What would be more profitable, buying a bakery that already exists, or start from scratch?

Answer 1

If a great bakery with a heavy customer load is for sale--go with that--the money's already there! Just be sure that you, too, will be selling quality products. Good luck!

Answer 2

No way to tell from just those factors.

Success and profits will be much more tied to location than anything else, then of course a quality product.

You'll get a quicker start by buying a bakery, but if you start from scratch you'll get to set everything up your way from the start.

Whether or not a purchased bakery would be profitable would have much to do with it's cost as well.

Answer 3

I would think that buying a bakery that already exists would be more profitable because people in the area would already know it so that bakery would already have a client base. Unless the bakery wasn't doing well then maybe have a new name and a face lift might make the difference. I think it all depends on how the bakery was doing previously. Hope this helps

Answer 4

Buying A Bakery

Answer 5

It would cost a whole lot more to start a bakery from scratch. However I would question why the existing bakery is selling(poor sales?retirement?) It also depends on the condition and age of the existing equipment too.

Answer 6

Starting own business: Pros- everything is done your way. selling what you know/ want to sell. Cons- unestablished. Buying existing: Pros- possibly well known. don't have to worry about all the start up factors. Cons- you could potentially lose great customers if you change anything. you should keep the business the same as possible. Franchise: Pros- Well established, well known name, relatively no advertising on your part, everything if figured out for you (from where to buy to how much to charge). Cons- You can't have any say in how the business is run. Must have a lot of money to begin it. There are much more pros and cons for each but I didn't feel like listing them all. These are just some I could think of off the top of my head.

Answer 7

What you really need to research is why that bakery is being sold in the first place. They may have real problems in that location, or some new competition that's killing their business.
But if you are starting your own business, you need in-depth research on every level to see what will work, how to locate, advertise, etc. There might be no profit at all in anything, you never know.

Answer 8

Speaking from experience I would say buying an existing business assuming it is profitable would be the best route. Financing is generally a little easier plus your biggest factor (established customer base) is already in place. If starting from scratch you might consider franchising to increase name reconition and to have access to help in key areas like marketing, operations, and group buying power. I started one business from scratch and it took years to get to a competitive level. I bought one later on to increase my income and had a much easier time realizing a profit. Buy first, franchise second, and start from scratch as a last resort. You want to succeed, right?

Answer 9

I would think it would be more profitable buying a bakery that already exists, especially if it has a good reputation. That way, you can use the reputation first of all to your advantage. Secondly, you don't have the time invested in finding equipment, real estate, local licensing laws, etc. Time=money. Good luck.

Answer 10

Think about the one most important thing. Location, Location, Location...