Tuesday, March 09, 2004

Start Up Costs 

Well, daunting a task as it was, estimating start-up costs is almost over. Unless there's something else we forgot, starting the bakery will be substantially less than buying a bakery franchise. Can we say less than half the cost?

And our break-even point will be around $30,000.00 a month in sales. I think that's achievable.

Our biggest expenses, of course, will be the equipment - I think we'll need at least one four-plex deck oven (or maybe a dual deck oven - for the breads and larger items), a triple conveyor oven (for the smaller pastries and cookies), a dough roller (I know, this can be done by hand if necessary, but I think it will be less expensive in the long run to have the roller than it will be to pay wages for someone to roll the doughs out for pies and cookies), the walk-in fridge and freezer, the proofing racks, the coffee machines, the hot water dispenser for the teas, the counter refrigerator for the milks and creams, juices, and flavors, the soda dispensers, the cold case display cabinets (we'll need 2), the dry case display cabinets (we'll need 3), the tables and chairs for customers to sit (found great ones at a better than reasonable cost at a used equipment place...gorgeous ones we could never afford new), display/cooling racks for the breads, the cash register, the two computers (one for business in the back office, and one at the register for email, web, and IM orders, washer and dryer (for the aprons, oven mitts, and dishcloths, etc), the back-up generator (no way are we going to lose business or a day's work because of a power failure due to our frequent thunderstorms), dish washers, and the work tables and storage containers in back.

Except for the "little things": mugs, cups, saucers, plates, bowls, flatware, serving utensils, decorating tools, measuring devices, baking pans and sheets, knives, stockpots, knife sharpening, scissors, rolling pins, aprons, practically everything else is 'consumable supplies": flours, sugars, decorator colors, butter, milk, fruit, nuts, vegetables, cornstarch, baking powder and soda, the sodas and juices, coffees and teas, toilet paper, cleaning supplies, napkins, menus, and such.

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