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Starting a Bakery From Home: A How-To Guide

If you love baking and baked goods, if your friends and family are always wondering what you'll be cooking next, or if your wares are a big hit at bake sales, holiday gatherings, and fundraisers, you might be a great candidate for a home bakery business owner/operator.

If so, you're probably already convinced. The question is, how to start a bakery business from home? This is our brief guide to doing just that. You'll need to study further to create a successful home bakery business, but this will help you start the planning phase.

In this brief guide, we'll answer the following questions:

And more.

Your Brief Guide to Starting a Bakery from Home

Equipment Needed to Start a Small Bakery

Naturally, every kitchen needs some basic equipment to function. You may be able to bake a few things with what you have but to transform your kitchen into a genuine baking production center, you're going to have to upgrade. Here are just a few of the basic kitchen requirements for a home baking business.

List of Equipment Needed for a Bakery

Basic baking equipment

Storage & Supplies

Packaging & Display

Depending on the number of goods you intend to produce and sell, the size of the oven, the food processor, and other essential gear will vary. Also, the number of supplies and utensils needed will depend on your intended output. You can expect that time and experience will be needed to get the equipment/production ratio just right. But that's all part of honing your craft.

Home Bakery Rules and Regulations

Every commercial food production business needs to comply with state and local regulations. Your first step is to become familiar with “Cottage Food Laws” in your state. Start with a Google search term including your state of residence. Search terms like;

“cottage food laws for selling food from home in Texas

“what are the regulations for selling food from home NYC”

You might have to try different terms until you find your state's dept. of health page describing the process.

Certified kitchen requirements may be confusing. But your goal should be to run a kitchen that is as clean as you would expect a quality restaurant kitchen would/should be. To obtain and keep your home bakery license, you will need to submit to testing and inspections. In addition to your permit to sell food from home, you will also need a business license.

It is wise, and may be required, to obtain food management training. Even if you don't think you need such training, it's still a good idea, as there may be new products and techniques that will make your kitchen cleaning duties easier and more effective.

Promoting Your Home Bakery

Of course, any successful home bakery business is going to have an effective, ongoing advertising campaign. An online bakery website is going to be a big help, but not a necessity in the very beginning. Your social media presence will be a great place to start, especially if you're already engaged with baking forums on Facebook or elsewhere.

Begin by researching the best baked goods to sell from home. Put some effort into discovering what are the most profitable bakery items you can sell. Build your business, your social media presence, and your website around these items.

Begin with your “about us” page for your bakery website. The best home-based bakery websites will revolve around your personality and the character of your brand. Search online for good bakery website examples. This will help you develop your business plan, and may give you some interesting baking business name ideas.

In an upcoming article, we'll discuss creating a successful home bakery business plan and go over some proven home baking business ideas to help you structure your home baking business and make your home bakery a hit.

Starting a Bakery From Home  

So you're ready to take your baking hobby and turn it into a business? In this post, we share tips for starting your very own home-based bakery.

What is cottage food?

If you are interested in starting a bakery from home, you first need to familiarize yourself with the concept of "cottage food." Cottage food is a type of cottage industry. A cottage industry involves producing goods from your home. Cottage food is food that is professionally produced in a home-based bakery business and later sold. Food that is produced in a specialized facility or restaurant and sold is not considered to be cottage food.

Potential home-based food businesses

There are many potential home-based food businesses. While a home-based bakery is one of the most popular types, it is far from the only home-based food business you could run. Some people grow vegetables and fruit in their home garden and sell their produce. Others may produce condiments, such as barbecue sauce or steak sauce. Some people even create their own seasonings from home and sell them.

Running a bakery from home

Running a profitable home bakery isn't a cakewalk, but it can be very rewarding (both creatively and financially). It is important that you spend a lot of time looking into how to start a bakery business from home. You need to figure out the regulations for home baking business in your state. You also need to ask yourself "What does a bakery need?" Even if you already have a well-stocked and well-equipped kitchen, you will likely need to purchase additional supplies and appliances. It may be a good idea to Google "home based bakery near me" so that you can check out a working home bakery in your area.

How To Start Selling Baked Goods From Home

What is required to start a cottage food business?

One of the first things you need to learn when researching how to start selling baked goods from home is the items that you need to get your business up and running. These items include:

In addition to supplies and equipment, you will need a business plan. You should start by brainstorming home baking business ideas and choosing the one you feel confident about. Next, you should come up with a concrete business plan. This will help your business operations stay organized during the chaotic period following the launch of the business.

Finally, you may need to get a license for your home bakery. Some states do require a license, while many do not. You should research the laws in your state to see if you need to get a license.

Starting a cottage food business

There are some things that you can only figure out after you've started your business. For example, you need to figure out your best baked goods to sell from home. You can certainly do research to figure out which baked goods usually provide a high profit margin, but you need to keep in mind that the prices of ingredients may vary from place to place. It is also possible that you may have a connection who can give you a discount on certain ingredients.

You also need to figure out how to promote a home baking business. You will certainly need a website. However, you will also need to figure out which other forms of promotion will work for your budget. Other forms of promotion include TV, radio, and print ads.

Home Based Bakery Website

What an effective home-based bakery website should include

One of the most important things you can do for your business is to set up a home-based bakery website. This process is easy when you use programs like Your website doesn't need to be fancy, but there are several things it needs to include. It must have an online store, as this has the potential to greatly increase your bakery's sales. It should also include an "about us" section with information about your background and your vision for your bakery. Your online bakery website should include contact info, including links to your bakery's social media pages. Finally, it is important that your website has a blog that includes search engine optimized (SEO) content for bakery website.

Marketing and making sales through a website

Making sales online is an important part of any modern bakery website. This is true even if you have a simple bakery website. The cornerstone of most bakery website marketing is SEO. You may want to hire a professional to optimize your website, as it can be quite complicated. If you want to do it yourself, make sure to use Google's keyword research tools to find popular bakery-related search terms. Once you've done this, write a blog article about each topic and be sure to use the exact term multiple times. If you look at successful bakery website examples, you will see that they are all doing this.

Home Bakery License

Home bakery licensure in CA

If you want to get a home bakery license California, you need to pass an inspection from the California Department of Public Health. To pass this inspection, your kitchen space must be clean and sanitized. It also must be off-limits to children and pets.

You will also need to get a business license unless your bakery is a sole proprietorship operating under your legal name. Otherwise, you'll have to get a license from the county clerk.

Finally, you have to obtain a food handler's certification. This can be obtained from the California Department of Environmental Health and Safety. You have to pay a fee and pass a relatively simple test to get this certification.

Getting a home bakery license in IL

Illinois only recently started allowing home bakeries across the entire state. You only have to pay a $50 fee to register your home bakery. You don't actually have to get a home bakery license Illinois. You don't even have to pass an inspection from the health department. You are allowed to sell online, but you cannot wholesale your baked goods.

Home bakery licensure in MI

Selling baked goods from home in Michigan is legal. You don't have to undergo an inspection from the health department, as there is no home bakery license Michigan. However, there is a $25,000 yearly sales limit. Also, you are not allowed to sell online or to wholesale your baked goods.

Getting a home bakery license in NC

Getting a home bakery license in North Carolina can be tricky. You have to create a business plan and have your food tested to ensure that it is safe. You also must submit an application for licensure that may take a while to get approved.

Do You Need a License to Sell Baked Goods From Home?

In many states, you do need a license or registration to sell baked goods from home. It varies based on your state's cottage food law. If you are planning on selling baked goods from home, you need to do your research to ensure that you know how to sell food from home legally.

Do you need a license to sell baked goods from home in Florida?

You do not need a license to sell baked goods from home in Florida. You can sell up to $250,000 worth of baked goods per year. However, you cannot wholesale or sell online.

Do you need a license to sell baked goods from home in NY?

You do not need a license in New York, but you must register your bakery with the state. You can wholesale your goods to stores and restaurants. You are also allowed to sell your goods online.

Do you need a license to sell baked goods from home in PA?

You need a "limited food establishment" license to sell baked goods from home in Pennsylvania. You must have your home kitchen inspected and you must submit a business plan. Unfortunately, the application can take a while to be approved.

How to Make Money Selling Baked Goods From Home


One of the most difficult things to do when starting a home bakery business is to figure out what your pricing model should be. It is important that you take into account your total expenses when calculating your pricing. Many bakers make the mistake of only considering the cost of their ingredients. However, you should also consider the cost of your labor and all of your business's expenses besides ingredients. These expenses may include state fees, utility costs, equipment costs, and more. At the very least, the cost of your goods should cover all of these expenses, including a decent wage for yourself. You may want to add a markup of 10% or even 20% if you can do so and still keep your prices reasonable.

Making your business sustainable

To make your business sustainable, you have to figure out what your most profitable bakery items are. You can do this by carefully tracking your expenses and revenue for each item. You shouldn't simply look up lists of the best baked goods to sell from home, as your overhead and labor costs could vary significantly from those of the baker who created that list. In addition to focusing on your most profitable items, you should diversify your revenue stream. In addition to selling through your website, you should figure out how to sell baked goods locally. You may be able to sell your goods to a store or restaurant. Your area may even host a farmer's market where you can sell your goods.

Everything you need to start a home bakery- licensing requirements, food business ideas, and more- to help you on your food entrepreneurship journey.

Heather Brookshire

The Cake Whisperer


My business would not be the same without my Castiron website! It is an easy setup with lots of customization and tons of support! I am so glad I set up my shop last year before the holidays — it really helped increase my sales!

Amanda McMonigle

The Whimsical Cookie


Castiron provides me a professional site to my customers increasing my credibility and value while giving me the tools to effectively market and manage my business in an easy, user-friendly manner.

Kim Sims

Wesley's Treats Hallie's Sweets


Castiron has made my cottage bakery shine, and my business easy to manage. As a platform they care about my business as much as I do.

Katie Maschoff

Mill City Cooking Company


Before Castiron, I was taking orders really manually, through emails or texts or Facebook. Now I can send customers straight to my website, and I don’t have to worry about missing any details.

Daniella Smith

Oso Good Clean Eats


I couldn't run my business without the Castiron platform. It made it so easy to get my shop up and running — it truly removed a massive barrier to me getting started!

Ali Serpe

Kultured Kombucha


I realized that the barrier of having to DM or text me to order was holding a lot of potential customers back.

Now that I have a professional website and a simple ecommerce checkout, I'm seeing a huge increase in new customers and they appreciate how easy Castiron makes ordering.

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