How Much Does It Cost To Start A Cake Business? (In 2024)

Pat Walls

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Updated: January 18th, 2023

Start A Cake Business

Please note that the data provided in this article are estimates and may vary depending on various factors, and should not be considered as perfect or definitive.

The cost of opening a a cake business can vary based on several factors. However for a a cake business you can expect to spend $12 to $27,209 with an average cost of $13,936.

The minimum startup costs for a cake business: $12
The maximum startup costs for a cake business: $27,209
The average startup costs for a cake business: $13,936

Here's a detailed list of a cake business startup costs:

Learn more about starting a cake business:

Where to start?

-> Pros and cons of a cake business

Need inspiration?

-> Other cake business success stories
-> Examples of established cake business
-> Marketing ideas for a cake business
-> Cake business slogans
-> Cake business names
-> Cake business Instagram bios
-> Cake business Instagram captions

Other resources

-> Blog post ideas for a cake business

Software Expenses

Your cake business needs software to run efficiently!

Why spend money on software? Because it can help you save time and automate certain parts of the business, so you can focus on the most important matters. Software and technology can help you grow your business, and save you from expensive personnel costs.

Cost	Required?	Min Cost	Max Cost
File Hosting Service	Recommended	$0	$299
Email marketing tool	Recommended	$0	$100
Accounting & Invoicing Software	Recommended	$0	$50
Project Management Software	Recommended	$0	$25
Internal Communication Tool	Recommended	$0	$20
Design Programs & Software	Optional	$0	$50
IT Support ➜	Optional	$150	$2,000
Social Media Management Tools	Optional	$0	$50
Payroll Software	Optional	$0	$200

Office Space Expenses

It will be your call to determine if you need office space. It is not a requirement but may be necessary as your cake business grows.

Cost	Required?	Min Cost	Max Cost
Rent ➜	Optional	$0	$5,750
Utility Costs For Office Space ➜	Optional	$0	$1,150
WiFi & Internet ➜	Optional	$0	$100

Inventory Expenses

If you sell a physical good, you'll likely have to start with some inventory.

Cost	Required?	Min Cost	Max Cost
Upfront Costs For Inventory	Optional	$300	$5,000
Inventory Storage	Optional	$0	$5,000
Package Design ➜	Optional	$50	$3,000
Shrinkage	Optional	$0	$1,000
Distribution costs	Optional	$0	$750

Website Costs

Every business should have a website, and it's worth spending a bit of money to set it up right.

Cost	Required?	Min Cost	Max Cost
Domain Name ➜	Required	$12	$200
Business Email Hosting Service ➜	Recommended	$1	$15

Advertising & Marketing Costs

Cost	Required?	Min Cost	Max Cost
Customer Research & Surveys	Optional	$0	$300
Affiliate Marketing Commission & Fees	Optional	$0	$250
Influencer Marketing	Optional	$0	$750
Press	Optional	$0	$500
Google Ads	Optional	$0	$300
Facebook & Instagram Ads	Optional	$0	$350

Part of

Starting A Cake Business: Everything You Need To Know

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