The first year in business: Lessons learned from our startup journey.
Starting a business is an exhilarating journey, filled with highs and inevitable lows. As we reflect on our first year (we’re now in year FOUR!), we want to share the unfiltered truth about the mistakes we made and the invaluable lessons they taught us.
1. Finding the Right Manufacturer
The first hurdle was finding a reliable manufacturer, and it wasn't as straightforward as anticipated. Initial shipments brought damaged products and financial setbacks. Lesson learned: Connecting with contacts in Asia, we secured a trustworthy set of manufacturers, implemented damage control processes, and enlisted local support.
You cannot assume anything goes to plan, so take your time and prepare for all scenarios as they come along. You won’t know them all at first but you’ll soon learn!
2. External Packaging Matters
Underestimating the significance of external packaging led to numerous damaged items during shipping. Here, we tested various packing methods and went for more than we probably need only because we want to make sure items get to you safely without any damage from all sorts of knocks, bumps, and throws along the way!
3. Navigating Stock Demands
Predicting product demand accurately proved challenging. Misjudgments meant we would be out of stock a lot and also costly measures like air freighting during Covid disruptions to try and quickly recover were definitely not ideal fixes. Over time, we refined our understanding, improved stock management, and leveraged better market data for a smoother supply chain.
Lessons as Building Blocks
These mistakes were essential building blocks, shaping us into a more resilient business. Each challenge taught us something valuable, contributing to our growth. Looking back, these early missteps are stepping stones toward improvement.
Yet, we're still making mistakes, and each one guides us to rethink, pivot, and try something different. With no large team, much of it involves thinking on our feet. After all, we haven't reached a six-figure revenue business without those mistakes.
For Those Considering a 2024 Business
If you're contemplating starting a business in 2024, be prepared to make a lot of mistakes. Don't take them personally; instead, view them as opportunities to learn and build a better, more resilient business.
You will make mistakes. You will fail at somethings. You need to be more patient. Understand this and you’ll get over most of your hurdles with ease.
Embrace the journey, and remember, the path to success is often paved with lessons learned.
The Number 1 Time Drain in My Baking Business and How I Turned It Around
Running a successful baking business comes with its unique set of challenges, and one significant hurdle is the time-consuming process of pricing up cakes and managing customer quotations. However, with the right tools and technology you can streamline this aspect of your business. Here are three strategies I implemented to regain control of my time and enhance efficiency.
1. A Smart Pricing System
Implementing a Smart Pricing System was a game-changer. Crafting a well-designed formula that incorporates all relevant data, including ingredients, labour, and overhead costs, is crucial. Tools Google Sheets are invaluable in creating a comprehensive calculation. It’s an eye-opener when you realise all the costs that go into making the cake vs. what you charge for it! And if you're stuck, why not leverage the power of AI chatbots like ChatGPT for personalised and efficient calculations? You can even ask them to make the spreadsheet for you!
Key point: Knowing how much it costs YOU to make a cake helps you understand what you need to change when you factor in your hourly rate.
2, Letting Automation Help:
The quoting process, often bogged down by back-and-forth communication, received a significant boost through automation. Utilising auto messengers in Facebook or Instagram chats, emails, or even chatbots on my website, meant I could efficiently handle common inquiries. Implementing a well-structured questionnaire not only accelerated the quoting process but also added a professional touch to customer interactions. Linking to an online survey creator or Google form can further streamline the gathering of essential information.
Key point: Stop typing the same messages over and over again. Get your auto-responder to ask the common questions you need answering up front!
3,Setting Clear Expectations:
To filter inquiries and set the stage for serious customers, I focused on setting clear expectations. This included establishing a minimum order price. Displaying upfront pricing on my website proved to be a powerful strategy, cutting through initial inquiries and allowing me to concentrate on clients genuinely interested in my services.
Key point: Having the pricing on a website, instagram highlight, or facebook page saved hours of wasted time. So many conversations would just stop once we discussed price. Having that information readily available automatically filters out those who don’t want to pay that.
For more insights and tips on leveraging technology in your baking business, be sure to check out our ebook, 'How to Leverage Tech in your Cake Business in 2024’
Canva for Cake Makers - making life easier for graphics and illustrations
Take control of designing graphics and illustrations the easy way with Canva! This incredible platform has been around a while but has grown to be the best platform out there giving YOU the power to take your creative skills as a cake maker and apply them to other designs.
Canva’s user-friendly interface is a dream come true for the non technical out there. The drag-and-drop functionality makes it a breeze to create professional-grade designs, with no prior experience needed.
The beauty of Canva lies in its accessibility. With a free tier that packs a punch and a pro version that won’t drain your wallet, it’s a cost-effective solution for all your design needs. Canva Pro comes at a competitive price, offering an array of advanced features that provide bang for your buck.
Canva’s extensive template library is a time-saver! Just search for what you want to create and see hundreds of templates that you can choose and modify to your own liking. With plenty of text, graphics, and illustrations to add, it’s easy to create something in just a few minutes. Think of the possibilities! Here are some ideas for you:
1. Logo Creation: Crafting a memorable logo is a breeze with Canva's logo maker.
2. Business Cards: Design and print business cards that help you stand out in a crowd.
3. Social Media Graphics: Create engaging posts and banners for your social media channels.
4. Flyers and Brochures: Whether it's for a local fair or a trade expo, design eye-catching flyers and brochures.
5. Menus: Launching a bakery or cafe? Create up a stylish menu in no time.
6. Presentations: Create professional presentations for pitching to clients or businesses you want to collaborate with.
7. Website Graphics: Enhance your website's appeal with custom graphics and illustrations.
8. Event Invitations: Design beautiful digital or printable invitations for your business events.
9. Product Portfolio: Showcase your portfolio in a well-designed catalogue to entice customers.
10. Email Marketing Templates: Design attractive email templates for your marketing campaigns, helping to boost engagement and conversions.
Think of the money you could save hiring designers to do all this when you can do it yourself. Canva is so good, it’s quite possible some designers out there will be using it themselves!
Canva let’s you even add your existing logo and brand colours to apply to any artwork. This helps keep your creations consistent with your brand allowing you to create work that’s still perfectly aligned to your branding.
In conclusion, Canva is not just a design tool; it’s a gateway to unbounded creativity and professional branding for any cake maker. The savings in time and money, coupled with the ease of use, make Canva an indispensable asset for modern entrepreneurs. Ready to take your designs to the next level? Check out Canva and explore the endless possibilities, starting with their free plan.
Are you struggling to run your cake business, as a business?
Do you feel like you work all the time and you take home very little profit?
Are you struggling with all the non baking jobs in your cake business? Admin, finances, marketing.
Do you want to learn new skills but you just don't have the time or you don't even know where to start?
Our new ebook collection will help you gain back your TIME, increase your PROFITS, and teach you NEW SKILLS to run your cake business. We've listened to loads of our customers. Spoken to dozens of international guests on our podcast who are very successful bakers. We've taken all this information and put it into a collection of books for you to learn.
But why would you listen to us? We've ran a cake business. We run our own internationally-based packaging business. We both have careers in technology spanning two decades. We wanted to take this knowledge and give it to you so that you can do MORE with your business. There seems to be themes that stick when we talk to bakers.
Pricing
Non baking tasks
Admin
Howw to market
Where to learn how to do finances.
It really comes down to doing too much and getting very little gain. So why don't you start with our FREE ebook, Five ways to grow your cake business 2024. It's available right now on our shop page. Just enter your details and order without a credit card. All these eBooks are available to anyone worldwide!