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How to Buy a Bakery

Find out how to make buying a bakery easy as pie!

There is nothing more enticing than the smell of freshly baked goods. If you’ve smelt this smell, there’s a great deal of chance that you have thought of opening your own bakery.

Combine the joy of baked goods with the knowledge that bread is a staple of South African diets and it seems this could be the perfect business.

Here are some considerations you should make before taking the leap.

Skills 

If you are going to run a successful bakery, you need to have a knowledge of baking. You can always hire someone to fill in the gaps in your skills, however, having a real passion for it and some idea of how to bake the perfect loaf will go a long way to making sure your venture goes from strength to strength.

Whether you are baking cakes, pastries, bread or a range of goods, you will be operating on a small margin. This will mean keeping a close eye on your costs and stock.

Your products don’t have a long shelf life and so you will need to make sure you reduce your wastage as much as possible. Be prepared for early mornings and the pressure to get your goods flying off the shelves each day. 

Finding the right business to buy

Make sure that when you are looking for the right business to buy, that you don’t overextend yourself. Getting your business going can come with more costs than you expected and starting off on a financial back foot will lead to problems.

Consider the ways that you will be able to expand the business once you buy it. Increasing the turnover of the business is a great way to make returns on your investments sooner than hoped. 

Consider whether you can expand into delivery, partner with local restaurants or hotels, or open up pop up stalls at markets.

Do thorough due diligence so that you can be sure of the reason that the business is for sale and whether this will prove to be a problem further down the line.

Trends

Coffee culture has been on the rise in South Africa and baked goods are the perfect accompaniment to this. Artisinal bread has also become popular among more affluent consumers.

Trends like these are important to keep on top of and know well before you decide on the right business to buy. You need to know that you will be able to adapt to the changing trends and take advantage of the business that you can do because of them.

Is franchising for you?

If you are hesitant to take the leap into business ownership alone, there are plenty of bakery franchises that you should consider. You can find a reputable brand that you can work with that will provide you with training and assistance.

Becoming a franchisee will allow you to get support in the marketing and distribution of your bakery. This is an option for someone who doesn’t mind following a set plan and sticking to what the head office lays out.



Anthea Taylor

About the author

Anthea Taylor is Content Producer at Dynamis and writes for all titles in the Dynamis stable including BusinessesForSale.com, FranchiseSales.com and PropertySales.com as well as other industry publications.

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