How to Start a Profitable Cake Making Business in 2024.

The Cake business has grown exponentially in the recent past.

Kenyans have come to a point where cakes are an essential part of almost every celebration. Cake cutting has been made the order of almost every event to the benefit of the cake-making industry.

Better still, most people will just consume cakes even if there is no event to mark.

You must have attended a birthday party, wedding, anniversary celebration of any kind, graduation ceremony, baby shower, launching of a company, bridal shower, and many other occasions.

I know you witnessed cake cutting and even consumed some. That was the work of some cake-baking business somewhere.

Would you believe it when I said that the cake-baking business; due to all the demand in the current Kenyan market is now one of the most profitable ventures in Kenya?

Believe it or not, that is the truth.

That same cake you consumed can well be baked on your premises and sold out to the next group of people celebrating some kind of.

The profitability in this business is so huge that even the available businesses cannot exploit all of it.

There is still room for you to step in and share in the profitability.

Burning with the desire to know what it takes to start are cake-making business?

Here is a candid discussion of the requirements, location considerations, capital requirements, licensing, and the exact profit projection of the cake-baking business.

What’s the Best Location for a Cake Making Business in Kenya?

Both rural and urban areas hold occasional celebrations. But have you realized that even people from rural areas order their cakes from town?

That should indicate something important.

An urban setup will offer the most opportunities and clientele.

A shop along a busy street with both foot and vehicular traffic, well-branded so that all the world can see you make cakes, will be very profitable.

If you secure a baking premise in such a location then you are really in for a big earning spree.

All the above are only if you decide to open a physical shop.

By this, I mean that there is a new emerging trend where cake-making businesses operate online.

You make your cakes from wherever; advertise them online and deliver them to interested clients.

Here, you only have an online store or a website of a kind. You display photos of your cakes there and buttons allow clients to place orders via calls, chat, or any other way you choose.

What Are The Requirements for a Profitable Cake-Making Business?

Several requirements are factors of success in the Cake Making Business without which the profitability in the business may never be a reality:-

1. Acquire the necessary skills – cake making is a craft and skill is required. Whether you seek training from an accredited institution or have learned by apprenticeship from someone, you will need the skill. Alternatively, employ trained and skilled reliable individuals to do the work.
2. Carry out market research – market research always comes first. You need to probe into the cake-making business and know more about the existing businesses. Know which areas of the town have demand but no one to meet it, know where to get supplies, and ascertain the exact potential location.
3. Choose a niche – you may not begin offering all cake types at once. You may focus on cupcakes, wedding cakes, birthday cakes, or if you have the capacity you may offer cakes for most occasions. That will all depend on your goals, capital, and target clientele, among other factors.
4. Physical shop or Online store – decide whether you will need a physical shop or an online store. A shop along a busy street with both foot and vehicular traffic, well-branded so that all the world can see that you make cakes, will be very profitable. If you secure one in such a location then you are really in for a big earning spree. On an Online store, you make a website where you display photos of your cakes and buttons that allow clients to place orders via calls, chat, or any other way you choose.
5. Draw a cake-making business plan – adhere to your pre-determined bakery type and address your goals, how to raise capital, how to stem competition, target market, and other relevant issues.

6. Acquire the relevant licenses as follows:

• • • County Council Single Business Permit – this costs about Ksh.5,000 – Ksh.10,000 per year depending on your county.
    • Food Handler’s Certificate from the county ministry of health.

7. Determine how much you will charge for your cakes – you did market research and so it should inform your decision of pricing so that you don’t lose to the competition. Charge such that you will, after meeting all the overhead costs, still make profits.
8. Acquire the necessary equipment and materials like ovens, cutlery, and utensils. These may cost approximately about Ksh.40,000 – Ksh.50,000.

9. Market your Cake Making business thoroughly:

• Do not be afraid to post on social media.
• Talk to people by word of mouth.
• Make brochures if you can.
• Leave your phone number in every brochure.
• Place Google, Facebook, and Instagram ads if you can.
• It is how much you market yourself that determines how far you go in your business, so let the whole world know that you make cakes.

10. Get started – Do not wait for too long. Once you have everything in place. Start your Cake Making business as you offer quality and value for your clients’ money. Build meaningful relationships with your clients too.

How to Start a Cake Making Business (Capital).

If you operate a physical shop, you will incur costs to the tune of approximately Ksh.100,000 – Ksh.150,000.

If you operate an online store, you may also incur similar costs given that you will also need to have a website built and optimized.

How profitable is this kind of business?

A small cake-baking business may earn you Ksh.6,000 – Ksh.15,000 a day.

A larger bakery will even earn you up to Ksh.30,000 – Ksh.50,000 daily with a good flow of orders and clients.