Start A Bread Bakery - Business Ideas

Start A Bread Bakery - Business Ideas
Start A Bread Bakery

You’ve heard the term “breadwinner”, but did you know there is a growing market to bake bread, which could potentially make you a “breadmaker?” If you love baking but want to make extra money, consider a bread making business. The industry is flourishing and has tons of growing potential. On average, the typical U.S. resident consumes 37.4 pounds of bread annually. It is a small scale manufacturing business that can be started with little investment & from the comfort of your home.

Starting a bread bakery requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell bread, or selling bread online, you can use this page as a guide for everything you'll need to know.

Key Stats

market size
$204B
starting costs
$10.9K
gross margin
65%
time to build
210 days

Startup Costs

Min Startup Costs Max Startup Costs
Office Space Expenses $0 $7,000
Equipment & Supply Expenses $66 $700
Inventory Expenses $50 $9,750
Software Expenses $12 $575
Advertising & Marketing Costs $0 $3,000
Website Costs $13 $215
Specific Industry Expenses $0 $500
Total Startup Costs $141 $21,740

Successful Businesses

Business URL Rank
Bread breadpayments.com #98,039
The Fresh Loaf thefreshloaf.com #124,523
Pepperidge Farm pepperidgefarm.com #324,515
Bread Beckers breadbeckers.com #383,044
La Brea Bakery labreabakery.com #1,081,459
Virtuous Bread virtuousbread.com #1,268,886
Ken's Artisan kensartisan.com #1,527,397
Bimbo bimbousa.com #1,764,581
Wonder bread wonderbread.com #1,824,412
Turano Baking Co turano.com #2,623,605
Blue Oven Bakery blueovenbakery.com #3,384,285

Pros & Cons

Pros Description
Flexibility You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.
Ability to start your business from home It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!
Rewarding work Starting a bread bakery can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.
Scalable With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.
Meaningful business connections You never know who you will meet as a bread bakery. This could be the start of an incredible business opportunity!
Quick build time The average time it takes to build your product is quick - typically around 7 months. This will allow you to bring your product to market faster.
Cons Description
Crowded Space Competition is high when it comes to your bread bakery, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.
Low margins The gross margins for your bread bakery are typically around 65%, which can make it more challenging to incur new expenses and maintain profitability.
Work can be inconsistent As a bread bakery, the amount of work assigned to you and schedule tends to be more inconsistent, which may make your income less stable. It's important to set boundaries and budget accordingly based on the amount of work you plan to have.
Lack of benefits With a bread bakery, you are typically self-employed and responsible for finding your own insurance, which can be quite costly and time-consuming.
Taxes As a bread bakery, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.
No safety net Typically, as a bread bakery, you do not receive a consistent pay-check and instead earn money based on your transactions each month. During the slow periods, you typically take away less since the job is based on commission. It's important to budget accordingly for the slow times.

Pat Walls,  Founder of Starter Story
Want to find more ideas that make money?

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