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  1. Determine if you can have a cake business from home. Contact your city hall and determine if you can be zoned for business. The last thing you want to do is run get your business set-up and running, only to have it shut down for not being zoned properly.
  2. Contact your state's licensing requirements for this. Go to your state's website, and do a search for bakery license. Read the information, and call the number provided to make sure you have all of your questions answered. They will tell you all the legalities. Such as what you are allowed to do, what you're not, if you need a license, how much it will cost, etc. My state has a law that allows you to run a cake business from home as long as the products don't need to be refrigerated (i.e.-ice cream cakes, cheesecakes, etc.). Also, I can only sell directly to the consumer. I cannot sell through retail outlets, like gas stations, local stores, etc. If I want to do this I will need a license. Also a separate kitchen with a separate entrance, and pay the $175 licensing fee. Do the next steps before you apply for a license.
  3. Setup a corporation. You can file through your state for an LLC (Limited Liability Corporation) or you can Incorporate. This will prevent your personal assets from being jeopardized in the event your business doesn't make it.
  4. File for an EIN (Employer Identification Number) from the IRS. This is the social security number for your business.
  5. Set up a business bank account at the bank of your choice. They will want to see the paperwork from steps 3 & 4.
  6. Determine your niche. Meaning what area of cakes are you going to specialize in. Cupcakes, wedding cakes, birthday cakes, cakes for events, etc. Or are you going to do them all.
  7. Start advertising to your target market. Consumers in your area.
  8. Once you get a source for customers, make sure you have all the equipment and supplies.
  9. Start baking your cakes.
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15y ago

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