market) and how many units you anticipate selling. From there
you can get an idea if you will make money. All businesses start with a
dream. It won't be easy, but you can always give it a try.


  #3 (permalink)  
Old 11-03-2005, 10:43 PM
Rona Y.
Usenet poster
 
Posts: n/a
Default

IanW wrote:
One approach, I thought I could try is to make some at home myself
and take them round to supermarkets and see if I can clinch some
orders. If successful them there happens to be a large scale bakery
not too far from where I live, that makes things like flap-jacks and
muffins, so I could approach them and see if I could come to a deal
with them to make the line of products under my brand.. does that
kind of thing sound feasible or am I just dreaming here.. how do
other people start up this kind of business?

Ian


If you're thinking of doing it from home, the very first thing you need to
do is contact your city offices to determine if it's legal to operate a home
baking business. In my city, you cannot sell goods made in home
kitchens--you must use a commercial kitchen (rent space) or have a separate
kitchen solely for baking for your business. There are also various health
codes one needs to adhere to.

Personally, I think you'd be better off starting small. Supermarkets,
especially large ones, would not likely order from a home baker. Instead,
try baking (which you could charge for--though then you'd have to follow you
city's health codes) for your friends' parties, or their friends' parties,
etc. Your product will reach a wider customer base, and the reputation of
your product will spread by word of mouth. Once you have that wide customer
base, you can consider opening your own bakery, or marketing your cakes to
restaurants or country clubs. You could try approaching a small bakery, but
going to a large-scale bakery first, I think, is just dreaming (not to say
it can't happen...).

rona

--
***For e-mail, replace .com with .ca Sorry for the inconvenience!***

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had people who really wanted to live in Europe, but didn't have the
energy to go back. We call them Canadians." ---Grover Norquist in
Newsweek, November 22, 2004


  #4 (permalink)  
Old 12-03-2005, 01:34 AM
Ida Slapter
Usenet poster
 
Posts: n/a
Default

On Fri, 11 Mar 2005 21:44:32 -0000, "IanW"
wrote:

I have a recipe for a cake that you don't get in the shops, but is really
very tasty.


Yes...they all are tasty. Are you prepared to make quantity...?
You might get a request for 300 cakes to be delivered by
7am....tomorrow.

Get your liability insurance in place.....someone might choke on a
piece of cake and sue your everloving frosting off the batter.





The Fine Art of Cooking involves personal choice.
Many preferences, ingredients, and procedures may not
be consistent with what you know to be true.
As with any recipe, you may find your personal
intervention will be necessary. Bon Appetit!
  #5 (permalink)  
Old 12-03-2005, 09:40 PM
Petey the Wonder Dog
Usenet poster
 
Posts: n/a
Default

Far as I can tell, someone wrote:
One approach, I thought I could try is to make some at home myself and take
them round to supermarkets and see if I can clinch some orders.


A nice idea, but more than likely, totally illegal.

Virtually all state health departments make it against the law to
prepare foods at home for commercial purposes. You can bake for a bake
sale at the school, but your equipment and processes must meet state
codes for commercial sale. Then you have to get into resale tax
certificates, because the stores will not want to pay sales tax to you.
Then you have to have a license. Then you have to get a permit from the
government which proves your county building office has inspected your
premesis to show thqat your equipement, elctricity etc is up to code,
which it isn't, 'cause it's not designed and built for commercial use.
It goes on... as it should to protect the health of the buying public.
(Which is certainly not to say that all bakeries and restaurnats are
clean... but that's another topic.)

I suggest you try to talk a retail baker into baking for you.

There's no way in the world I would let a stranger/non-employee of mine
bake and/or use my facilities. The risk is FAR too high. No matter
what happens, should something go wrong, I would get sued.

You poison a customer, I get sued.
You burn yourself, I get sued.
Since you don't have any formal training, you couldn't even sign a
waiver in case you hurt yourself. The government does not recognize
your ability to protect yourself without food-handling training and
safety training.

It's a very tough world out there.
  #6 (permalink)  
Old 13-03-2005, 03:20 PM
IanW
Usenet poster
 
Posts: n/a
Default


"Petey the Wonder Dog" wrote in message
...
Far as I can tell, someone wrote:
One approach, I thought I could try is to make some at home myself and
take
them round to supermarkets and see if I can clinch some orders.


A nice idea, but more than likely, totally illegal.

Virtually all state health departments make it against the law to
prepare foods at home for commercial purposes. You can bake for a bake
sale at the school, but your equipment and processes must meet state
codes for commercial sale. Then you have to get into resale tax
certificates, because the stores will not want to pay sales tax to you.
Then you have to have a license. Then you have to get a permit from the
government which proves your county building office has inspected your
premesis to show thqat your equipement, elctricity etc is up to code,
which it isn't, 'cause it's not designed and built for commercial use.
It goes on... as it should to protect the health of the buying public.
(Which is certainly not to say that all bakeries and restaurnats are
clean... but that's another topic.)

I suggest you try to talk a retail baker into baking for you.


Yes, I think that may be the best idea. So, presumably if I develop a brand
name, packaging and a business plan and then approach the bakery and ask
them how much they would charge to make the product, add some profit for
myself and then market the cakes?

Ian


  #7 (permalink)  
Old 13-03-2005, 07:23 PM
Petey the Wonder Dog
Usenet poster
 
Posts: n/a
Default

Far as I can tell, someone wrote:
Yes, I think that may be the best idea. So, presumably if I develop a brand
name, packaging and a business plan and then approach the bakery and ask
them how much they would charge to make the product, add some profit for
myself and then market the cakes?


That pretty much sums it up.
  #8 (permalink)  
Old 16-03-2005, 04:12 PM
marks542004@yahoo.com
Usenet poster
 
Posts: n/a
Default


Petey the Wonder Dog wrote:
Far as I can tell, someone wrote:
Yes, I think that may be the best idea. So, presumably if I develop

a brand
name, packaging and a business plan and then approach the bakery and

ask
them how much they would charge to make the product, add some profit

for
myself and then market the cakes?


That pretty much sums it up.


Unless you have a bekery in your area that does commercial contract
baking I would try to find a commercial kitchen for rent.

Schools, fire stations, VFW, etc all have commercial kitchens which
they may make available to you.

You should get the state sanitation certificate before you start and
there are several courses available online about scaling up recipes for
commercail production.

If you think you have a product with wide appeal you might be better
off finding a company that specializes in contract baking for
assistance.

Your recipe might need modification to improve its packaging ability
and shelf life.

  #9 (permalink)  
Old 16-03-2005, 05:47 PM
IanW
Usenet poster
 
Posts: n/a
Default


Unless you have a bekery in your area that does commercial contract
baking I would try to find a commercial kitchen for rent.

Schools, fire stations, VFW, etc all have commercial kitchens which
they may make available to you.

You should get the state sanitation certificate before you start and
there are several courses available online about scaling up recipes for
commercail production.

If you think you have a product with wide appeal you might be better
off finding a company that specializes in contract baking for
assistance.

Your recipe might need modification to improve its packaging ability
and shelf life.


that's something I was wondering about - the base of the cake is the usual
sugar, eggs, flour & marg.. the sugar is presumably going to act as a
preservative, but do commercial producers add anything further?

Ian


  #10 (permalink)  
Old 16-03-2005, 11:32 PM
Petey the Wonder Dog
Usenet poster
 
Posts: n/a
Default

Far as I can tell, someone wrote:
Unless you have a bekery in your area that does commercial contract
baking I would try to find a commercial kitchen for rent.

Schools, fire stations, VFW, etc all have commercial kitchens which
they may make available to you.


The crux of the problem is one of cost and government code.

If I ran a school kitchen, firehouse kitchen, VFW or whatever, I would
not let anyone come in and bake for a commercial product that's intended
to sell. There are liability issues.

In my business, I sometimes bake by request, and I have no interest in
"stealing" a recipe.

If you come to my shop and say... "I'd like to pay you to bake a product
for me, and only for me, and it may make me a fair amount of money," I'd
be happy to "contract bake" for you. I'd agree in the contract not to
use your recipe except as you direct. I get to ensure that the product
is safe for the public to consume and make a bit of profit as well.

But if you want use my oven and tools, it ain't gonna happen. Period.

There is just too much at risk. You screw up, I get sued. Or you break
my equipment, or burn yourself, or whatever. Anyone would be nuts to
let you do it.

Starting out, you need the LEAST amount of investment possible.

When you start to make money and establish a product or products, then
go for it.

It cost me $135,000.00 to get started. I'm into it for two years and am
just starting to make money. That's pretty normal for a
bakery/restaurnat.

I almost got killed by the Adkins idiocy, and by some wildly fluctuating
flour and egg prices.

Assume the smallest risk possible, test your product wholesale and
retail and chase your dream.

Read about how Famous Amos got his start. Then go to the Small Business
Development Center in your area with your business plan.

  #11 (permalink)  
Old 17-03-2005, 09:16 AM
-L.
Usenet poster
 
Posts: n/a
Default


Petey the Wonder Dog wrote:

Starting out, you need the LEAST amount of investment possible.

When you start to make money and establish a product or products,

then
go for it.


/delurk. Ok, so how does one go about doing this initially? Baking
for friends and/or selling goodies under the table to establish a
client base? Or should I contract out a small batch of product and
peddle it to retailers?


It cost me $135,000.00 to get started. I'm into it for two years and

am
just starting to make money. That's pretty normal for a
bakery/restaurnat.


Pardon my ignorance (I'm new to the group) but what kind of business do
you have?


I almost got killed by the Adkins idiocy, and by some wildly

fluctuating
flour and egg prices.


Has the Adkins wave subsided at all for you? Or did you have to alter
recipes to come up with low-carb alternatives?


Assume the smallest risk possible, test your product wholesale and
retail and chase your dream.

Read about how Famous Amos got his start. Then go to the Small

Business
Development Center in your area with your business plan.


Thanks for posting your experience. I, too, am thinking of starting a
baking business (cakes, cookies) because so many people tell me I
should.

-L.

  #12 (permalink)  
Old 17-03-2005, 09:44 PM
IanW
Usenet poster
 
Posts: n/a
Default

"Petey the Wonder Dog" wrote in message
...
[..]
If you come to my shop and say... "I'd like to pay you to bake a product
for me, and only for me, and it may make me a fair amount of money," I'd
be happy to "contract bake" for you. I'd agree in the contract not to
use your recipe except as you direct. I get to ensure that the product
is safe for the public to consume and make a bit of profit as well.

But if you want use my oven and tools, it ain't gonna happen. Period.

There is just too much at risk. You screw up, I get sued. Or you break
my equipment, or burn yourself, or whatever. Anyone would be nuts to
let you do it.


Yeah, I think when it comes to selling to retailers it's definitely got to
be the contract-bake option, so..

Starting out, you need the LEAST amount of investment possible.


So, say you took some samples of your cake along to a chain of local
retailers and they really digged it and decided to place an order for say
500. They're not going to pay until you deliver presumably.. so you take the
order to a contract baker who agrees to bake them for a suitable price - but
will they want the money up front or on delivery? I'm guessing that they
would want it up front for a company they haven't dealt with before, or
would they?

When you start to make money and establish a product or products, then
go for it.

It cost me $135,000.00 to get started. I'm into it for two years and am
just starting to make money. That's pretty normal for a
bakery/restaurnat.


So, if someone came along to you and asked you to contract bake them a batch
of regular fruit cake, for example, how much would you expect to charge per
cake, including your profit?

Assume the smallest risk possible, test your product wholesale and
retail and chase your dream.


I like that :-)

Ian



  #13 (permalink)  
Old 18-03-2005, 12:09 AM
Petey the Wonder Dog
Usenet poster
 
Posts: n/a
Default

Far as I can tell, someone wrote:
Petey the Wonder Dog wrote:

Starting out, you need the LEAST amount of investment possible.

When you start to make money and establish a product or products,

then
go for it.


/delurk. Ok, so how does one go about doing this initially? Baking
for friends and/or selling goodies under the table to establish a
client base? Or should I contract out a small batch of product and
peddle it to retailers?


I'd say you would want to bake (which in small batches like this you
could do at home) enough to give samples to retailers. Ask them if they
feel they would have a market for them. What would they buy?



It cost me $135,000.00 to get started. I'm into it for two years and

am
just starting to make money. That's pretty normal for a
bakery/restaurnat.


Pardon my ignorance (I'm new to the group) but what kind of business do
you have?


It's a bagel shop/deli/restaurant.

I almost got killed by the Adkins idiocy, and by some wildly

fluctuating
flour and egg prices.


Has the Adkins wave subsided at all for you? Or did you have to alter
recipes to come up with low-carb alternatives?


Yes. Thank God. It's dead. The factories are now sending FREE boxes of
low carb ingredients. All or most out of date. No one wants them
anymore.

Assume the smallest risk possible, test your product wholesale and
retail and chase your dream.

Read about how Famous Amos got his start. Then go to the Small

Business
Development Center in your area with your business plan.


Thanks for posting your experience. I, too, am thinking of starting a
baking business (cakes, cookies) because so many people tell me I
should.


You're welcome. Remember though, you have to love what you're doing and
be determined to work long long hours for no money for a long time.

Again, minimize your risk.
  #14 (permalink)  
Old 18-03-2005, 12:19 AM
Eric Jorgensen
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Posts: n/a
Default

On Fri, 18 Mar 2005 00:09:46 GMT
Petey the Wonder Dog wrote:

Far as I can tell, someone wrote:
Has the Adkins wave subsided at all for you? Or did you have to alter
recipes to come up with low-carb alternatives?


Yes. Thank God. It's dead. The factories are now sending FREE boxes of
low carb ingredients. All or most out of date. No one wants them
anymore.



The weird thing is i hear that despite the drop off in sales of
low-carb foods, the books are still selling. I guess everybody is at stage
three?

I knew it couldn't last when i saw the no-carb synthetic honey
substitute at Target. Mmm, xanthan gum!
  #15 (permalink)  
Old 18-03-2005, 02:23 AM
Petey the Wonder Dog
Usenet poster
 
Posts: n/a
Default

Far as I can tell, someone wrote:
The weird thing is i hear that despite the drop off in sales of
low-carb foods, the books are still selling. I guess everybody is at stage
three?


Sadly, there are millions of fat folks out there that think the easiest
way to loose weight is to buy a book. Then the most excercise they get
is putting the book on a shelf to gather dust.
 




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