{"id":41021,"date":"2024-03-19T10:58:30","date_gmt":"2024-03-19T10:58:30","guid":{"rendered":"https:\/\/swoopfunding.com\/na\/start-a-business\/https-swoopfunding-com-us-start-a-business-start-a-bakery\/"},"modified":"2025-08-18T10:20:05","modified_gmt":"2025-08-18T10:20:05","slug":"start-a-bakery","status":"publish","type":"start-a-business","link":"https:\/\/swoopfunding.com\/na\/start-a-business\/start-a-bakery\/","title":{"rendered":"Start a bakery"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"41021\" class=\"elementor elementor-41021\" data-elementor-post-type=\"start-a-business\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-3b3fcd2d elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3b3fcd2d\" data-element_type=\"section\" data-e-type=\"section\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-78c7fa95\" data-id=\"78c7fa95\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-55d0851d elementor-widget elementor-widget-text-editor\" data-id=\"55d0851d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>The Namibian baked foods market is worth around N$4.25 billion and demand for bakery products is continuing to rise. With more and more customers seeking healthier, organic or specialist baked foods, the future of independent retail and wholesale bakeries has seldom looked so good.<\/p><p>However, although bakeries can be great businesses \u2013 typically delivering profit margins of 15% and giving owners a <a href=\"https:\/\/za.talent.com\/salary?job=baker\" target=\"_blank\" rel=\"nofollow noopener\">personal income<\/a> starting from N$132,000 per year \u2013 starting your own bakery is not without its challenges. You\u2019ll need premises to work from, employees, funding, permits and licenses, plus a good marketing angle and an enticing range of products.<\/p><p>So how to do this? How can you get the bakery you\u2019ve always dreamt of owning up and running? Let\u2019s find out. Read on to discover all you need to know about starting a bakery business.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6dda3f4d elementor-align-center elementor-widget elementor-widget-button\" data-id=\"6dda3f4d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"button.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-button-wrapper\">\n\t\t\t\t\t<a class=\"elementor-button elementor-button-link elementor-size-md\" href=\"https:\/\/namibia.swoopfunding.com\/stage\">\n\t\t\t\t\t\t<span class=\"elementor-button-content-wrapper\">\n\t\t\t\t\t\t\t\t\t<span class=\"elementor-button-text\">Get a quote<\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-67e369c2 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"67e369c2\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-1d6348ef\" data-id=\"1d6348ef\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-12a3a37d elementor-widget elementor-widget-heading\" data-id=\"12a3a37d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\"> 1. Choose a bakery style\n\n<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7b3bb6e8 elementor-widget elementor-widget-text-editor\" data-id=\"7b3bb6e8\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">The first thing you need to decide is what kind of bakery to operate. There are two basic models \u2013 retail bakeries and wholesale bakeries. Retail bakeries sell direct to consumers, usually as a storefront, but more often in a caf\u00e9 environment where customers can sit down to eat a light meal or drink a cup of coffee. Wholesale bakeries sell to businesses \u2013 such as grocery stores, <a href=\"https:\/\/swoopfunding.com\/na\/start-a-business\/restaurant\/\">restaurants<\/a> and <a href=\"https:\/\/swoopfunding.com\/na\/sectors\/hotel-funding\/\">hotels<\/a>. In Namibia, wholesale bakeries represent 25% of all bakery businesses, but they capture 88% of industry revenues.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">Retail bakeries may be best for entrepreneurs who want to sell more creative, bespoke and artisan products, while wholesale businesses may be best for those who want to sell core products \u2013 such as bread &#8211; in high volumes and from an industrial type of setting.<\/span><\/p><h3><b>Opening and operating a retail bakery<\/b><\/h3><p><span style=\"font-weight: 400;\">Retail bakeries typically sell cakes, pastries and bread in lower volumes and to specific types of customer. There are several types of retail bakery, but they all need a front and back of house operation.\u00a0<\/span><\/p><ul><li style=\"font-weight: 400;\"><b>Front-of-house<\/b><span style=\"font-weight: 400;\"> \u2013 an area where baked products are displayed and customers can select what they want.<\/span><\/li><li style=\"font-weight: 400;\"><b>Back-of-house<\/b><span style=\"font-weight: 400;\"> \u2013 the bakery kitchen where baked products are made.<\/span><\/li><\/ul><h3><b>Types of retail bakeries<\/b><\/h3><ul><li><b>Bakery caf\u00e9<\/b> \u2013 the bakery sells baked products and provides a caf\u00e9 style eating area.<\/li><li><b>Counter service<\/b><span style=\"font-weight: 400;\"> \u2013 no caf\u00e9 area. The front-of-house operates as a walk-in store.<\/span><\/li><li><b>Bakery food trucks<\/b><span style=\"font-weight: 400;\"> \u2013 mobile bakeries take their products to wherever their customers are. Most bakery food trucks make their products in a commissary or home kitchen before leaving base.\u00a0<\/span><\/li><li><b>Specialty bakeries <\/b><span style=\"font-weight: 400;\">\u2013 these types of bakeries sell niche products, such as vegan or gluten-free baked goods and cater to smaller sections of the market.<\/span><\/li><li><b>Home bakeries <\/b><span style=\"font-weight: 400;\">\u2013 baked products are made in a home kitchen and then sold via food trucks, market stalls or even online. Many bakery entrepreneurs start off with a home bakery before moving into a commercial space.<\/span><\/li><\/ul><h3><b>Opening and operating a wholesale bakery<\/b><\/h3><p><span style=\"font-weight: 400;\">Because they\u2019re making baked goods in high volumes and selling to businesses such as cafes and delis, wholesale bakeries tend to be larger and have more equipment and employees than retail bakeries. Wholesale businesses do not need a front-of-house operation and they can be located away from busy shopping streets. This can reduce location costs. However, the extra size of a wholesale bakery usually makes them more expensive to start than a retail operation.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-d869bae elementor-align-center elementor-widget elementor-widget-button\" data-id=\"d869bae\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"button.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-button-wrapper\">\n\t\t\t\t\t<a class=\"elementor-button elementor-button-link elementor-size-sm\" href=\"https:\/\/namibia.swoopfunding.com\/stage\" target=\"_blank\">\n\t\t\t\t\t\t<span class=\"elementor-button-content-wrapper\">\n\t\t\t\t\t\t\t\t\t<span class=\"elementor-button-text\">Apply now<\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-3a32811 elementor-widget elementor-widget-heading\" data-id=\"3a32811\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">2. Create a business plan\n<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-bdcfce8 elementor-widget elementor-widget-text-editor\" data-id=\"bdcfce8\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">If you\u2019re seeking external investment or a commercial <\/span><a href=\"https:\/\/swoopfunding.com\/na\/business-loans\/\"><span style=\"font-weight: 400;\">business loan<\/span><\/a><span style=\"font-weight: 400;\"> to open your bakery, you\u2019ll need a detailed business plan to support your pitch or application. Investors and lenders will want to know why you need their funds and what the money will do for your bakery. Business plans should do more than paint a rosy picture \u2013 explain the risks involved, what the downsides could be &#8211; and how you intend to overcome them.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">Even if you don\u2019t need investment or a loan, a business plan can still be an extremely useful tool. Use it as your business manual, referring to the contents to guide your strategy and manage your financials.<\/span><\/p><p><span style=\"font-weight: 400;\">Find out more about creating your business plan <\/span><a href=\"https:\/\/swoopfunding.com\/na\/business-glossary\/business-plan\/\"><span style=\"font-weight: 400;\">here.<\/span><\/a><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-55b9509 elementor-align-center elementor-widget elementor-widget-button\" data-id=\"55b9509\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"button.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-button-wrapper\">\n\t\t\t\t\t<a class=\"elementor-button elementor-button-link elementor-size-sm\" href=\"https:\/\/namibia.swoopfunding.com\/stage\" target=\"_blank\">\n\t\t\t\t\t\t<span class=\"elementor-button-content-wrapper\">\n\t\t\t\t\t\t\t\t\t<span class=\"elementor-button-text\">Apply now<\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-674a3245 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"674a3245\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-4ce089dc\" data-id=\"4ce089dc\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t<div class=\"elementor-element elementor-element-3cbc3a0 e-flex e-con-boxed e-con e-parent\" data-id=\"3cbc3a0\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-2732a05 elementor-widget elementor-widget-heading\" data-id=\"2732a05\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">3. Manage your finances \n<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-10cdfcf elementor-widget elementor-widget-text-editor\" data-id=\"10cdfcf\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">Owning your own bakery may be your passion, but at the end of the day, the business has to make money. Getting your financial plans in shape is critical to success. If you don\u2019t have a great head for numbers you should hire an accountant or bookkeeper to help you with this task.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">A key consideration is calculating your potential profits before you take the plunge. Proving your business can make money is important to you, your investors\/lenders and major suppliers. How do you do this? Follow these simple steps:<\/span><\/p><h3><b>Calculate your food costs<\/b><\/h3><p><span style=\"font-weight: 400;\">Add up the cost of all the raw ingredients you need to buy \u2013 and don\u2019t forget to factor in delivery charges or any local taxes you cannot claim back. Break the total costs down into individual products until you know exactly what the raw ingredient cost per unit is.<\/span><\/p><h3><b>Calculate your labor cost<\/b><\/h3><p><span style=\"font-weight: 400;\">Now total all your labor costs \u2013 employees, casual workers etc. This cost will include any benefits you may provide and should also include a contingency of at least 10% to cover costs like absenteeism and sickness. Don\u2019t forget to add your own costs \u2013 what you pay yourself \u2013 into the mix.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">Once again, break the labor costs down into the unit costs of the food you make. <\/span><i><span style=\"font-weight: 400;\">(For example, if two employees take a whole day each to make 500 cupcakes, you can divide their total labor costs by 500 to get a labor cost per cupcake).<\/span><\/i><\/p><h3><b>Calculate your overhead costs<\/b><\/h3><p><span style=\"font-weight: 400;\">Lastly there are your overhead costs &#8211; rent, energy, insurance, licenses and permits, delivery costs, vehicle costs, equipment costs, wear and tear on fixtures and fittings, etc. Because these costs are more general than ingredients and labor expenses it may not be possible to allocate them to individual baked goods. In such a case, take your total monthly overhead cost and divide it by the total number of products you make per month. This will give you a baseline overhead cost that can be attached to every product. <\/span><i><span style=\"font-weight: 400;\">(For example, N$5,000 monthly overhead costs to make 10,000 products per month = 50 cents per product per month baseline cost),<\/span><\/i><\/p><h3><b>Assess your cost of goods sold and calculate your profit<\/b><\/h3><p><span style=\"font-weight: 400;\">This means working out the total cost to produce all your baked goods \u2013 ingredients, labor, overhead. By combining your per unit ingredient and labor costs with your baseline overhead costs you can calculate how much it costs you to make each product. This information will support your pricing policy \u2013 allowing you to work out how much you can charge per product \u2013 and, most importantly, if you can generate a profit.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-bc5c737 e-flex e-con-boxed e-con e-parent\" data-id=\"bc5c737\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-daad523 elementor-widget elementor-widget-heading\" data-id=\"daad523\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">4. Licenses and permits<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-d5f7e16 elementor-widget elementor-widget-text-editor\" data-id=\"d5f7e16\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">Like all businesses that sell food and drinks, bakeries need licenses and permits to operate. Your bakery must comply with local, state and possibly federal laws, but t<\/span><span style=\"font-weight: 400;\">he types of permits you need will vary depending on your location.\u00a0<\/span><\/p><h3><b>Know your local cottage food laws<\/b><\/h3><p><span style=\"font-weight: 400;\">If you thinking of starting a home bakery, your business will generally be covered by a section of law called\u00a0<\/span><span style=\"font-weight: 400;\">cottage food<\/span><span style=\"font-weight: 400;\">. This classification can separate home-based bakeries from commercial or retail operations that have designated storefronts or production kitchens. Commercial bakeries have to meet certain requirements for equipment and sanitation while cottage-food operations have their own set of rules.<\/span><\/p><h3><b>Create a business entity and get licensed<\/b><\/h3><p><span style=\"font-weight: 400;\">You\u2019ll need to register your bakery with local and state authorities. But before you do that, you\u2019ll need a name for the business. You\u2019ll want a name that is not taken by another organisation, as infringing on someone else\u2019s brand name and copyright could end up in a costly lawsuit. <\/span><\/p><p><span style=\"font-weight: 400;\">You will also want a website and branded email addresses for your bakery. Check to see if your preferred company name is also available as a domain name<\/span><span style=\"font-weight: 400;\">. If your domain name is available, you should be able to buy it via any of the advertised web hosting services.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">Once you\u2019ve settled on a name, you must decide if you want to run the business as a sole proprietorship, an LLC or a corporation. Although it involves more paperwork, operating as a corporation can protect you if the business does not succeed, as you are not personally responsible for the company\u2019s debts. If you choose this route, you must submit your articles of incorporation to the secretary of state\u2019s office in the state where you register. You can do this in-person, online, or by mail. You will have to pay a registration fee at the time of filing \u2013 typically $100.<\/span><\/p><p><span style=\"font-weight: 400;\">Once your bakery is registered for business, you can apply for your operating licenses and permits. Retail bakeries are governed by different laws than commercial bakeries, especially if they offer a caf\u00e9 style experience to their customers. Check with your local and state licensing agencies to discover which permits apply to your business.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-83948a7 e-flex e-con-boxed e-con e-parent\" data-id=\"83948a7\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-77f4133 elementor-widget elementor-widget-heading\" data-id=\"77f4133\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">5. Apply for funding<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-ed5a923 elementor-widget elementor-widget-text-editor\" data-id=\"ed5a923\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">If you don\u2019t have enough cash on hand to launch your bakery on your own, you\u2019ll need funds from investors or lenders. Many new businesses get started using financial support from friends and family, but if that\u2019s not an option, there are networks of venture capitalists and angel investors readily available online. Bringing in external investment can give you the cash you need to get your bakery started but be aware that investors will usually want a piece of the action in exchange for their money. This means you will need to give up a share of your ownership and you may lose overall control of the business.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">With a <\/span><a href=\"https:\/\/swoopfunding.com\/na\/business-loans\/\"><span style=\"font-weight: 400;\">business loan<\/span><\/a><span style=\"font-weight: 400;\"> you don\u2019t have to surrender a share of your store to get the funds. Although it\u2019s never easy for new businesses to borrow money, some lenders have special products and programs for startups and entrepreneurs. These types of financing include:<\/span><b><\/b><\/p><ul><li><a href=\"https:\/\/swoopfunding.com\/na\/business-loans\/term-loans\/\"><span style=\"font-weight: 400;\">Term loan<\/span><\/a><span style=\"font-weight: 400;\"> \u2013 this is a lump sum that you pay back over time. <\/span><a href=\"https:\/\/swoopfunding.com\/na\/business-loans\/large-business-loans\/\"><span style=\"font-weight: 400;\">Borrow up to N$5million<\/span><\/a><span style=\"font-weight: 400;\"> over as long as 25 years. Collateral may be required.<\/span><\/li><li><a href=\"https:\/\/swoopfunding.com\/na\/business-loans\/business-line-of-credit\/\"><span style=\"font-weight: 400;\">Business line of credit <\/span><\/a><span style=\"font-weight: 400;\">\u2013 a loan that functions like a high-value credit card. Withdraw cash anytime up to the maximum of your credit limit. You only pay interest on the sum you withdraw, not the whole line. This can significantly reduce your borrowing costs. Collateral may be required.<\/span><\/li><li><a href=\"https:\/\/swoopfunding.com\/na\/business-loans\/merchant-cash-advance\/\"><span style=\"font-weight: 400;\">Merchant cash advance<\/span><\/a><span style=\"font-weight: 400;\"> \u2013 borrow against the value of your credit\/debit card sales. As your card sales increase, your credit l<\/span><span style=\"font-weight: 400;\">imit goes up. Pay the loan back with a small percentage of your weekly or daily card sales. No added collateral is required.<\/span><\/li><li><a href=\"https:\/\/swoopfunding.com\/na\/business-loans\/asset-finance\/equipment-financing\/\"><span style=\"font-weight: 400;\">Equipment loans<\/span><\/a><span style=\"font-weight: 400;\"> use the asset you\u2019re financing as security, similar to a car loan or a residential mortgage, so no added collateral is required.\u00a0 Buy machinery, furniture, technology, etc. Use the <\/span><span style=\"font-weight: 400;\">equipment as you pay for it.\u00a0<\/span><\/li><\/ul><p><b><\/b><span style=\"font-weight: 400;\">To get these types of loan you can approach banks, credit unions and online lenders one by one, or you can use the services of a <\/span><span style=\"font-weight: 400;\">loan marketplace<\/span><span style=\"font-weight: 400;\"> that will immediately introduce you to a choice of startup loans from different lenders. Some marketplace platforms can also give you advice and <\/span><a href=\"https:\/\/namibia.swoopfunding.com\/stage?http_referer=https%3A%2F%2Fwww.google.com%2F&amp;last_page_visited=https%3A%2F%2Fswoopfunding.com%2Fus%2Fbusiness-loans%2F&amp;deviceId=YaTnLmeG0snN-gVfOjNjux&amp;_gl=1%2a1v3trdm%2a_ga%2aMTc2MzkwMDEzMC4xNzA5NjQzOTQ3%2a_ga_07MDTD5R6V%2aMTcxMDgzOTc2My4xMS4xLjE3MTA4Mzk3NzAuMC4wLjA.\"><span style=\"font-weight: 400;\">help you with the application process<\/span><\/a><span style=\"font-weight: 400;\">. This can be especially useful for borrowers who have never taken out a startup loan before.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-18267d7 e-flex e-con-boxed e-con e-parent\" data-id=\"18267d7\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-3017635 elementor-widget elementor-widget-heading\" data-id=\"3017635\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">6. Lease a commercial bakery space<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-a604911 elementor-widget elementor-widget-text-editor\" data-id=\"a604911\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400\">If you\u2019re not buying an existing bakery, you\u2019ll need to lease a commercial space to work from. Keep in mind that strict hygiene laws extend to bakeries, so if you intend to operate a wholesale bakery and are considering leasing an industrial unit, you\u2019ll need a location without any potential contamination hazards nearby.\u00a0<\/span><\/p><p><span style=\"font-weight: 400\">For retail bakeries, your store\u2019s location can have a major impact on the success of your business. Take the time to research different locations, measuring the competition and the size of the local population. You want a site in an area with good foot traffic and local incomes that can support your store and the kind of baked goods you sell.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-39d906b e-flex e-con-boxed e-con e-parent\" data-id=\"39d906b\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-f671001 elementor-widget elementor-widget-heading\" data-id=\"f671001\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">7. Plan your bakery<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-2e798dc elementor-widget elementor-widget-text-editor\" data-id=\"2e798dc\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">Once you\u2019ve secured your operating premises, you can plan the way your bakery works. If you\u2019re operating a wholesale bakery, you will need to factor in large storage and product cooling areas, bigger ovens, an employee break room, distribution area, maybe even a loading dock for truck delivery. If you choose a retail bakery you will have a kitchen and front-of-house area \u2013 which can be a simple shop front where customers order at the counter, or it can be a caf\u00e9 style area where you will also need a dining area, serving stations, and customer rest rooms.\u00a0<\/span><\/p><h3><b>Commercial bakery kitchen layout<\/b><\/h3><p><span style=\"font-weight: 400;\">All bakery kitchens have four basic sections \u2013 cleaning, storage, food preparation, meal cooking. <\/span><span style=\"font-weight: 400;\">Plan your kitchen based on the logical flow of food through the baking process. This starts with the storage area and then goes to the food preparation and meal cooking sections. Once you\u2019ve prepared your baked goods, you can serve them to your customers, package them for display, or ship them to online customers. Finally, your dirty dishes, pots, and pans will end up at the cleaning station.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">Make sure you can fit all the major equipment \u2013 ovens, racking, refrigerators, etc. \u2013 into the available floor space without disturbing the operating flow.<\/span><\/p><h3><b>Commercial bakery storefront layout<\/b><\/h3><p><span style=\"font-weight: 400;\">Retail bakeries need to optimise their front-of-house floor plan to make it pleasing for customers as well as presenting your baked goods in an attractive fashion. There are four basic layouts for a retail operation:<\/span><\/p><ul><li style=\"font-weight: 400;\"><b>Straight floor plan<\/b><span style=\"font-weight: 400;\"> \u2013 your bakery display cases and\/or dining areas are straight on, allowing customers to quickly browse products and easily move between the seating and tables.<\/span><\/li><li style=\"font-weight: 400;\"><b>Angled floor plan<\/b><span style=\"font-weight: 400;\"> \u2013 displays and dining areas are presented in curving layout. This can create a more upscale look and tempt customers to linger and browse more products.<\/span><\/li><li style=\"font-weight: 400;\"><b>Diagonal floor plan<\/b><span style=\"font-weight: 400;\"> \u2013 this type of floor plan can make your premises look larger than they are and create an interesting space for casual dining.<\/span><\/li><li style=\"font-weight: 400;\"><b>Mixed floor plan<\/b><span style=\"font-weight: 400;\"> \u2013 uses a combination of the options above.<\/span><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-29cf3f7 e-flex e-con-boxed e-con e-parent\" data-id=\"29cf3f7\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-3d0eed5 elementor-widget elementor-widget-heading\" data-id=\"3d0eed5\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">8. Order bakery equipment<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7b2e74d elementor-widget elementor-widget-text-editor\" data-id=\"7b2e74d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">After your premises, your <a href=\"https:\/\/swoopfunding.com\/na\/business-loans\/asset-finance\/bakery-equipment-financing\/\">bakery equipment<\/a> is the next major item on your \u2018to do\u2019 list. Key items you need include:<\/span><\/p><ul><li><b>Dough preparation<\/b><span style=\"font-weight: 400;\"> \u2013 commercial mixers, work stations, dough dividers, dough sheeters and dough scales. You may also need dough proofing cabinets, holding cabinets, refrigerators and retarder\/proofer combos.<\/span><\/li><li><b>Storage &#8211;<\/b><span style=\"font-weight: 400;\">\u00a0your bakery will require shelving and storage racks. If you&#8217;re working with bulky bags of flour and sugar, you should invest in trucks, dollies, and carts to move large bags around your kitchen.<\/span><\/li><li><b>Baking equipment &#8211;<\/b><span style=\"font-weight: 400;\">\u00a0convection ovens provide dry heat and bake evenly. If you&#8217;re preparing a lot of artisan bread, you may want to choose a deck oven to give your products a crispy base. Wholesale bakeries may want high-output ovens, such as roll-in rack ovens or revolving ovens.<\/span><\/li><li><b>Display and sales equipment &#8211;<\/b><span style=\"font-weight: 400;\">\u00a0choosing the right display cases for your baked goods can help boost your sales. You can choose self-service or full-service cases, and there are refrigerated and unrefrigerated options. In addition to your display cases, be sure to also choose stylish boxes and packaging for your baked goods.<\/span><\/li><li><b>Cleaning and equipment washing supplies \u2013<\/b><span style=\"font-weight: 400;\"> a three-compartment sink is necessary for any cleaning station. You will also need hand washing stations, disposable gloves, cleaning chemicals, sponges, scrubbers, etc.<\/span><\/li><li><b>Bakery smallwares<\/b><span style=\"font-weight: 400;\"> &#8211; in addition to your large equipment, you must stock your bakery with items such as mixing bowls, storage boxes, whisks,\u00a0knives, and aprons.<\/span><\/li><li style=\"list-style-type: none;\">\u00a0<\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-db523b7 e-flex e-con-boxed e-con e-parent\" data-id=\"db523b7\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-c307d40 elementor-widget elementor-widget-heading\" data-id=\"c307d40\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">9. Hire and train bakery staff<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c9f7b3a elementor-widget elementor-widget-text-editor\" data-id=\"c9f7b3a\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">You will need to hire and train staff to produce the type of baked goods you sell. For example, if you intend to produce high-quality wedding cakes, you will need to hire experienced cake decorators and designers. If you are going for a high-volume, wholesale operation, you will need key staff who know their way around an industrialised bakery and understand the oversized equipment. You will also need workers to clean the kitchens, handle deliveries and perform general tasks. These employees need not have prior bakery experience. Lastly, if you\u2019re operating a caf\u00e9 style bakery with full-service wait staff, you\u2019ll want some front-of-house workers with experience in hospitality.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-9bd8b2d e-flex e-con-boxed e-con e-parent\" data-id=\"9bd8b2d\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-9369fc6 elementor-widget elementor-widget-heading\" data-id=\"9369fc6\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">10. Market your bakery<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-f9c921e elementor-widget elementor-widget-text-editor\" data-id=\"f9c921e\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">As the old saying goes, advertising pays \u2013 and you\u2019ll need to market your new bakery to establish a solid customer base. Experts suggest allocating up to 20% of your operating budget to marketing activities in the first year of operation.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">Before you start any kind of marketing activity, conduct some basic research \u2013 what are your competitors selling? What kind of loyalty programs do they offer? Are there any successful promotional tactics that you can mimic? Create a plan that promotes your brand and sets your business apart from the rest. Utilize a range of marketing actions to get your story across:<\/span><b><\/b><\/p><ul><li>Social media<\/li><li>Flyers to local residents and commercial locations such as office blocks, hospitals, bus stations<\/li><li>Local advertising<\/li><li>Promotions for special products, discounts and loyalty deals<\/li><li>Product tastings<\/li><li>Sponsorships of local school sports teams<\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-f493978 elementor-widget elementor-widget-heading\" data-id=\"f493978\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">How to name a bakery<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-e5923f2 elementor-widget elementor-widget-text-editor\" data-id=\"e5923f2\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Naming a bakery involves creativity and consideration of various factors. Begin by brainstorming ideas that reflect the bakery&#8217;s unique identity, products, or location. Consider incorporating elements such as the owner&#8217;s name, specialty items, or themes related to baking or food.<\/p><p>Make sure that the name is memorable, easy to pronounce, and not already in use by another business. Check for trademark availability and domain name availability for an online presence. Additionally, get feedback from friends, family, or potential customers to get their impressions.<\/p><p>Once you&#8217;ve chosen a name, register it with the right authorities and make sure it fits your branding and marketing efforts. A well-chosen name can contribute to the bakery&#8217;s success and help establish its identity in the market.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-9bd5596 elementor-widget elementor-widget-heading\" data-id=\"9bd5596\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">How should I price my baked goods?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7e0f153 elementor-widget elementor-widget-text-editor\" data-id=\"7e0f153\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Determining the price for your baked goods requires consideration of different factors to ensure profitability and competitiveness.<\/p><p>Start by calculating the cost of ingredients, labor, overhead expenses, and any desired <a class=\"waffle-rich-text-link\" href=\"https:\/\/swoopfunding.com\/na\/business-glossary\/profit-margin\/\">profit margin<\/a>. Consider market demand, competitor pricing, and the estimated value of your products. Pricing should cover your costs while remaining attractive to customers. Additionally, account for any unique selling points, such as special ingredients or techniques, that may justify higher prices.<\/p><p>Test different price points and gather feedback from customers to understand their willingness to pay. Be transparent about your pricing and highlight the quality and value of your products to justify higher prices if necessary.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-be64ab0 elementor-widget elementor-widget-heading\" data-id=\"be64ab0\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Get started with Swoop's business funding platform<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-71b77e22 elementor-widget elementor-widget-text-editor\" data-id=\"71b77e22\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">Running your own bakery can be lucrative and a lot of fun, but you\u2019ll need a lot of dough to get you there. Funding is where Swoop can really help. No matter if you\u2019re launching a brand-new bakery, or you\u2019re buying an established business, chances are you\u2019ll need finance to make the operation grow. Many types of business loans are suitable for bakeries, but working with finance experts can make all the difference when applying for funding. Contact us to discuss your borrowing needs, get help with loan applications and to compare high-quality <\/span><a href=\"https:\/\/swoopfunding.com\/na\/business-loans\/\"><span style=\"font-weight: 400;\">business loans<\/span><\/a><span style=\"font-weight: 400;\"> from a choice of lenders. Make your new bakery the toast of the town. Register with Swoop today.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-39dc8861 elementor-align-center elementor-widget elementor-widget-button\" data-id=\"39dc8861\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"button.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-button-wrapper\">\n\t\t\t\t\t<a class=\"elementor-button elementor-button-link elementor-size-sm\" href=\"https:\/\/namibia.swoopfunding.com\/stage\" target=\"_blank\">\n\t\t\t\t\t\t<span class=\"elementor-button-content-wrapper\">\n\t\t\t\t\t\t\t\t\t<span class=\"elementor-button-text\">Apply now<\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"author":26,"featured_media":0,"parent":0,"template":"","start-a-business-sectors":[369],"class_list":["post-41021","start-a-business","type-start-a-business","status-publish","hentry","start-a-business-sectors-business-ideas"],"acf":[],"featured_image_urls_v2":{"full":"","thumbnail":"","medium":"","medium_large":"","large":"","1536x1536":"","2048x2048":"","image_blog":"","image_blog_full":"","image_podcast":"","image_banking":"","image_blog_internal":"","image_blog_medium":"","image_single_banking":""},"post_excerpt_stackable_v2":"<p>The Namibian baked foods market is worth around N$4.25 billion and demand for bakery products is continuing to rise. With more and more customers seeking healthier, organic or specialist baked foods, the future of independent retail and wholesale bakeries has seldom looked so good.However, although bakeries can be great businesses \u2013 typically delivering profit margins of 15% and giving owners a personal income starting from N$132,000 per year \u2013 starting your own bakery is not without its challenges. You\u2019ll need premises to work from, employees, funding, permits and licenses, plus a good marketing angle and an enticing range of products.So&hellip;<\/p>\n","category_list_v2":"","author_info_v2":{"name":"Chris Godfrey","url":"https:\/\/swoopfunding.com\/na\/author\/chris-godfrey\/"},"comments_num_v2":"0 comments","_links":{"self":[{"href":"https:\/\/swoopfunding.com\/na\/wp-json\/wp\/v2\/start-a-business\/41021","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/swoopfunding.com\/na\/wp-json\/wp\/v2\/start-a-business"}],"about":[{"href":"https:\/\/swoopfunding.com\/na\/wp-json\/wp\/v2\/types\/start-a-business"}],"author":[{"embeddable":true,"href":"https:\/\/swoopfunding.com\/na\/wp-json\/wp\/v2\/users\/26"}],"version-history":[{"count":3,"href":"https:\/\/swoopfunding.com\/na\/wp-json\/wp\/v2\/start-a-business\/41021\/revisions"}],"predecessor-version":[{"id":44630,"href":"https:\/\/swoopfunding.com\/na\/wp-json\/wp\/v2\/start-a-business\/41021\/revisions\/44630"}],"wp:attachment":[{"href":"https:\/\/swoopfunding.com\/na\/wp-json\/wp\/v2\/media?parent=41021"}],"wp:term":[{"taxonomy":"start-a-business-sectors","embeddable":true,"href":"https:\/\/swoopfunding.com\/na\/wp-json\/wp\/v2\/start-a-business-sectors?post=41021"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}