- Photo of Christmas Holiday Cookies - Photo by Dano/Creative Commons
According to statistics compiled by AIB International, the top ten cookie brands reported sales of approximately $4 trillion dollars as of the end of the third quarter 2009. Some of the top business ideas for selling cookies are those with nutrient label claims of being gluten-free, vegan, organic, trans-fat free, whole-grain, sugar-free, all-natural, and cholesterol-free.
Obtaining Required Business Licenses and Permits
Obtain necessary business licenses for running a company in the state of operations. Because the cookies will be sold to the general public, the same business administrative requirements and food safety regulations that govern brick-and-mortar shops will typically apply even though it is home-based and starts off as a small production. It is a good idea to consult a local professional to learn all of the licensing and permit requirements for operating a food production company in the state of operations.
Drafting a Business Plan for the Custom Cookie Business
Draft a business plan. Start up business plan basics include a general description of the business and the business goals; the targeted market and an assessment of demand for the product or service; and start up financial requirements and available start up resources. The U.S. Small Business Administration (SBA) provides business plan resources that include business plan drafting tools.
Setting up the Home Kitchen and Cookie Delivery Prep Areas
Set up the kitchen for baking large quantities of cookies. Start out with a standard household stove, but as production grows consider investing in a commercial stove. An initial investment will need to be made in cookie ingredients, baking pans, mixing bowls, and other baking utensils.
Keeping in mind all of the food safety requirements applicable to the home-based business in the state of operation, designate and prepare an area for assembling cookie baskets and packaging cookies for deliveries to individuals and local shops. Maintain an inventory of baskets for custom cookies order, e.g., holidays, birthdays, etc. Also, developed packaging may include printing and stocking custom sticker labels and plastic protective packaging.
Developing a Tasty and Healthy Cookie Recipe
Perfect the cookie recipe. A rock solid recipe is required because loyal customers will seek the same cookie taste that they come to enjoy from your home bakery. If developing a new recipe, enlist family and friends to become tasters and to provide feedback on flavor and appearance. The website CookieBakingTips.com provides 10 helpful and simple baking tips for developing a good cookie recipe.
Also, tap into the trend of healthy eating by including cookie recipes tailored to the health conscious. This includes vegan cookies and gluten-free cookies. To include health claims on packaged cookies a nutritional analysis must be conducted that is compliant with Food and Drug Administration's (FDA) requirements on making such claims on food items.
Product Marketing and Selling for Homemade Cookies
Give some of the cookies away. If people never try the cookies they will never know how they taste. The lure of the sample is one of the strongest marketing tools for a good product. It is said that when Debbi Fields first opened Mrs. Fields Chocolate Chippery in 1977 store traffic was so slow on opening day that she had not sold one cookie by 3:00 p.m. Gathering a tray or cookies, she started giving them away down the street and by the end of the day she had made her first $75 by convincing customers to come back to her shop for more. By 1980 she had 15 stores.
Market and advertise the business in the local community. Create fliers, post notices on community boards and in local newspapers. Participate in school and church bake sells to get the word out about the new cookie business. Offer excellent customer service and listen to customer preferences. Remember birthdays, anniversaries, and other important dates that are "cookies gift-basket moments." This will be of vital importance to growing the home-based business outside a circle of family and friends.
General Disclaimer: This article is for informational purposes only and should not be used as a substitute for legal or tax advice.
Vanessa Cross - Vanessa Cross is a freelance writer who specializes in small business, international trade and legal issues.
