Buying a Bakery
Buying a bakery can be an excellent way to start. You will save a lot of work by getting someone's full setup, but unlike a franchise, you will have control over however you want to change it.
This pre-made setup is great for people who are new to running and owning a bakery. When you buy a bakery instead of starting it from scratch, you are getting a "bakery in a box". I am certain that a year after buying any bakery you'll have changed dozens of procedures and products in your business, but having the fundamentals of a setup in place -- even if you change "everything" -- can be extremely helpful.
The most critical thing to get right about buying a bakery is the location. Say it out loud, I know you know the old real estate mantra: "location, location, location". A bad location can kill even a good bakery. So how can you tell what's a good location and what's not? First, you need foot traffic -- if one out of twenty people that walked by on the street every day walked into your bakery, would that be enough sales? If its not, that's not a deal killer, but it means the foot traffic is a little light.
If you can't have foot traffic, the next thing is accessibility. Are you near an active street, where people drive by slowly enough that if you had a huge sign out front, some of them might actually read it? Is it easy to get to your door from that busy street? Do you have enough parking (you want at least four spaces, plus at least two for you and one other employee). There's a bakery in my town that's traded hands three times in the last two years. The place is either haunted, or the access is killing them, and I think its the access. The bakery is just footsteps away from one of our busiest streets, and the traffic is fast and tight. You have to stop in the middle of this scary stream of vehicles and make an extremely tight turn up and into this parking lot. And then you have to wait sometimes five full minutes to get out of the parking lot. Its just not a nice experience.
Another factor for locations include how long the lease on the property is (if you're not buying the property, of course). You want a lease that's five years or longer. Your monthly lease and maintenance payments should not be more than about 7 percent of your sales.
There's still more about locations. You'll need a building inspection, and you'll absolutely want to go over the last food inspection with a fine-toothed comb. If you are buying the property, you'll want a commercial property appraisal done. Other things to look for and ask about include trash removal, fire safety and disabled access, loading docks, crime rates (call your local police station and ask them in detail about the history of the neighborhood and the building you are considering).
Be aware of the terms about your neighbors, too. Does your lease allow you to approve or disapprove of your neighbors? This can have a huge affect on your business. Having, say, a bookstore for a neighbor is ideal, but having a homeless shelter next to you is not.
And, finally, spend the money and get yourself a good lawyer. They are very expensive, but not having one during a purchase, or even during a lease signing can be much more expensive.
more about Buying a Bakery
Sign up for our weekly newsletter about starting a bakery
Start a Home Bakery
Buying a Bakery
How to Open a Bakery
How to Start a Cupcake Business
Start a Dog Bakery
Cottage Food Laws and Home Bakeries
Write a Bakery Business Plan
Choose a Name for Your Bakery
Bakery Equipment - What You Need to Start Your Bakery
Bakery Management Software: Spend a Little or a Lot
Starting a Catering Business
Startup Costs for a Home Bakery
Startup Costs for a Retail Bakery
Licenses and Permits Required to Start a Bakery
Create a Great Bakery Storefront
Developing a Bakery Brand Identity
www.StartABakery.com | © 2007-2012 City Different Marketing | privacy | about | contact | sitemap