How much does it cost to start a cupcake business?
Cupcake businesses are posting steady sales despite a sour economy. Interested in starting your own cupcake company? Here’s what it took to launch The Sweet Tooth Fairy Bake Shop, a brand new cupcake shop in Provo, Utah.
The Small Business:
The Sweet Tooth Fairy Bake Shop
1227 S. University Ave.
Provo, Utah
Est. Jan. 31, 2009
The Start-Up Costs:
Security deposit = $3,600
Construction = $25,000
Start-up inventory =$5,000
Oven = $8,000
Pots, pans, tables and racks = $8,000
Permits = $1,000
Total start-up costs = $50,600
The Monthly Expenses:
Staffing = $3,500
Rent and utilities = $3,000
Inventory = $1,500
Insurance = $100
Rough monthly expenses = $8,100
Number of $2.25 cupcakes she must sell a day to break even: 120
[For more information see: Starting a Cupcakery By the Numbers | Launching | Small Business | Mainstreet]
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Hi I’m thinking of starting my own cupcake business, but different from this equation. I want to start a Mobile cupcake business (you know, a cupcake truck) Could you help me figure out the start up cost for that business?
A complete start up formula, including expense worksheets and start-up calculators is available on our sister site about starting a cupcake business.