Pastry, confectionery or pastry is the art of preparing or decorating cakes or other desserts. The term baking is used to describe the type of gastronomy that is based on the preparation, cooking, and decoration of dishes and sweet pieces such as cakes, cakes, cookies, puddings and much more.Although there is practically no neighborhood that does not have an establishment of this type – because they are businesses very rooted in the popular taste -, always there is the opportunity to innovate. Emprende with a boutique pastry model, where added value is the creativity to create from line cakes to special events such as weddings and XV years. This way you can conquer an audience that not only looks for a good product but to live an entire experience of consumption.
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Business model
Independent pastry shop
It offers line cakes (in the showcase) and in individual portions. Make special orders and designs for social events. He also sells cupcakes, fine biscuits and bottled drinks like milk and coffee. Their alternate lines of business are the sale of coffee and ice cream.
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Target audiences
Men and women of all ages, socioeconomic level A / B, C + and C; Cafeterias, party rooms, catering companies.
Infrastructure
Local of 90m2, with cellar; Located on an avenue with high vehicular and pedestrian flow or anchored to a commercial area.
Equipment
Convection oven, two mixers, industrial refrigerator, two stainless steel work tables, two scales, trays, various molds, various utensils, carts and refrigerated showcase for display of cakes. Industrial coffee maker, crockery, glassware, refrigerated ice cream display cabinet, computer, cash register, counter, delivery van. Five tables, 20 chairs, three armchairs.
Supplies
Flours, starches, sugars, honey, fats (margarine, butter), oils, toppings and chocolates; Nuts and seeds (dates, almonds, walnuts, figs, hazelnuts, almonds, pine nuts, pistachios, raisins, prunes); Additives, salt, milk (fresh, condensed, powder), cream, cheeses, yogurt, yeast, egg, fruit (fresh, marmalade or puree); Extracts of coffee and other flavorings, as well as some liqueurs. Powder vegetable painting, color shades, glitter, gel dyes, sugar wafers and other decorative elements. Coffee, tea, various syrups; Sugar and substitutes. Frozen. Material for packaging.
Operational staff
In the kitchen: a pastry chef, a pastry chef, and an assistant. In floor: four employees in a bar (divided into two shifts) and a manager (entrepreneur). The accounting service is contracted by outsourcing.
- Initial investment: $ 1,292,500
- Profit margin: 29 to 38 percent.
Within the banking industry, there is a business turn that, far from going out of style, has positioned itself as one of the favorites of entrepreneurs in recent years. This is due to its versatility and specialization. These are bakeries, a segment that is under the magnifying glass of those who want to start a career in the business world in a profitable, innovative and with a constantly developing market.
If you do not believe it, review when it was the last time you ate cake. Maybe it was a wedding, a birthday, a christening, a communion or an anniversary; Perhaps at a restaurant table or a coffee shop; Or possibly at home while sharing a special moment with your family. The truth is that the cake is a product that is consumed all year and whose production responds in proportion to peaks set by ephemerides such as Mother’s Day, Father’s Day or Grandfather’s Day, to name a few.
Opportunity for growth
According to the National Chamber of the Bakery Industry ( Cantina ), the branch generates 460,000 direct jobs and 1.2 million indirect ones. Now, how many bakeries are they currently operating? According to data from the National Chamber of Wheat Industry ( Canimolt ) and the National Institute of Statistics and Geography ( Inegi ), the segment is composed of 7,000 patisseries, in addition to the 32,500 bakeries that exist in the country, where Cake is also produced, but not exclusively.
“Of this total [of pastry shops], 90% is traditional, 9% self-service and 1% industrial type. Regarding production, 85% is artisanal and the rest industrial “, explains Carlos Aguirre, president of the National Association of Professional Suppliers of Bread, Pastry and Related Industries ( A propane ).
According to this organization, the subsegment that has grown the most in the last 10 years is the self-service, tripling its size and move from 1,175 stores in 2002 to 4,721 in 2012. However, there is room for new entrepreneurs to develop Innovative concepts and offering products that stand out for their ingredients and flavor, but also for the originality of its design.
The tendencies point to boutique-type bakeries, where instead of clothing or accessories, the display cases exhibit true works of art in pastry, whose elaboration and detail can take several days. This type of establishment is aimed at a consumer segment A / B and C +, which seeks a quality product to taste at home or to celebrate a special occasion. The price of a base cake for 10 people ranges from $ 300 to $ 450. Also, there are other concepts aimed at the C and D + segment, which offer a popular product at prices ranging from $ 150 to $ 220.
Both proposals can be successful, as long as they are backed by market research and a business plan. So before you start, do the homework and find the target that you want to satisfy with your offer.
All ready to start
The bakeries are businesses deeply rooted in popular taste, so there is practically no neighborhood that does not have an establishment of this type. The purchase decision is mainly made up of the female gender, at the rate of eight women for every two men. These are consumers looking for a fair relationship between price and product quality, but at the same time pay attention to details such as the coverage, filling and decorating of the cake.
“The pie is a democratic product that is consumed in all socioeconomic strata, although yes, with some differences. In popular areas, for example, the wet or milky product is consumed more and the consumer seeks a balance between price and volume or quantity of the product, “says Erik Navarrete, president of Cantina. On the contrary, in the most exclusive areas the most requested are the fondant cakes; In addition, you can appreciate design or presentation, flavor, and ingredients.
What is the ideal place to build a pastry shop? Navarrete believes that the best location is at the foot of the street, in a commercial area, with high vehicular and pedestrian traffic, such as avenues and road shafts. The premises must have parking or parking facilities on the outskirts; While its dimensions depend on the type of pastry you are planning to open.
There are several models to choose from: from bakery to bodega and production area to schemes that are just a point of sale because the production of the product is done elsewhere.
Between both poles, there are hybrid schemes, whose strong is the sale of cake and also they sell coffee and tea.
For example, if you plan to open an establishment with production and sale to the public in the same place, you should look for a premises of between 70 and 90m2, which will allow you to have a work area, a small warehouse area, a place for exhibition and a Counter for sale to the public. While if it will only be a point of sale, it is enough with 40m2 to display product.
“The initial investment varies depending on the concept, but we can say that a neighborhood bakery demands $ 2,000 to $ 2,300 per square meter. This only includes expenses of local adaptation and installation of equipment, “says Navarrete. The concept patisseries, with production area, exhibition area, and sales counter, require a larger amount ranging from $ 10,000 to $ 15,000 per square meter, which includes the adaptation of the premises, installation of equipment and putting Running an administrative control software.
“Today, we see new currents. The old bakeries tend to die or become bakeries that sell consumption experiences, “says the president of Cantina.
Daily operation
To start with the right foot is essential to have a pool of collaborators commanded by a pastry chef, who is in charge of coordinating the production, manages the inputs and supervises the people in his charge. In this case, it is a pastry chef and a kitchen assistant.
Depending on the opening hours “usually from 10:00 am to 9:00 pm from Monday to Sunday,” it will be necessary to have two dependents to attend the counter and pick up orders. In addition, a person in cash, a delivery person and a coordinator (who can be the entrepreneur) to supervise the general operation of the business. In peak seasons – such as Valentine’s Day, Children’s Day, Mother’s Day, Father’s Day, and Christmas – you may need to hire staff via outsourcing, either for hours or days.
To form a highly productive (and creative) team, Jaime Díaz, general director of the Boutique of LPautrichienne, advises looking for pastry chefs who have recently graduated from gastronomy schools. “Or, hire students from the last semesters of bakery or gastronomy, who are always willing to learn and bring innovative talent and ideas to the business.”
As for the work area, the kitchen or workshop of your bakery should be wide and free of obstacles. Make sure it is well lit and has an air extraction system. The floor must have anti-slip and walls have easy cleaning. Be sure to comply with all specifications set out in the Civil Protection Act to prevent accidents and fires.
The equipment depends on the production you calculate to relieve each day. According to Guadalupe Valverde, owner of the Dulce Rojo coffee shop and ice cream parlor, located in Metepec, State of Mexico, there is a range of industrial convection ovens that can process more than 25 cake bread at a time. This type of equipment is made of stainless steel and is electrically powered and can usually bake bread with steam, with dry heat or with steam and heat. To this key element, you must add the purchase of at least one industrial mixer.Look for a specialized dealer and ask for mixed models, which not only beat but also have the grinding function.
You should also make a kneading machine, a fermentation cabinet (to ferment the dough), dough dividers, injectors or dosing machines (to fill) and rolling (to stretch the masses).
To equip the retail area, dressers are required for the display of sample cakes, an additional refrigerator for cold drinks, such as bottled coffees and dairy products, and a dresser to display candles and festive details.
Similarly, you need various tools and utensils, such as molds (whether steel, aluminum or silicone), pasta cutters, grooves (to work the product presentation), spatulas, pastry sleeves, hand beaters (balloon type), knives, Strainers, rollers, brushes, thermometers, and clocks. On the other hand, a food-grade airbrush is required, costing around $ 3,350, as well as a stencil for food, costing between $ 700 and $ 800.
It considers an average initial investment in material from $ 8,000 to $ 9,000, although it can be raised according to the degree of specialization, detail and production of the pastry in question, emphasizes Juan Carlos García, director of the Casa del Fondant, company of import, distribution, and Sale of pastry products, located in the Portales colony, in Mexico City.
Having solved the equipment issue, you have to prepare your list of basic supplies to go shopping. The owners of Dulce Rojo, for example, are supplied every 15 days; However, there are those who prefer to do it every week, especially if they are perishables like fruits, cream, cheese, and milk. For this, it is necessary to contact several suppliers, either in the Supply Center or independent distributors in your locality.
What does the list include? Flours, starches, sugars, honey, fats (margarine, butter), oils, toppings and chocolates; Nuts and seeds (dates, almonds, walnuts, figs, hazelnuts, almonds, pine nuts, pistachios, raisins, prunes); Additives, salt, milk (fresh, condensed, powder), cream, cheeses, yogurt, yeast, egg, fruit (fresh, marmalade or puree); Extracts of coffee and other flavorings, as well as some liqueurs.
For decoration, it is required of powder paint, color shades, glitter, gel dyes, sugar wafers and other decorative elements. The initial stock depends on your production, but you can rely on the maximum of “minimum three, maximum 10” of each element. This will allow you to face the needs of the day to day, without suffering the shortage. To this list, you have to add the packaging, which can be cardboard boxes or plastic covers.
The ABC of production
In the Boutique of LEautrichienne, for example, the daily production begins at 7:00 am, under a scheme of division of labor. Thus, there is personnel who only bake bread, another equipment that only fills, another that covers the cake and one more that decorates. This last step can be laborious and require several man hours of creativity. “We have our own production center because the idea is to standardize all processes and have better controls. From there we distribute to all our branches and to customers’ homes, “says it is CEO.
Guadalupe, of Dulce Rojo, says that the average life of a cake is one week and highlights the importance of keeping them in refrigeration. “It is necessary to take a strict control of the cakes, mainly, of the ones that take cream in order to avoid their decomposition”, adds Carlos Aguirre de Improper.
For example, a color system may be used to indicate the date of manufacture or when they should be removed from the display case. All part of taking care of the subject of purchases and warehouse, because of it depends that the kitchen or workshop has the necessary inputs to work.
Ideas to sell more
Although traditional direct selling is the mainstay of every pastry’s income, there are other options worth exploring. You can consider distributing your products in cafes and restaurants or make a deal with banquets and party rooms to check out your cake orders.
Another way to increase the revenue of your business is to open an online store (alternate to the physical business). This alternative represents the possibility of having a showcase of cakes open to the public, every day of the year. To do this, hire a web developer who is responsible for making an attractive design and include the photos of the cakes offered in your establishment. Each of the images must have a description of the product (weight, fill, cover), delivery times and price. It is important that you renew your wallet consistently with occasion cakes and offer the necessary security measures so that people can buy online without problems.
You can also open an instructional academy in parallel, such as Casa Susana, a company with a long tradition of designing and decorating pastry, pastry and confectionery in general, which at the same time sell raw material for confectionery. This property, owned by Susana Martinez, offers cake and cupcake decorating courses, ranging from $ 600 for a loose class to $ 40,000 for a five-month diploma awarded by the Sugar Arts Institute in Ephrata, Pa., USA. ., Where the entrepreneur is a certified international instructor.
Or, you can give summer courses for children, with prices that hover around $ 3,000 for two or three classes a week during the school vacation period. Or you can do what Dulce Rojo, where its owner, Guadalupe, created a cozy atmosphere so that customers taste the product directly in the establishment, and they can take it home.
At the same time, opened a bar of coffee and ice cream, so the dinner can taste his favorite cake and accompany it with a cup of aromatic. Another possible business approach is to extend the service to catering for celebrations with salty products, such as snacks and canapés. Regardless of your choice, you should know that there is still room for new bakeries, as long as they offer a differentiator in price, flavor, decoration or even in the setting of the place.
To the conquest of the market
Although the bakeries in their different versions are, in general, very noble businesses, they face certain threats of an environment where the fight is no longer for a market, but for each potential customer. At the beginning, there is a great competition derived from pastry chains and from the supermarkets that offer cakes at popular prices and some even have a gourmet line.
To go ahead, the interviewees agree that it is necessary to create a shopping experience for the consumer, this from the time he arrives at the store and until he tastes the cake. You can start by institutionalizing a greeting, having a tasting product, following policies of personalized attention, taking care of the image of the store and staff, playing with music, playing with lighting on the product, and so on.
On the other hand, it contemplates the Special Tax on Production and Services (IEPS) of 8% – which is applied to the cake when consumed in the establishment -, which added to the campaigns of the Federal Commission for Protection against Sanitary Risks ( Cofepris ) And the Ministry of Health ( SS ) against obesity, may represent a risk for the development of the sector.
“These challenges now mean that industrialists have to modify their recipes to lower the caloric content of their products, introduce ingredients with fiber or sugar substitutes or reduce their portions,” says Carlos Aguirre of A propane. “In addition, you have to do the nutritional analysis of the products,” he adds.
If you want to get more information about this turn, go to Cantina and A propane. Both agencies offer training throughout the year. Much success with your venture.
Paperwork guide
The implementation of a bakery requires certain procedures. Realize them in the Delegated Single Window or visit apertu-ra.df.gob.mx for more information.
Certification of land use
It costs $ 752. It has a validity of two years. This procedure allows obtaining the document that indicates whether the legislation on land use permits or prohibits the development of an activity in a given property.
Notice of opening statement
Procedure to be carried out via the Internet by natural or legal persons interested in operating a business establishment whose business does not require an operating license in terms of the Law for the Operation of Commercial Establishments, prior to the start of activities. Its validity is indefinite and the procedure is free.
Registration in the payroll tax register
Procedure by which the individual who has hired employees is enrolled in the Payroll Taxpayer List, in order to comply with the provisions of the Financial Code regarding the payment of 2% of the corresponding tax. It is a free process with indefinite validity.
Add license
To be obtained by natural or legal persons for the distribution, construction, installation, fixation, modification, extension, dismantling and/or demolition of advertisements or their revalidation in order to maintain the advertisement originally authorized. It has a valid year and its cost is variable: from $ 1,328 to $ 7,011 per square meter.
– For your pastry to work perfectly, follow the recommendations in key points that are given by specialists in this business turn.
Warehouse
To seek a good management of this area avoids losses and unnecessary losses, as well as guaranteeing the adequate supply of inputs and keeping production costs under control. To achieve this, it uses the First Inputs, First Outputs (PEPS) system. Its application is simple: the first products to enter are the first to leave.
Control software
If your budget allows, implement a control software that allows you to keep your inventory up to date and at the same time optimize management. If this is not possible, you can rely on a spreadsheet. The key is to contemplate everything that comes in and out of all areas.
Abasto
Work with your production team to buy what is necessary and verify the periodicity of the supply. Remember that because it is a sector of perishables, you must ensure hygiene and safety in your products. Look for suppliers in the Supply Center. Another option is Casa del Fondant, located in Colonia Portales, in Mexico City, which is one of the most traditional supply centers in the segment.
Mermaids
In the bakery industry, there is up to a 20% reduction in the product, considering that the molds do not always fit the cake figure. In addition, many products are perishable, so it is important that staff know the methods of conservation of them.
Order Try to have an orderly warehouse, which allows you to locate each ingredient and is suitable for storing flours, sugars, colorings, toppings, butter, decorative elements, bases and various kitchen utensils. The ideal is to have stainless steel furniture, material that is characterized by its durability and safety for food handling.
Hygiene
By the type of ingredients that are used, the bakeries must be fumigated every 15 or 30 days. Look for a company expert in the field and avoid the proliferation of cockroaches, mice, and other harmful fauna.
Shopping
Investigates in the Chamber of the branch on the suppliers of inputs. Generally, purchases are handled under cash payment schemes, but if you buy by volume you can get some discounts or even credit 30 or 60 days.
Advertising
Advertise in specialized publications, brides or babies, for example. You can also attend expos specially designed for those markets. Handing out flyers is another option. However, the best advertising is word of mouth, so you must take care of the quality of your products and be impeccable in delivery times.
Image
Take care of everything you need to build a brand, such as creating a logo and a slogan. Print your image in boxes, covers, sales notes, foyer rugs, showcases and outside the premises. The objective is to create a brand awareness in the consumer, to achieve the recall and to concretise the positioning.
Human Resources
Even if you are a small bakery, try to standardize your employees according to institutional colors and logo of the company. Create a corporate culture in which customer service makes a difference. You can start by standardizing the salute to the consumer, for example.
Logistics
This point is fundamental. It depends on your cake to arrive on the time to its destination. In order not to fail, it links to production, administration and billing areas. The idea is that the customer receives his cake at the agreed time and day.
Babu Rashedul alam 