How To Start A Cupcake Business

How to Start a Cupcake Business

How to start a cupcake business is easily answered with this Steps to Start free guide made just for starting a cupcake business.  Including marketing, cupcake business templates, and more.

In this guide, I’ll tell you:

  • Profile of your cupcake business customer
  • Home or Rent for your cupcake business
  • Setting up your Brand
  • Setting up shop online (so you can take pre-orders & start from home)
  • Marketing your cupcake business locally, and dirt cheap
  • Legal Matters

You can also download a PDF copy of this guide here.

1. Profile the Cupcake Customer

Whenever I advise someone how to start a business, it always starts with profiling the customer.  So let’s profile the customer of a cupcake business first.

Who buys cupcakes (men or women)?

  • More women will likely be buying cupcakes.

Why might women buy cupcakes?

  • Babyshowers
  • Friends or Family Gatherings
  • Parties or other social events (birthdays, work, etc)

What is important to the customer when buying cupcakes?

  • Presentation or Image
  • Ease of Ordering (a customer planning an event is probably busy)
  • Good taste

2. Start the Cupcake Business from Home

It’s just my opinion to always start a business from home first.  If you’re going to fail, it will probably be within the first 6 months…don’t commit to rent until then.  Besides, there is nothing that can’t be done at home until your cupcake business really gets going.  Get a storefront after you’re generating revenue, it will give you more leverage to negotiate a rental lease.

  • If you do start from home, you’ll need an online shop showcasing your cupcakes, & allowing customers to pre-order online (we’ll go over this step in a second).
  • If you start your cupcake business with a storefront, you’ll probably have $5,000-$10,000 upfront costs in a rental lease, design, ovens, etc.

3. Set up your Cupcake Business Brand

Your cupcake customers are buying from you because they’re making an impression on someone; whether it’s a social gathering, a wedding, a babyshower…presentation is key; and customers will flock to the brand that portrays that.

Your brand includes:

  • A great name
  • An image
  • Values
  • A great logo that pulls all these together

Here is a good example of a cupcake business logo:

You can get cheap, on the fly logos for your cupcake business at some of these on-demand logo designers:

4. Set up an online store for your cupcake business

There are many benefits to setting up an online store for your cupcake business.  It really makes you different…how many other cupcake businesses have the convenience of ordering online?

Setting up an online store is now easier than ever.  Read our post “how to start an online store”.  I’ve also handpicked an html template for your cupcake business (it runs for about $15).  If you’re using an online store host like Shopify, it’s as easy as uploading it:

5.  How to Market your Cupcake Business for Cheap

Okay, now you have an at home cupcake business, logo (brand), and an online store.  You’re ready for orders, you got the cupcake mix ready to bake.  There’s only one thing stopping your cupcake business now…customers.

Start by arming yourself with business cards, and coupons for prospective customers (here is a 50% off coupon for PS Print).

Start by reaching customers for your cupcake business through other business owners:

  • Grab your phonebook and call wedding planners, caterers, anyone that might already be interacting with your customers.
  • Schedule an appointment with as many as you can (other business owners will become your best outlet for reaching customers until you establish a local presence).
  • Make a good presentation, show other vendors how much their customers will be happy.
  • Offer them a referral fee (this motivates them to hand out your coupons to their customers).
  • Give them coupons to give to their customers (include your web address for easy online ordering).

Now, marketing directly to customers for your cupcake business:

  • List your business on Google maps (this is free).
  • As other business owners begin marketing for you, you will be getting orders on your website.
  • If they order online, you now have their email address :) .  Excellent.

Email Marketing for your Cupcake Business:

What’s so important about email marketing for a cupcake business?

  • Email lists are repeat customers, they buy up to 75x more.
  • Email coupons to them, they’ll likely send them to friends who need them (more business!).

With other business owners helping you reach customers, gaining customer’s email addresses, and building a relationship with them…I can almost promise you’ll have a successful cupcake business.

Here is a great html email template for a cupcake business:

By the way, if you need help getting your cupcake business site up and running, or setting up the email newsletters, or even marketing…a really great (but small) company I know called New Buzz Marketing helps with this kind of stuff.  It’s run by Chantell, she’s really good with pricing, and pushes out some high quality stuff.  So you can focus on making those cupcakes! ;)