I Want A Cake Shop! Help Before I Do Something Stupid!!

Business By ellepal Updated 10 Apr 2006 , 3:02pm by Biebelenyip

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ellepal Posted 8 Apr 2006 , 11:42pm
post #1 of 13

Hi ....
I woudl love to hear from people who own a full time cake shop.

I am drawing near to making some major decisions soon.

I am teaching full time right now, but I don't love it like i love baking. I don't make a lot of money, but the time off and benefits with teaching is good.
I started my business this past year, and am floored by how many phone calls I am already getting. I've made some investments, and I even have a storefront where I display cakes and meet clients. I still bake upstairs in our 2nd floor empty apartment (we have a duplex).

I was thinking that if I quit teaching, I would have to support myself by selling cakes on a daily basis. The location of my current storefront is not prime, although it is not too bad either. The rent, however, is also pretty low.

There is some nice retail space in a very busy plaza that is available. It is double in what I pay now for rent, but there are no other bakeries within a 4 mile radius of this plaza (aside from grocery stores). I think if I were to move there, and try to sell cakes and small pastries daily, in addition to doing the usual custom orders and wedding/party favors (cookies, sugar boxes, etc), I could knock it out of the park.

It is just scary because I wuold double my expenses and lose a reliable salary.
If I stay in teaching, though, I may permanently lose my sanity. I'm starting to despise it.
Any suggestions from all of you wise cake decorators?
It would be much appreciated!Thanks!
Ellen

12 replies
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meghan89 Posted 8 Apr 2006 , 11:47pm
post #2 of 13

I say go for it!!! If you have the means, why not? You might always regret not trying to see if it could work!! If you are not happy teaching, this seems completely reasonable! Im sure there will be sacrifice and you might struggle financially, but Im sure it wll pay off!! I too would love to have my own shop, but Im in CA, so I dont think so!!! Good Luck, keep us updated!

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ellepal Posted 9 Apr 2006 , 12:03am
post #3 of 13

Thanks Meghan...it's nearly a crime that you don't have your own shop! You have the most amazing cakes I've ever seen. I couldn't imagine what rent in CA would be.....you'd have to charge 50.00/slice just to make ends meet! I know it's expensive there. I think you should write a book on cake decorating, and then open your shop with the proceeds. I would buy it!!

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JennT Posted 9 Apr 2006 , 12:42am
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I think, with the caliber of talent you & your husband have, that for your cake business to be a full-on success...it almost is necessary for you guys to have a shop! icon_razz.gif From what I've read of your descriptions of your cakes, they taste even better than they look, too! To have a shop, though, you have to be willing to bake some things that you necessarily aren't crazy about doing...simple things like 3 or 4 different types of cookies (undecorated), bars - like brownies, lemon squares, etc., and a few other things...whatever seems popular in your area. Cupcakes too! icon_smile.gif These types of things may seem cumbersome to do, but it will often be what brings people through that door. And you don't want them walking out with at least a LITTLE somethin', right?? lol icon_lol.gif I'm not suggesting in any way that you become a full-fledged bakery, unless that's something you're wanting to do anyway. But just have a little of something else to entice people to give a cake a try! The $$ from the sales of those 'little things' will help keep those doors open, too, until the orders for the 'big cakes' start rolling in!

I also found out, in doing research for the bakery-buy that fell through, that it's better to have SOME competition than NONE! It proves that there's already a customer base for that type of business...if there's no cake shop anywhere near your area at all, or no other place that does them, then there may be a reason why - like people there just don't buy that sort of thing. To win those customers over, you just have to do something that they don't...have a different or more popular style...or just have a better tasting product overall, or more variety and versatility.

I definitely think with you that it would be a very worthwhile venture!!! thumbs_up.gif I know you're scared of getting in over your head, probably...I was too when we tried to buy a bakery. One thing you may want to consider is staying where you are and just outfitting a kitchen there...since the rent is half of what it would be at the other location. I assume both places would need kitchens? Can you swing double the rent PLUS kitchen and equipment? Would you be renting out your upstairs apartment if you have a kitchen elsewhere? That could help offset some of the costs, maybe. I take it the income for the apartment is not something you guys need to live off of, since you've been using it as your cake studio? So if you really feel the more expensive space is where you need to be, that rent from your apt. would be helpful. If you start out at the less expensive space, but out grow it &/or find that the location isn't serving you as well as another might, you can always move later on.

Not trying to be nosy about the financial aspect w/the apt...just bringing it up in case you haven't thought of it. icon_redface.gif Considering there's a plethora of stuff to consider and ponder when you decide to do something like this!! icon_razz.gif I know, I 've done it...lol.

(OK...so this has been sitting on my screen for like 30 minutes!!! icon_redface.gif Kiddies would not cooperate and let Mommy write her little message and click submit!! sorry...lol icon_razz.gif )

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ellepal Posted 9 Apr 2006 , 1:19am
post #5 of 13

Jenn...these are excellent points to consider for certain!
Actually, (and no worries about being nosy! ) that was one thing my husband and I thought of doing. To make up the money, we would rent out the upstairs of our house (since there wuold be no use of it other than storage) and we also have a 2nd, very small inexpensive home in Cleveland. (My husband works in a different city, and we had to buy a small place to satisfy his residency clause). We were going to advertise for a roommate. Those two rentals would help with a litttle financial cushion.
I would not mind selling cookies, breads, muffins, etc. In fact, my mom wants to bake for me, so I think we are going to have a section of the cake shop called "Baba's Pantry" with a selection of baked goods to sell. I also wanted to provide everyday cakes along with some cute and easy novelty cakes closer to the weekends (like ladybugs, trains, barbie cakes, etc). I was hoping that the daily sales would cover my expenses, but the custom orders and wedding cakes would provide the profit/income. I also want to make sugar boxes for jordan almond favors and cookie favors, but really nice cookies (like antonia74's variety).

Actually, the fact that there are no competitors immediately around is a good thing. It would be on the busiest street in all of Ohio (this is documented), and noone ever has had a bakery in that particular row of blocks.
I think brides and expectant mothers registering at the department store next door would most certainly head over to check out the window. They are enticed by the cakes on display, and once they walk in, buy a sample piece of cake to try, I know they would be sold. On top of that, there is a plus size clothing store next door (I shop there myself). I know how we plus size ladies stick to diets!!! (we don't!!!)
I can't think of a better place in my town to do this. People complain that there are no good places to get a cake in my town. I think that is why I am getting so outrageously busy as it is!! I just have to crunch my numbers to see if it is feasible. I just want to see what other people have experienced and if they could shed some light on having a full time shop!
icon_smile.gif
Thanks for your input!

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Kitagrl Posted 9 Apr 2006 , 1:31am
post #6 of 13

Oh I'm so jealous, it sounds so FUN! You seem totally poised to really start taking over the cake market in your area.

And yeah, I gave up teaching last year finally too...had been out of it a few years for having kids, and then went back part time for one year and decided I just couldn't do it anymore. Cakes are MUCH more fun!

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subaru Posted 9 Apr 2006 , 1:39am
post #7 of 13

Your cakes are fabulous!! How will you feel in a few years if you don't give it a try? Is it possible to take a leave of absence from your teaching? This may buy you enough time to see if this is really what you want to do, and still be able to have your teaching to fall back on if you decide to. I wish you the best of lick in your decision. If your success would be based solely on your talent, you will make a fortune!!!!!

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lsawyer Posted 9 Apr 2006 , 1:48am
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Can you take a leave of absence for a year or two while you check out the business? That way, you'll have some security. I used to own a yogurt shop; add 15-20% to your projected expenses. Something always happens--machines break, insurance increases, utilities increase, etc. Look over the lease/rental agreement carefully; increases can wipe you out! I was paying
$5,000 month rent in the end!!! If possible, it might be wise to concentrate on the wedding/profitable business working from your apartment. Word of mouth is your best advertising. Can you hook up with some caterers and florists to help your business? Good luck! It sounds like fun! I teach, too, so I understand the burn-out thing!

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Jenn123 Posted 9 Apr 2006 , 2:03am
post #9 of 13

My family had a full retail store in town (15 years) and I am now doing a retail delivery-only service from my home (separate building set up). I have found that you don't necessarily need to be in an expensive, busy area. If you have a unique and reliable product, people will go way out of their way to get your cake. I think that doing lots of little items tends to take a lot more time and effort than you can charge for. You need a lot more employees and I'm not sure it always ups your income enough to cover it. We used it more as a service to our customers than a big money maker.

My new philosophy to is advertise the big money makers- weddings, corporate accounts & holidays. Push the items that make the most money for the least effort and packaging. Keep the variety manageble. Don't try to be everything to everyone (don't be afraid to turn down crazy orders). Don't accept a really off-the-wall, specialized order that is really small.

DON'T Spend lots of unnecessary money to get started! You don't really need new equipment and state of the art computer cash registers. I think a lot of people fail because they buy lots of new stuff they don't really need at the beginning.

What is important if you have a thriving storefront? An owner being in the shop all the time! It's the only way to maintain your quality and reputation. Say goodbye to your holidays, vacations, weekends, and sanity. Ok...that may be over the top, but think about it. Turning your hobby into a job makes it.......A JOB! No matter how much you love it, it's not the fun pastime it used to be.

The other thing to consider is your hands. I am quite young, but I have a lot of problems with my hands going numb and tingling. This is entirely due to cake decorating professionally since I was a teenager.

Do I still love it? With all of my heart! It's fulfilling, fun, exciting, scary, stressful, agonizing...and I can't stop doing it.

If you can deal with having employees, loads of paperwork, crazy customers, damaging your hands...the rest is a joy. You are really talented and I know you could make it a success. Just don't spread yourself too thin.

GOOD LUCK!

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Tuggy Posted 9 Apr 2006 , 11:18am
post #10 of 13

Hi Ellen,

like all the others said: try it!

While I was reading about your thoughts about a new store, Colette Peters came to my mind. She runs her business whith such a small storefront and you really won´t expect a cake shop to be there, as no other shops are around. We really had to walk a while to find it. So I think you really don´t need to be at mainstreet to get customers. Build yourself a good "network" of advertising, cooperations with partyplanners, caterers etc. so people have to get to know you (if they don´t do it by now icon_wink.gif ) You can always move to a nother place, but like Jenn123 I really would enjoy to be in a situation where I can decide to close for a day or go on holiday. Even in the beginning it´s worth to know to get the bills paid when there is a lack of orders.

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momlovestocook Posted 9 Apr 2006 , 12:48pm
post #11 of 13

What type of bakery are you talking about? A full up bakery with a wide assortment of items(cookies, muffins, etc) or mainly cakes. If you want a full up bakery I suggest you head over to egullet.org and look for a thread on starting a bakery-it's not easy, not cheap, long hours for little money. One girl started her bakery, is getting a lot of good press(including a recipe in a national magazine) and is still struggling. You will have to search a bit to find the thread but it's on the pastry and bakery forum.
good luck

found the thread


http://forums.egullet.org/index.php?showtopic=40758&hl=hobart

Sandra

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ellepal Posted 9 Apr 2006 , 8:12pm
post #12 of 13

I thank you all for this excellent input. I am seriously considering every single point offered. I really appreciate the encouragement and support!! Jenn123, I like your realistic way of looking at it...it is what I need to ponder. I thrive off of being busy, but it is really important that I get some down time too...a shop like that may not do it! I know it would be busy, but I would worry about making ends meet. Kitagrl...glad I'm not the only one who wants out of teaching! Sandra, I'll check this site out...thanks!

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Biebelenyip Posted 10 Apr 2006 , 3:02pm
post #13 of 13

Ellepal, Don't have much tips for you. Just one thought: once youre old and retired, what would keep you awake during nights : those things that you've tried - but didn't work out? Or all the things you should have - could have - wanted to... but finally didn't do?
My guess? you'll be regretting the things you did NOT do - and look back smilingly to those you tried - but didn't work out!
And as an extra motivation - when I'm looking at youre cakes - I'm sure you'll do a great job on youre shop!

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