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A bread bakery business is one of the businesses you may consider to start. Bread is one of the most popular products that found on the urban market. It is among the fast-moving consumer goods, goods which quickly and easily sell. This highlights some of the important things to consider when starting a bread bakery business in Malawi or Africa. Starting a large bread bakery is capital-intensive. However, starting a small bakery which would grow to a larger one is less costly.
Requirements for a Bread Bakery Business
To start a successful bread bakery here are some of the basic requirements.
Registration of the Business
A bakery business like any other business should be formally registered. Registering a business has multiple benefits. Registration allows the business owner to transact not only to individual customers but also with institutions. It also allows the government to be aware of what business is taking place in the country.
Write a Simple Business Plan
A business plan for a bread bakery business is the road map to the success of the business. It helps business people to reflect and visualize the steps through which the business will go through. A good plan highlights main activities that will take place in the course of running a business. With a detailed business plan it is easy to predict the challenges the business may go through and how such challenges will be resolved.
Choose Good Location
Running a successful bread bakery business in Malawi involves a lot of things one of which is place. More than anything else the success of a bakery business depends on the place where the business is situated. Most bread consumers are in urban areas. It is crucial to find the business closer to the potential buyers. Among other qualities a good place for bakery business should have reliable source of quality water and electricity for energy.
Procurement of equipment and ingredients requires a solid capital. Regardless of how small the business is,i reuqires enough working capital for the business. Especially, when the business is just starting working capital is useful to carter for all expenses. The exact amount of capital required to start a bakeryvaries since there are several factors to consider, but it can certainly be said that the business owner is responsible to source the capital for the business.
Get Training to become Professional Baker
People who have experience in bakery business do not need training. However, for the rest of us if we’re to start such kind of business then we have to consider in learning the basics of baking. Having the right knowledge and skill on bread baking is a necessity. Some people learning from experienced bakers or by taking some bread baking course.
Bakery Equipment and Utensils
- Mixing Machine – A mixer is the machine which combines all the ingredients together.
- Oven – This is necessary equipment in making bread. The oven is the source of heat energy for baking.
- Bread pans/molds – The pans gives bread the shape and size. Always buy pans which meet your specifications.
- Back-up power source With the persistent loss and long load shedding periods it is important to consider having an alternate power source. Generators are a common alternative source of energy during black outs.
- Slicing machine –For making bread slices
- Working table –A strong working table is required
Advantages of starting a Bread Bakery Business
- People easily adapt to bakery products. It is easy to find customers for quality bread.
- Starting a small bakery business is less costly. Some of the materials required to start a home bakery can be found in the home kitchen.
- The other advantage is that a bakery business has the potential to grow into a bigger business.
Challenges of Running a Bread Bakery Business
- Price fluctuations.
The price of raw materials especially imported materials keep on changing due to the floating currency. This is a big challenge because of sensitivity of pricing in the bread industry. Sometimes even when the cost of raw materials rises up the price of bread is usually maintained. This may result into loses if not handled properly.
- Perishable Nurture of bread
People enjoy fresh bread. Bread has a short shelf life meaning that bread rots quickly. As such good storage facilities are to be in place at the bakery.
- Theft – Workers may sometimes be the culprits of stealing from the business.
Bread bakery business is one of the small business ideas to start in Malawi. See the list of 20 Business Ideas to Start in Malawi here.