Our definition of a Micro Bakery is a local bakery that allows for flexibility for the baker as well as the local consumer. A micro bakery can be many different things. It can be a mom selling sourdough bread to her neighbors, a young girl selling granola at the farmers’ market, or a gluten free baker sourcing her cookies to a coffee shop. It just requires two key things; a person who loves to bake, and a community hungry for good food.
What are Micro Bakeries known for?
Micro bakeries are known for focusing on the quality and the freshness of their product. They can only produce a small quantity of items, so they are able to put all their effort into those items. They focus on local clientele allowing them to fill the specific needs and wants of the community.
Why are Micro Bakeries and Small Bakeries gaining Popularity?
It is nearly impossible to find delicious fresh bread at your local chain grocery store. It is also very difficult for bakeries to be able to survive in small towns. Being open everyday is expensive when you factor in paying for employees, paying rent and making enough product. That is why you often find more bakeries in larger cities, but not so often in small towns. This has caused there to be almost no way to get fresh bread, or homemade baked good unless you bake them yourself. This gap in the market is what allows the exitance of the micro bakery. A situation that allows bakers who are operating out of their home to provide baked goods to their community.
Who can be a Micro Baker?
Anyone can start a micro bakery in their own home kitchen. Licensing can be a daunting process, but in many states cottage food laws allow you to bake out of an unlicensed kitchen as long as you stick to a certain list of items and use proper labeling. Many people who venture into starting a micro bakery are those who simply love to bake and want to share their love of baking with their community.
A great example of a micro bakery is someone who is starting to bake, or who loves baking and wants to keep practicing and experimenting. I personally sold bread from my apartment in college as I was preparing and experimenting to become a better baker. I joined a Facebook group made up of my neighbors and simply posted when I had fresh bread. In order to become really good at something, you must practice. When baking artisanal breads, practicing can leave you with a lot of bread. What better way is there to perfect your bread than to make loaves and sell them to those around you? Sourdough bread is something that so many families are looking for because of its health benefits and delicious taste. If you are able to do what you love and make a profit, it is a win for both you and the client.
Another example of a popular micro bakery is an event caterer. Before owning our bakery, Ellen had a micro bakery that specialized in cake. All the baked goods pictured above were baked in a home kitchen: pies for a graduation party, cupcakes for a local business’s opening day, and a wedding cake for an excited couple. If you are able to develop these skills, they are very manageable in a home kitchen. Having a micro bakery in your home allows you to choose when you want to work and how much you want to take on.
Where does a Micro Bakery sell?
A micro bakery often does not have its own store front. Instead, micro bakeries are selling at…
- Farmers markets: A local market is a great place for a micro bakery because it already provides the potential customers. People who come to local markets are looking for local businesses to support. They are also looking for high quality foods: baked goods with no preservatives, baked goods that are fresh and made with care, baked goods with local ingredients. Gladly, this is what micro bakeries do best!
- Local Grocery stores: Small grocery stores can be a great place to sell your baked goods. However, the quantity required may be more than you can commit to on a daily basis.
- Local Coffee Shops: Although chain coffee shops are limited in terms of what they can sell from local bakers, local coffee shops are generally not. This is often a very manageable amount for micro bakeries and can allow them to have a guaranteed weekly income.
- Social media: Facebook is a great way to connect with friends, family and your community. Facebook groups can help you connect with people who not only live near you, but also people who are interested in buying your product. Each week a micro bakery can post that they have ten freshly baked loaves of bread and people can message them to purchase the loaves. They then can meet and make the transaction.
- Front porch: A micro bakery may just have a sign in the yard to entice buyers. They can have shelves on their front porch full of freshly baked goods. They may even have certain hours and days that their customers can count on.
- Farm stands: Some farms that sell fresh eggs may set up a little roofed stand and sell their own products from it. They may have eggs, fresh apples, freshly baked bread, or cookies all in the stand. The baker then relies on the honor system with their neighbors and has customers put the money in a designated container.
How to make money as a Micro Bakery?
This requires creativity and passion. There are three things that make a micro bakery successful…
A micro bakery must understand the needs of the local community (aka market research). If the community values fresh, quality bread, then a baker can sell a loaf for $12 and make a profit. However if the community would rather just get bread from the grocery store then you may have to sell more decadent items. They may be craving giant cookies with fun flavors that change every week or want breakfast items like muffins, scones and cinnamon rolls. Diet specific micro bakeries are also in demand: gluten free, dairy free, keto and vegan.
A micro bakery must be skilled at their trade. The relationship between a micro bakery and a customer requires effort on the customer’s part. The relationship between a micro bakery and its customers is more intimate. Word of mouth plays a huge roll in marketing. If a bakery is doing a poor job, using the cheapest ingredients, or making the quickest recipes, then word will get around and the community will decide their fate. On the other hand, if a micro bakery is producing delicious products, your customers will be the best advertising they have!
A micro bakery has to work harder and smarter. Although baking is both fun and fulfilling, to make a profit you must be able to put the work and thought into your business. Everything is a little more difficult because you are working in a small scale operation. You must consider what items make the most for the least amount of input. For example, a plain loaf of bread can only be sold for so much. However if you add jam to it or braid your loaf, you can charge more for the added amount of input. You have to walk the fine line between creating quality goods for your community, while also making enough profit to be able to continue providing for your community.
Our experiences as a Micro Bakery
Before our small bakery, The Flour Barn, was in full swing, we both ran what would be considered micro bakeries. Ellen was a cake decorator for ten years while also working as a nurse and starting her family. She was able to make a worthwhile amount of extra income and learn so much about baking. I was in college and sold bread out of my apartment to my neighbors. Our micro bakeries allowed us to learn so much about baking and allowed us to perfect our favorite recipes. At this time neither of us could have dreamed we would eventually open our own bakery together. But it was our original small businesses that gave us the confidence and the funds to eventually open up the Flour Barn Bakery. To see our full story of how we started our bakery, click here!
Want to start your own Micro bakery?
The first step is going for it! Start by sitting down at your kitchen table and making your dream business plan. A micro bakery allows you to have your own business with your own business model. This can be completely unique to you and your life. With hard work and creativity, you really can create your dream.