I need some help regarding setting up a cake business in Sydney. I have been making cakes for family and friends for a few years and was now interested in advertising on the net and selling cakes. I have set up an ABN but as this is a food industry and people can easily sue you, Is there are large cost involved in regards to insurance? I am currently making caked from my kitchen, do I have to set up a separate kitchen? Is there some kind of public liability insurance I need to get? Too many questions!!!!HELP!!
Hi there
I'm not in Sydney... but I'm guessing it all depends on how big/commercial you want to be. I sell cakes to people other than friends & family and have never worried about "insurance" of such. People know who they are buying from - and touch wood, I doubt anyone would "sue" me over the taste of my cakes! hehe
If you look at the people that make wedding cakes from home (and there are lots of them) they don't have commercial kitchens etc... there are alot out there that are the same as what I am doing...
Perhaps ring up your local Business Enterprise Centre and see what they have to say - on the legalities/insurance, and the health department in your area can help out with that.
Other than that... good luck!
-- Fi
Hey kalatzp, most people I know work from home on a regular basis. If you're going to do it in a big way you will need council permission and that will involve a separate kitchen, utensils etc. I suggest ringing the Association or Guild some one there would definitely no the ins and out of insurance etc and would be only too happy to give you any into you want. A lot of them work from home and in their own businesses.
Good luck 
I need some help regarding setting up a cake business in Sydney. I have been making cakes for family and friends for a few years and was now interested in advertising on the net and selling cakes. I have set up an ABN but as this is a food industry and people can easily sue you, Is there are large cost involved in regards to insurance? I am currently making caked from my kitchen, do I have to set up a separate kitchen? Is there some kind of public liability insurance I need to get? Too many questions!!!!HELP!!
HI there
I am currently getting my home kitchen registered with the council. In order to run a food business of any sort, regardless of how small, you need to be registered with the local health authorities. Each council has different regulations. I am in Melbourne, my council requires that I install a handwashing tap, which i am installing in the second sink in my kitchen, a paper towel rack, a soap dispenser, coving (some sort of special rounded skirting board) separate utensils, a separate pantry for my ingredients, AND when i need use of the fridge for eggs, butter and milk, i have to have two designated shelves, that are only going to be used for my cakes during the preparation time 
. Im still in the process of the installation, everything else is done. They also asked me that i only use one of my ovens for baking cakes and one for domestic use 
(sigh!!!), Oh yeah, i also need a probe themoter, a cleaning schedule and i need to keep a few other records, and need to have done Food Safety training (which you can do online, very easy)
I have another friend who lives about half an hour away from me, they asked her for none of the things they asked me except for the Food Safety Training, the themometer and on top of that a Separate Fridge, a whole new fridge 
.
Then I have another friend again, that is about 1 hour from me, that the council only asked for the Food Safety Training, the records (cleaning/deliveries etc) the probe themometer and that was it 
.
So you may want to call your local council and find out what the regulations are. Supposedly, the health department, is meant to contact any food business in the area to check if they are registered. This has NEVER happened to me, I contacted them to register myself.
About the insurance, I get public liability insurance via the Cake Decorator's Association of Victoria. It covers food poisoning and it has a limit of about 10million.
If you need any more info let me know
cheers
Nati
PS: I told my council im only making about 3-4 cakes a month, they told me that if i do any more than that, i will have to move myself to a commercial kitchen.
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