Cake business from home

[emmajlh]

Does anyone have a cake business that they run from home? did you have to have your kitchen inspected first?

I've been making novelty cakes for friends for the past year but not charging anything more than the ingredients. i'd like to do it more seriously but don't know whats involved and would appreciate any advice.

thanks

Exactly what I was going to ask. I'll be watching...

Bump, thinking the same here.

Kitchen needs to be inspected by the environmental health department of your local council.

You need a basic food hygiene certificate (you can do it online here www.food-certificate.co.uk/.

You need to register with the tax office as self employed.

Go and talk to your bank about financial support, possible a loan for equipment etc. Also possibly an accountant to figure out what you can claim as tax deductable etc.

Make sure you know your market, do research for other cake businesses locally, figure out what people will pay for a cake (that allows you to work out your profit margin, one paid for materials, gas/electricity etc etc).

Look to getting a website (take good quality photos of your cakes), also go to www.vistaprint.co.uk/vp/ns/default.aspx?xnav=welcomeback&xnid=removecookies for cheap business cards, stationery etc).

Be aware if you figure out what your hourly wage is for making a cake that is priced so people will buy, it is pretty dismal. I do it because I enjoy it, I don't actually need to work (am very lucky in that respect), and it provides me with a bit of pocket money.

To make it a viable business with real earning potential is hard hard work.

thanks comeoveneer! very helpful!

I looked into this years back and one thing that prevented me going a head was faciliteis; I didn't have a separate wash basin in the kitchen, or a downstairs loo, for hand washing.

You need to do your sums too; you need to cost in :
advertising
shopping time
cost of raw materials
fuel for cooking
insurance
time spent cooking
delivery/postage time and costs
website
brochures etc
tax and NI

THEN you need to see who else does it and what they charge.

Basically, you should be adding another 100% to the amount it costs you in terms of outgoing costs. Don't make the mistake of just costing the ingredients and fuel, without adding in a salary for yourself.

thanks purplepeony. think it's safe to say this is a no goer!