I seen to remember that you were thinking of opening a home based business awhile back. I would consider doing this instead of a store front. Trust me you will regret the time away from your kids later.
Your home business will let you set your own hours and spend the time you need with your kids. Also you will gain the experience and clientle for later when you're ready to open a storefront. You have all the time in the wolrd to do that, not so with your kids!

I've done almost nothing else but be distracted and confused thinking about this venture. Just a couple of points I need to make:

- I truly understand that operating the business would be more time consuming that just making the cakes. I am not ignoring that part of the equation. If anything, I should focus more on the cake decorating so that I can make the best product possible.

- the cost of home renos to make a commercial kitchen in my basement came to 40K. She's selling the business, including equipment, for 71K (and that's negotiable).

- I don't mind working hard for something that motivates me.

I'm scared to fail (as a parent or a businessperson), like anyone else though, and I am eternally grateful for the honest answers you have all given. I took all of your answers into serious consideration.

My decision: I waited a long time to have kids and it's funny how the cake decorating passion came along soon after having the kids. BUT, I have to make a choice or a compromise. I choose a compromise which is to hunt down and find a commercial kitchen to rent, bank the money we have saved for renos and enjoy my kids while they are still crazy about me. I've heard they grow out of that???

It kills me to pass up the great deal but it's meant for someone else. The timing isn't right.

Until you have someone look over the finacials, all of this is for naught. Wait till then, and then start to make your choices.

Mike

does that 71k include the building, because if you still have to pay rent, 71k sounds like a lot of money for equipment and a customer base. I live outside NYC (very expensive area) and it cost us less than 10 k to set up our business. I doubt her customer base is worth the rest, especially if you have your own customer base, why pay for hers?

I know it's not caking, but I used to help my mother with her drapery business. She worked from home for a while, then she opened a shop. She would be there 10-12 hours a day, then come home and do her paperwork, bills, follow-up phone calls, etc. She was doing 16 hour days. After about 3 years of a very successful business - she closed the store and started working out of our garage again. She still did long days, but she was home.

Pattycakes - I thought it was a deal but maybe not! Did I mention all of her equipment is new? The old place burned down so she got the lease for $1.00 per sq foot. Yes, I'd have to make lease payments. It's a 900 sq foot place.

Of note: the place has been advertised for sale since August 2009.

Just my opinion, it doesn't sound like a deal. We had a blank slate and put all high end things in our shop, blodgett oven etc (we are not retail but a cake design studio by appointment only), a huge space with 5 work tables, etc all for less than 10k. So i guess my question is, is cake pans and recipes and a customer base worth the other 61k? Because that is what you are paying for, don't get blinded by the shiny new appliances.

plus, if it was such a deal, why has it been on the market so long? When I was looking for my place, as I said I went with a blank space, but there were plenty of bakeries for sale. But my thinking was, I am already on my way to developing my own client base, I have my own recipes and I can buy new or used equipment myself. Why do I want to spend 100k (told you I live in an expensive area) for someone elses name and client contact. To me, that is worth very little because if you don't bake and decorate the same way as the previous owner, you could lose all of them anyway. So what are you paying for? On top of that investment, you still have to pay rent for the space of $900 per month. Doesn't sound to good to me but this is just my opinion.

I also have to agree I don't think that's a good deal - at all really. I also started with a blank space (converted retail with no kitchen) and including plumbing, all new equipment, front of house, etc., all miscellaneous building, yadda yadda...I spent just about $30K. I can't imagine what she'd be offering for $71K that would be worth it. Maybe if the building was included lease-free, I guess. I'm glad you've come to a decision...and if you're still waivering...back away slowly...this does NOT sound like a good investment!!!!

Interesting......my reasoning was that if my basement renos were going to be almost 40k without any appliances, then 71K with new appliances, mixers, pans,etc. was a deal. I guess not. I'm surprised your high end appliances and counters were less than 10k. I wonder what the prices would be here..

Anyway, I'm starting to back away slowing...

IMO you should pass on this for now. You will not be able to get back the time with your kids. How will you feel when somebody else is raising them?

I have a home biz and three young children. Let me just say that since I have started this, they have had more Happy Meals on Thursday and Friday nights in front of the TV than I care to admit because I have been working on cakes.

But really you have to look at if THAT space is a good deal. You can't go into it from a "what if" scenario. Is THIS space worth $71,000. Period. Find out the brands of her appliances...price them. Figure out REALLY what else you're paying for in that $71K.

Your basement is a whole other deal. Is it really "if I don't buy this business, then I WILL redo my basement"?

We bought brand new NFS stainless steel work tables for about $250 each. (they are 5 feet long) We bought brand new blodgett oven that is huge, brand new freezer, induction cooktop etc. The only used thing we got was a Hobart mixer which we bartered for. The space had a triple sink and a walkin cooler but we still had to have plumbing done, hand washing sink and slop sink installed and a grease trap installed. We just shopped around for the best prices and plumbers etc. We painted ourselves and hung shelves and put the tables together ourselves. It took less than a month to get up and running from lease signing, to health inspection to making our first order.It can be done.

Yes! You can run a biz with 2 small children! It can be done, but it does take a lot out of you. Don't be discouraged, just do your homework. Don't let anyone bust your bubble, only you can do that. I think everyone just wants to see you make an informed decision.
First thing is are you willing to have your kids in daycare, and do you have someone (a good responsible hubby) that will take care of the after school things when you are at your bakery till 2am? It's going to happen, often! Most likely, you're going to have a lot of stressful days and long nights till you see enough profit to hire good help (good help cost).
Second thing is handling the stress of the responsibility of the bakery business... all the ppw. It takes the fun right out of cakes. Not to mention (if you're like me... it trickles down from business, to work, to home). Stressed all the time, not enough time in the day, trying to make time for hubby and kids, but keep things going at work. Tough.... the first few years will be rough.....but if you can make it through that, build up the business and start pulling in enough profit, you can hire people to take care of the stuff that takes the fun out of cakes : )

Sorry I guess I should have finished reading the thread before I posted..... LOL.... It's early, I'm tired, and a little ADD!

have you thought about looking for bakery supplies through auctions?? I got my hobart ovens and they are two large ones for $ 500.00 for both and they work fine, stainless steel counters, sinks, etc.. through auctions where businesses were going under. Just a thought to look into. I am in the process of having a legal kitchen in my basement and almost have all the stuff I need. I also have 5 children and couldn't imagine being without them all day and night.

Kelli - I do believe it can be done but I have to gauge how much I can stress I can tolerate. From what I've read, it is extremely stressful. I'm impressed that you can handle it all and you sound like you're still enjoying it and it makes you happy. Keep going, girl!
p.s. if that's you in your avatar....you're simply gorgeous.

Ashea - I agree that a home business is THE best choice for me. I should get some new quotes now that the economy is down. Our last quote was in July 2009. Good luck to you and your 5 kids!!

Aww thanks Motta! Yes that's me. I'm a nut case though... lol.... I'm running around answeing the rolling pen and rolling fondant with the phone. I think you're making a good decision though

My best advice (having owned previous businesses) is seek out professonals for advice. An accountant is priceless to take the headache of all the financials off your back...yes you still do the dailies, and a bookkeeper can do the basics, but an accountant can really assist in setting up the books, and doing cash flow analysis for the first 3 years - which is all part of your business plan. If you are seriously interested, you can looks at her finacials by signing a non-disclosure. You will also need to have excellant credit unless you plan to pay in cash for all your supplies. This is a very exciting opportunity, indeed. But think about it with your head and not your heart. Think about 10+ hour days. It is hard hard work.

But I would do it if it all checks out!

I personally wouldn't give up that precious, fleeting time when the kids are little and need their mother.

I've been a SAHM and now my 3 kids are in high school. One will be graduating in 3 months, one next year, the other following shortly thereafter. You have no idea when your kids are little just how fast the time goes by...until the time has gone by and you have to live with what you made your priority.

Big hugs to you.

I've been told that to own your own bakery business (like mentioned in the original post) you have to be ready to give at least 60-80 hours per week to your business.

I know I'm not even remotely ready for that, esp with my kids.

Unless you have the money to start hiring employees and do your finances and PR for you, you are going to be living, breathing, eating, drinking, and sleeping the bakery...I dunno.