Business idea: home bakery
Opening your own bakery is a great business idea, distinguished by its simplicity and demand among the population. This business format is suitable for small settlements and large cities, because bread is an important attribute of the table of any Russian. For the business to be profitable, it is necessary to draw up a business plan for the bakery in advance, assess the level of competition, choose a niche, and calculate the costs. Such scrupulousness will allow you to calculate all the risks, to understand the size of future profits.
OWN MINI BAKERY: THE RELEVANCE OF THE IDEA
Bakery products are an everyday commodity. People buy it not only in good times, but also in times of economic crisis, and at such times they are most active.
Citizens pay attention not only to the taste of bread, but also to its useful properties. Therefore, products made from premium flour are not sold so actively at the present time. People prefer whole grain bread. When drawing up a business plan for a mini-bakery, it is better for an entrepreneur to include the following types of products in the range of production:
- Regular bread. Separately, this category can be divided into dietary and non-dietary formats. Their cost will be the lowest of the entire range.
- Combined bread - from different flours (wheat, rye, corn).
- Bread with all kinds of additives. Its cost will be 1.5–2 times higher than the price of ordinary bread. But production costs will also be higher, because you will have to independently develop a recipe, choose additives (bran, flaxseeds and sunflower seeds, sesame seeds, dried fruits and others).
If the equipment in the bakery is professional and expensive, then you can additionally include in the assortment sweet bakery products - rolls, cheesecakes, loaves. But it is better to start baking these products not immediately, but after debugging the production of simple bread.
It is possible to determine exactly what products and in what volume to produce after studying the local bakery market. It is not necessary to order a marketing research, you can independently go around the nearest supermarkets and stores, see what is on the shelves for several days, and what is swept away immediately after laying out the goods. Based on the data obtained, you should develop your own bakery business plan, paying attention not only to the products produced, but also to the format of the enterprise.
CHOOSING THE RIGHT FORMAT FOR THE BAKERY
Aspiring entrepreneurs can open a bakery specializing in the production of bread and other products from ready-made ingredients. This format is available to businessmen with a small start-up capital, because such a bakery requires very little equipment (for example, it will be possible to do without a kneader). Products are prepared much faster. But there is also a minus in the production of an incomplete cycle - the profitability is significantly lower, which means that in order to make a profit, you will have to prepare a larger product.
If an entrepreneur is committed to completely independent production of products, then he needs to decide on the level of production capacity, planned income.
MINI BAKERY OR LARGE PRODUCTION HOUSE?
Before developing a project for a future production, any businessman asks how much it costs to open a bakery. You need to proceed from the scale of production. It is customary to separate the following varieties:
- mini-bakery ;
- large production workshop.
IS IT WORTH OPENING A FRANCHISE BAKERY?
Newly minted businessmen do not always clearly understand how to open a bakery. Therefore, they often turn to more experienced colleagues for help. Opening a bakery under a franchise is a way to minimize risks, work according to a ready-made scheme and under a brand known to customers. But stability has to be paid for by making a lump-sum fee.
Bakery franchises are almost always ready-made ideas designed for small bakeries or an entire chain. The franchisors do not provide for the opening of a large workshop.
Here are just a few active offers from large Russian bakeries:
If an entrepreneur wants to promote his own brand, develop his own recipe, then you should open a business yourself, having previously drawn up a business plan for the bakery and taking into account all the requirements of Russian legislation.
SELECTING THE RIGHT BAKERY ROOM
Before starting his own production, an entrepreneur must find suitable premises and coordinate a business project with higher authorities. The chosen room should not only be comfortable, but also meet the following requirements:
- it is not allowed to open a bakery in basements and semi-basements;
- the presence of sewerage and water supply (hot and cold water);
- the presence of natural and artificial ventilation systems;
- the walls (up to 1.75 meters) are painted in light paint or finished with ceramic tiles, and the ceiling and the rest of the walls are whitewashed;
- the floor must be waterproof.
The area of the premises depends on the required production capacity of the enterprise. If about 100–300 kg of finished products are produced per day, then 50–60 m2 will be enough. The following premises must be on the territory of the bakery:
- production workshop;
- warehouses (for storing raw materials and finished baked goods separately);
- toilet and sink;
- a changing room (in the bakery, staff work a full shift, so you can additionally make a shower room for them).
The entrepreneur must buy out the premises or conclude a long-term lease agreement with the owner.
LEGAL FORM OF THE BAKERY AND OTHER ORGANIZATIONAL ASPECTS
First-time entrepreneurs almost always don't know how to open a bakery. First, you will have to register with the Federal Tax Service as an individual entrepreneur or LLC. The first option is simpler and requires the collection of a minimum number of documents. At the stage of registration, the entrepreneur will need to choose the form of taxation. The following varieties can be used for a bakery:
Opening a bakery is a fairly popular business today. Bread with a crispy crust, hot soft buns and all kinds of cakes have always been in demand and will be in demand - can anyone refuse such a treat? These products are regularly bought from the shelves by all segments of the population. And if you think over a business plan well and organize your business correctly, a bakery, even at home, will become profitable.
Often, the manufacture of flour and confectionery products is the prerogative of large companies. But these manufacturers use exclusively elaborate recipes and are unable to present unusual ideas and specific baked goods: dietary or, for example, according to old recipes of the past. For this purpose, they must change production and technology, which is costly. In turn, the advantages of a home mini-bakery are just this:
- it does not require large investments;
- you can even run it in your kitchen;
- it gives you the right to work without dealers and resellers , which creates pleasant prices for buyers;
- you can easily change the assortment depending on the interests of customers and raw materials.
So, you decided to start baking at home, but you are not sure of success yet, because home bakery is also not an easy project.
For the first time, you can do without registering a business, because it is better to start building a permanent clientele. If you want to go exclusively in a legal way, then you can start cooperation with an already operating legal entity or an individual entrepreneur who has permission for this type of activity. The offer to have a percentage of the profit and at the same time not worry about business processes at all is very tempting, and many will gladly go to the meeting. However, in order to avoid problems with regulatory authorities, it is better to be registered with this company for at least a quarter of the rate. And yet, you should not dwell on this option for a long time, since it also has its drawbacks.
One of the most important points when you need to legalize your business is the options for selling products. If your clients are employees of nearby offices, your friends, colleagues and acquaintances, then you can do without registration for the first time. If you plan to deliver the product to stores, then registration is required. Moreover, do not forget about product certification, which will also be necessary when working with stores.
If you decide to go exactly this way, then it is important to correctly choose the organizational and legal form: individual entrepreneur or LLC.
An individual entrepreneur is someone in between an individual and a legal entity. This form is registered mainly when a person works alone or with a very small staff. IE is quite easy to open and also easy to close, besides, the situation with taxation is much simpler. The most suitable option is UTII, it is also suitable - STS 15% or 6%. Bookkeeping is also quite simple, you can do it yourself or hire an employee for outsourcing.
Every day mini-bakeries are becoming more and more popular, since the consumption of bakery products is relevant among all segments of the population. Many people dream of opening their own establishment, but it is important to understand that it is not enough just to find premises and purchase equipment. It is important to develop a competent business plan for a mini-bakery, which will help to make a profit and not be defeated in this endeavor. Having prepared all the calculations correctly, the bakery owners will be able not only to replenish all their financial costs in the shortest possible time, but also to regularly increase their own profits.
Preparation: analysis of the situation on the bakery market
Bakery products are one of the most popular products in high demand every day. This applies to both ordinary bread and a large number of other products, be it pies or bagels. This is especially true in our country, where bread has occupied a special place on the table since ancient times, and this peculiar tradition has been preserved to this day. That is why there is no doubt that a bakery will be profitable if well planned. However, money will not flow into your hands immediately after opening. It is necessary to perform a number of important preliminary steps that will help to find your niche and not lose money. First of all, you need to determine which stages should be included in the production process. Several options can be distinguished:
- An enterprise that works from start to finish, or, in other words, makes a full cycle. This means that in production, all products will be created from scratch to complete readiness, including the creation of the test itself. This option is suitable for people with a large budget, since serious investments will be required at the initial stage. But the income will be higher in the future.
- Creation of products from semi-finished products. A similar enterprise buys ready-made dough and makes products from it. This saves time and money, but the income will be lower accordingly.
- It is also possible to open your own mini-bakery using a popular method today - a franchise. By purchasing a franchise, you get a production technology that has already passed all the necessary checks and is fully certified. Moreover, even if the volume of production is the same as in the first option, the level of income will be lower.
For a detailed analysis, it is worth choosing the first option, since it is not only more profitable, but also most fully describes the creation of a business plan. It is important to understand that private bakeries are far more influential in today's market than you might think. Suffice it to mention the fact that they account for 21% of the total production of bakery products, which is ahead of, for example, bakeries in supermarkets (13%) and is second only to large factories (61%).
What competitors can you face
If we talk in more detail about the total market volume and percentage, then we can distinguish two main competitors of your mini-bakery:
- First of all, these are large bakeries that manufacture bakery products on an industrial scale. Of course, the bulk of the market belongs to them, since their main advantage is their mass character. Not all products of such factories can boast of high quality, but often this is not required, since most people purchase the necessary products in stores on the corresponding shelves where these products are located.
- Supermarket bakeries. Today, more and more large stores are equipping their own bakery, having appreciated all the advantages of such a solution. However, these bakeries have a disadvantage - the impossibility of providing large volumes. Yes, the total market share is quite large, but individually they will not be able to boast of any high performance. In addition, these products are often purchased spontaneously, when a market visitor simply walks past the counter.
Competitors' advantage is a quick response to any changes in the market, as well as the ability to diversify the assortment and increase volumes at any time. For the most part, they use high-quality raw materials, that is, their products will appeal to customers, but this is not always the case.
There is also a drawback that you can play on: both large factories and bakeries in supermarkets use various additives to create bakery products. Additives make the appearance of products more attractive, but because of them, costs increase, and therefore the price of the final product. Shops purchasing products from outside will definitely pay attention to this fact and, perhaps, will make a choice in favor of your mini-bakery. To increase the chances of such an outcome, it is worth paying attention to several important competitive advantages:
Bakery products are present in the diet of any person every day. Pastries and breads are striking in their variety. That is why bakery as a business is a profitable investment. In addition to the widespread demand for products, it is important to have properly executed documents, permits, suitable premises and personnel. If you are determined to open a mini-bakery from scratch, step-by-step instructions will not be superfluous. Having a business plan with calculations, the bakery will be profitable and in demand from the very first day.
- bread (about 10 varieties);
- rich pastries (to start with, about 15 types);
- birthday cakes and pastries ( 5 - 6 items);
- homemade sweets (for example, portioned sweets made from real chocolate).
Bread, depending on the pricing policy, is divided into economy class or premium. Depending on the raw material for production, it happens:
- wheat ;
- whole grain ;
- with bran;
- with paprika;
- combined and much more.
It is very important for the assortment to cover almost all the preferences of the target audience.
Not everyone eats yeast bread. Some people prefer national food. Therefore, you can add:
- yeast-free baked goods;
- pita bread;
Currently, the idea of healthy eating is actively spreading among popular bloggers, actors and public figures on social networks. This idea can be used as the basis for one of the mini-bakery business lines.
Organic sweets, wholemeal breads, flaxseeds, and unprocessed grains are very popular with people who follow their diet and follow a diet.