How much does it cost to start a cupcake business?
From Paula Spencer
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.
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
Interested in more information about the expenses related to starting your own cupcake business? Checkout our blog or order a copy of our Book (Start a Cupcake Business Today by Paula Spencer) If you are in the process of writing your cupcake business plan, we have an entire section on our site with articles and resources to help.
[Original inspiration for this article: Starting a Cupcakery By the Numbers | Launching | Small Business | Mainstreet]