Start a Cake Business

How Do I Start a Cake Business Like ‘The Cheesecake Shop In Australia & NZ?

Unlike other businesses, the cake-making business needs to have a sort of perfection. The perfection of taste, presentation, and freshness. And to start a cake business similar to ‘The Cheesecake Shop’, one has to follow the protocol.

The Cake-making business does sound easy and a very niched activity. But the responsibilities to manage this business are equivalent to a corporate company. Before you start a cake business, try reaching out to the people already operating it at a local level. When you personally meet them, you’ll see a blossom of smiles on their faces. And the hustle in the mind to fulfill each order every day.

Don’t get scared with the above statements.

You still can manage and make the cake business profitable if planned strategically.


Research About Starting a Cake-Making Business In Australia

You may even go down to the depth of the niche just by looking into locations. Set some queries in your head. These queries would be ‘Start a Cake Business In Melbourne or Broadmeadows (micro-filtration)’. Or ‘Requirements to start a cake-making business in Sydney or Summer Hill’.

Quick & Detailed Research On The Web – I always mention that 60% of your research knowledge would come from the internet. The major research mediums include Search Engines, Cake-Making Websites, Social Media, and YouTube as well.

The acquired information on the web will get you prepared for the upcoming opportunities. The opportunities that your competitor may not be aware of.

Physical Effort For More Details –  Personally visiting some places, where you can easily accumulate some kicking info that gets you going. Visit the exhibition center organized for food, pastries, and cakes.

Meet your friends and acquaintances for some guidance and encouragement. Importantly, visit several cake shops and find out the X factor that has made them business leaders in the market.

For sure this would include the taste of the product, appearance and humble service of the employees.

Visiting the outlets in person is recommended even though you’d be operating from home. You got to understand how businesses work professionally.

It’s going to be helpful in terms of planning what your business would stand for.


Write Down Cake Business Related Queries

This step may not seem familiar to your plan, but it is equally important while the research theory is on.

There may arise 100s of questions in your mind before establishing the cake business. These could be:

  1. Why am I really starting a cake business? Do I know how to make one?
  2. If I can’t make the cake, can I afford to hire an employee to work for me?
  3. What’s best about your cake? And is it better than others?
  4. How much would it cost to start a cake business (including license, ingredients and marketing)?
  5. Will my family understand and support me?
  6. Who are my competitors? Are they the companies or people working from home?
  7. What marketing tactics should I apply to get ahead in the business?
  8. Will I be able to deliver the quality cakes on time? And how?

You’ll find answers to all these essential queries in the FAQs section at the bottom.


Strategic Plan To Start a Cake Business

There are some crucial steps you need to cover without really missing out on any.

  1. Identify the business activity – which is ‘Cake Making’ (ensure whether you are operating it from home or a store)
  2. Identify the type of company – Sole Trader (Suitable for Individual); Proprietary Limited (Pty Ltd) (Suitable for a Store or Company).
  3. Summarize Your Business & Vision Together
  4. Apply for a Food License.
  5. Decide Revenue You’d Earn On Each Client/Transaction
  6. Know The Size Of The Market & Your Competitors

If planning to set up a cake business in Australia or New Zealand:

Let’s Establish Your Finance Company Legally!


Also: Look into how you can register a business name ASIC; And apply for a Food License registering for a food license. VIC, NSW, ACT & QLD.

Summarize Your Business & Vision Together

This is primarily the description of your business. There exist many finance companies in Australia, but what your company stands for? Just like every movie has a synopsis, your business must have it too.

Action: Write down the description of your business.

You should undoubtedly know what is your business about and the value it’s going to offer to respective clients.


The Cheesecake Shop Story In-Short

There are thousands of people inspired by The Cheesecake Shop.

The brothers and co-founders Warwick and Robert Konopacki established the first store in the year 1991. With the great dedication of providing a quality product to every single customer of theirs. The locality they chose was Rozelle in the inner suburb of Sydney.

And now the business has reached over 225 outlets across Australia and New Zealand.

Seeing a tremendous success, PAG acquired ‘The Cheesecake Shop’ in the year 2017. Coming up with more franchisee opportunities, PAG did decide to carry forward the success of the cake business with the current management and staff.

For you ‘The Cheesecake Shop’ story would be highly motivating. No matter whether you start a cake business from home or a small store. The provision of value should be significant.


Know The Size Of Your Market & The Competitors

Though ‘The Cheesecake Shop’ has been leading in the cake-making industry. There still exist 100s of cake service providers making highly profitable business each day.

Of course, competition exists, but the market is not limited. Numerous opportunities are awaiting for you to take a lead. All you need to do is make delicious cakes with qualitative presentation, hygiene, and freshness.

For instance, If you live in Broadmeadows (North Melbourne) – Try to acquire clients from the same suburb first. I know there’s a high competition. But still, you can win it following our Promotional Strategy To Make a Cake Business Highly Profitable‘ [Premium Content].


Decide Revenue You’d Earn On Each Client/Product

Every business is different and so is this. When you put your step into the order & delivery-based business, you really are serious. This model is a quick order and quick response type. Even the feedback on your product and service is expedient.

It is quite essential to do a cumulative calculation of how much are the expenses you made making each item. For instance, it cost you about $35 inclusive of all and every small portion of the raw items amalgamated to make & design the product from scratch.

Include GST.

And Insurance (which is optional).

Include traveling costs (only if you had to travel for a specific set of products). You may also include a set amount of delivery cost up to x km depending on the zip code. This would let you show minimum delivery charges at the front end, as you’ve already covered some within the item cost.

The e-commerce businesses normally exclude the shipping charges from the item cost. And charge those separately while the order is being placed.

If you are new to this system of business, just set a takeaway option. Where you’d have no hassle of shipping the orders.


Promotional Strategy To Make a Cake Business ‘Highly Profitable

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FAQs About Cake-Making Business


Franchise Opportunity: The Cheesecake Shop

The cheesecake shop has already won the award of Australian Established Franchisor of the Year. This means it is trustworthy and one of the successful franchisors in the industry.

This brings you the opportunity to get the reputed label of business under your name.

Franchise Details:

9% of Gross Royalty

Franchise Cost Starting From: $3,99,000

Training & Documentation Fee: 10,500 + GST

Rent: Between $2,000 to $4000+

Training: 3 weeks of training provided to make delicious cakes & deserts; with guidance to operate the store.

3% of Marketing & Promotional Fee

The National Marketing Fund will take 3% of marketing support on the annual turnover.

Visit The Cheesecake Shop Franchise Opportunity


Conclusion On Starting a Cake Shop

To start a cake shop won’t be a big hassle. Many food lovers, housewives, and entrepreneurs start just from home. This is the activity where you can start right now with a little money. At the introductory stage, one does not require any staff or management as you can easily manage it all alone.

The question arises when you see your business literally growing each day. As an entrepreneur, you should have a plan either to diversify or grow the same business model across the country. For you to start a cake-making business and grow it, plan to establish a franchise model.


Grow Your Existing Cake Making Business Generating Franchise OpportunitiesTake Revenue From Thousands To Millions $ [Publishing Soon]

To explore this content, re-visit the site on the 17th of Oct 2021.

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