Please bear with me- most of this seems scattered over a few paragraphs:

I've been offered a space downtown at a steal of a price. It's an upstairs loft- type of space that is currently occupied as a law firm. My overhead would be approx. $300/ per month, give or take. I can afford that. I currently have a licensed kitchen that I dont have to pay extra for, but I dont have a space to advertise there because it's privately operated (by the owner) and the rules say no to that. So the prospective space would strictly be for advertising and for consulting. No need to have a kitchen on site. I cant afford to build one, and I'm getting one for nothing now.

I don't want to open a full blown bakery. I soley want to do occasion cakes. Weddings, birthdays, all occasions. That means no store front open to the public- kinda like Charm City Cakes. I want to only do custom made to order cakes because I dont have the desire to do have a variety of cakes, place them in a display, and hope they sell.

I haven't had any "paying" orders since the end of October. Before that, I was going strong. Partially because I haven't been actively seeking them because I'm been a lil burnt out and partially because well, who knows why...but my phone hasnt been ringing. There always seems to be an interest but BS walks, and money talks and it's been pretty silent.

Can this be beneficial? How do you market a custom cake shop opposed a bakery? Wont people expect a full fledged store front with items to go? Is it worth the $$ and the 6 month lease to take a chance on this? After all, it's only going to be a place with a consult room and a sign outside. Is that alone worth $300 /mo in hopes of drumming up some steady business? Worst case scenario is that I sign the lease and I fail and I'm paying for space I dont use, right?

If you can afford to spend $300 per month for the space,with or without business then why not?

Sounds like very reasonable rent.

$300 is a reasonable rent, but I see some possible questions/problems.

Second story means no passersby to look in.
Yes, most people would expect baked goods on display.
If it is only for consultations, there are cheaper ways.
You already have a custom cake business-just not shop

Also, it won't be just the $300, you might have heat/air conditioning/lights/garbage. And, you will have to furnish it.

You might find a way to make it work for you, but I am guessing you could find a better use for that money. Now, if there was kitchen, it would be a very different story.

If you tried it, make sure to have dummy cakes made up for display.

You may want a small fridge to house samples.

Is there a way you could use a room in your home for consultations.

Six months isn't that long if you give it a shot and it doesn't work you loose your money but you gave it a try.

How strong is your dream?

Technically, if you have the money you can do it. Personally, for that type of building and arrangement, I would save the money and use it for other marketing. That way too, you are not tied down to an office where you can't bake or leave if you want to get your name out there other ways. Look at all your options first. $300/month is a great deal, but you are losing a ton of free time to do the other parts of your business....

Just my opinion.

If I am understanding your situation correctly, you have a licensed kitchen that you are now using that belongs to someone else. They will not let you advertise your business. You are not paying for the use of the kitchen?Do your customers come to the kitchen to pick up their orders? How did they hear about you to start with? Possible thoughts. Could you talk to the owner and maybe work out a deal to pay them a little to be able to advertise? I cannot see spending money on a second floor room, just for consulting, besides it sounds like you may be tired of what you are doing, why would you want to get in deeper? Maybe you should look for another place that you could do what you want, and not be hampered by someone else's rules. It sounds like you may need to really look at your situation, and decide if you really want to continue on. There are certainly other ways to advertise that won't lock you in to a lease. Good Luck though on whatever you decide to do.

Let me hit on some of the questions here.

I can afford the rent. The space is actually $200, but I factored in an additional $100 for insurance, electricity, trash removal, etc.

I have three elaborately decorated dummies and a large window of which to display them in.

I can not have consults at my current location. There are no negotiations on this. I deliver my orders to the reception/ home of the order-ee. My orders come in via word of mouth. I had fliers and biz cards out where I was able to place them.

I'm not so much tired of what i am doing as much as I am tired of spending the $$ to be legal and not getting anywhere in my opinion. What I am spending the $$ on is the health inspection, the permit for the year, and the Saniserve class. Quite honestly, after al the $$ for ingredients and such I have spent this year, I'm out $$. Why do this for free?


What kind of cheap ways are there out there?
The local newspaper didnt work for me. There is a monthly town magazine that is publish but a small cube of a 2in X 2 in space for advertisting is $140/ mo. For an extra $60 a month, I figure, why not have a banner outside a buliding that will stay up month long on a busy strip?
What I have working for me is that there is no bakery in town. There are two grocery stores, a bistro that carries pastries, and a kolache place that has "decorated cakes" but it'a all traditional decorated with buttercream and such. My contribution would be fondant and whimsical and 3 D designs where the only place they can get them now is 45 mins away in Dallas and then their paying a mininum of $4 slice.

I'm really torn bwt what to do here.
It's Christmas morning and I'm more worried about this than celebrating the day.

MPC, you do what I want to do. Call me, place the order, and then come pick it up.

I'm not sure it would be benificial for you to rent a space for consults. This is a funny business to be in since its all word of mouth you might be better for you to invest the $$ into some internet bridal web sites and a listing in the yellow pages of your area. I have recieved several orders off the internet and pay a minimal fee to have my web site linked to them do you have a web site thats another way to recieve business, on my contracts I have a place where the brides lets me know where she has been refered by, lot from my site and from the bridal sites. The biggest and best thing you can do is to spend that money on a web site if you don't have one best advertisement you can have. Most Bridal sites are free but you can add the link for a website for a fee some even at no charge.

Then why not spend your $$$ on finding a small place where you could also have the commercial kitchen? Do you realize that now...you are running between your house, the kitchen, & customer doors. Adding an office to that might just run you crazy! If you could do everything out of one spot you will make your baking less hectic. JMHO.

Just noticed are you moving to a different area in 8mo to NC if so doesn't make sense if you are having to start over again.

Yeah. I have to agree that it might behoove you to look for space that allows you kitchen access and has a space available for consults as well.

Not knowing your city, that may be a stretch for you to accomplish. But in the end---it would certainly be better than running to three different places to get one thing done.

Not to mention the fact that in cake dollars, $300 in 30 days' time is HUGE. Huge.

Let us know how it works out, and what you decide.

Best of luck,
--Knox--

Network!!!! The brides go to all of the other vendors in your area. The photographer, the bridal shop, the venue, the caterer, etc., all send me brides. I send brides to them. Attend bridal shows. I go to 4 shows 2 times a year. Join the Chamber. Have a cake display at the bridal shop. Maybe you can meet clients there. I have a listing under bakery and wedding cakes in the yellow pages. You are the marketing department of you. Get excited about what you do. It takes a lot of $ and work to be legal. Be proud of what you do. I first started working with a caterer and did all of her cakes, then I grew so much I had to rent a space. That was 6 years ago, and I am remodeling the shop to add more space. The space you are looking at does not sound like what you need. A small store front, even with out a kitchen would be better. You need to be visable. Partner with another vendor. You have to get it rolling to make it work. It is so worth it!

building out a space to code that wasn't previously a restaurant/bakery is very expensive. I know of several successful cake designers that rent commercial kitchen space but also lease a "studio" space to do final decorations cakes cakes and have consultations. One of them being Marina Sousa of justcake.com. She rents kitchen time from a local church and have a studio where she hold consultations. I think if the rent is only $200 and you can afford it with or without the business I would go for it. That space will be great for hosting tasting parties once or twice a month or more frequently depending on your advertising needs.

what would you do with your business then?I think in only 8 months you would just be starting to see return on it.

emily

Wow, PastryChef!

Your info is great--thanks for that. Really informative!

--Knox--