5 Common Mistakes to Avoid When Starting a New Bakery

When you start a new business, it is quite normal to make a few mistakes and learn from them as you grow. But you know what is better than learning from your own mistakes? Well, it is to listen to other people’s experiences of their business and take lessons from this.

This way, you can avoid a lot of mistakes and can have a successful business much quicker. Are you planning to open your own bakery anytime soon?

If yes, then make sure that you avoid making the below-mentioned mistakes. Trust me, if you follow our tips, you will see your bakery business growing efficiently early on.

Mistake #1: Not Making a Proper Business Plan and Sticking to It

One of the biggest mistakes to avoid when starting a new bakery is to not make a proper business plan. This doesn’t mean that you make a plan in your head and then forget all about it. You need to have a dedicated folder to keep track of your original plan and all the additional ideas which are executing later on.

This will be really beneficial because you will get a lot of ideas for your bakery from people you know. And after a while, it might get difficult to track which idea has been working out for your bakery and which hasn’t. But if you have a proper business plan outlined for your bakery then you will know when you are straying from your path.

You have no idea how many people end up losing a lot of money in the first year because they don’t have an official plan for their bakery.

Mistake #2: Not Having enough Experience in a Commercial Bakery Before Starting your Own

Another mistake to avoid when opening a new bakery is to not having experience about how a bakery works. Love to bake? That’s good, but that is not enough when you are opening your own bakery. Yes, graduating from a good baking school and having an official certification is helpful but you also need work experience to be able to open your own bakery successful.

So, make sure that you work in other bakeries and under other head chefs before you start opening your own bakery. You have a lot to learn about menu planning, pricing, etc. which is only possible if you have work experience in another bakery.

Mistake #3: Not Understanding the Costs of Your Products and/or keeping an Updated Inventory

This is yet another mistake that many people make, not to calculate the costs involved and plan your menu accordingly. This is a big no-no. You have to understand the monthly costs involved in getting the raw materials for your baked products. And once you have an idea of these costs, you need to price your products so that you aren’t in a loss.

Don’t take this step lightly because if you don’t do proper research then you could end up underselling your products. Also, always keep a track of your inventory at all times. Make sure that you check your materials at the end of every day so you have a track of what is missing and what you need to replenish soon. This will make sure that you don’t place duplicate orders or run out of ingredients to prepare a particular product.

Mistake #4: Skipping Out on Keeping a Track of Your Income and Expenses

Apart from taking inventory, you also need to keep a daily track of your income and expenses. Trust me, if you don’t want to end up in a loss at the end of the month, you have to daily tally your sales. Calculate the sales each day and figure out how much are you profiting or losing. Also, taking an inventory of your materials will help you realize where you are going to spend and how much money you should keep aside for it.

This way, if you notice that you aren’t making a profit or are spending more on the ingredients then you can up your prices or modify your menu accordingly. Honestly, in the initial days, your menu will be a trial and error method because you will have to choose the products which will not only get more customers but will also bring you some profit.

So, don’t forget to keep all the fund transactions in your bakery and improvise your business plan accordingly.

Mistake #5: Avoiding to Get Help when Starting Out

One of the biggest mistakes that a lot of new bakery owners make is to do everything themselves. This might feel like saving an additional few bucks here and there but in the long term, it could mean a huge loss for your bakery. You might love to bake cakes and be in the kitchen but that doesn’t mean that you would love to handle the funds or the customers too.

And if you are careless about any of the other aspects of your bakery, you could end up closing it up much sooner than you expected. So, decide what you wish to take up and delegate the rest to your employees. If you wish to just bake then make sure you hire a bakery manager who will keep a track of all the orders, talk to the customers, and keep your employees in line.

If you aren’t good at bookkeeping then you also need to hire an accountant/bookkeeping to keep a track of your bakery spending. This way, you would have a sound financial advisor letting you know when you are going over your budget and you won’t have to spend a large chunk of time calculating your profits or losses.


Opening your own bakery can be slightly intimidating but if you have adequate experience of working in a bakery then you will find it easier to succeed. Don’t hesitate to contact other bakery owners and take lessons from then on what works and what doesn’t.

Mostly, take help of your friends and family and don’t try to do everything yourself.

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