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CreativeEasy£500–£2kFirst sale: Weeks

Cake Maker

Custom celebration cakes ordered via Instagram

Custom celebration cakes ordered via Instagram.

The 'Cake Maker' business focuses on custom celebration cakes ordered primarily via Instagram, tapping into the growing trend of bespoke, visually appealing cake designs for special occasions such as birthdays, weddings, and corporate events. Each cake is personalised based on customer specifications, making use of high-quality ingredients and creative design techniques that cater to various dietary requirements, including vegan and gluten-free options. Customers can order cakes through an easy-to-navigate Instagram page where they can view a portfolio of previous work, engage with the business directly, and place orders seamlessly.

Launching this business now capitalises on the resurgence of in-person celebrations post-pandemic, as individuals are eager to celebrate milestones with friends and family once again. Social media platforms, especially Instagram, are pivotal for promoting visually impressive products like cakes, with a highly engaged audience eager to explore new trends. This business also allows for flexibility; tailored cakes can range in price from affordable to premium, ensuring it caters to a broad audience, boosting its appeal.

As part of the service, the Cake Maker will also offer consultation sessions, either virtually or in person, where customers can discuss their ideas, themes, and flavours, ensuring that each cake reflects their unique vision. Utilising Instagram's features like stories and reels for behind-the-scenes baking processes or customer testimonials can increase engagement and build a loyal customer base. Excellent customer service, timely delivery, and beautifully presented cakes will be the keys to creating a memorable experience that keeps customers returning and recommending the service to others.

With the evolving landscape of e-commerce, this cake-making business can quickly scale by incorporating additional services like cupcake towers, dessert tables, or themed cookie favour bags. Incorporating seasonal designs or collaborative projects with local businesses can also enhance market reach and visibility. Furthermore, establishing strategic partnerships with event planners and venues will create additional revenue streams through referrals.

Skills you'll need
  • Baking
  • Design
Monetisation

£40–£500 per cake

Why now

Increased demand for custom celebration items as people seek to mark occasions with personal touches. A strong social media presence drives engagement and allows for visually appealing marketing. The flexibility of offering various dietary options caters to health-conscious consumers. Post-pandemic, social gatherings are back in trend, boosting the need for cakes for celebrations. Lower barriers to entry thanks to social-commerce options like Instagram for order management.

Who pays you

Primary: Individuals aged 25-45 planning celebrations such as birthdays, weddings, and events.. Secondary: Event planners and companies arranging corporate events.. Demographics: Primarily urban dwellers, with an interest in custom, handmade products, likely to spend between £50-£150 on cakes.

UK market

UK's cake market is projected to grow as the trend of personalised experiences and products gains momentum. There's a steady demand for artisanal and custom cakes which reflects an overall growth in the baking sector. Health and dietary considerations are also influencing consumer preferences, with more people seeking vegan and gluten-free cake options.

Revenue & pricing

  • Custom 2-tier birthday cake
    £120
    Serves 20-25, includes basic decoration.
  • Gluten-free wedding cake (3 tiers)
    £350
    Personal consultation included, tailored design.
  • Vegan cupcake tower (50 cupcakes)
    £200
    Mix of flavours available.
  • Basic single 8-inch cake
    £50
    Simple design, serves 8-10.

Costs

Startup costs
  • Oven£199
  • Cooking equipment (molds, pans, etc.)£150
  • Initial stock of ingredients£100
  • Packaging materials£50
  • Marketing (social media ads)£100
  • Business insurance£200
  • Website domain and hosting£60

First steps

  1. 1Build IG portfolio
  2. 2Get insured + registered
  3. 3Take deposits

Your first 90 days

First 30 days
  • Set up Instagram account and establish branding.
  • Post initial portfolio of cake designs to attract followers.
  • Create a simple website with order forms and contact information.
  • Initiate a small-scale social media advertising campaign.
  • Secure necessary business insurance and register with HMRC.
  • Engage with local community for potential collaborations or partnerships.
30–90 day milestones
  • Launch the business officially and start taking orders.
  • Attend local food markets to showcase products.
  • Collect feedback from initial customers to improve offerings.
  • Begin tracking financials using accounting software like Xero.
  • Implement a customer loyalty programme to encourage repeat business.
  • Explore partnerships with local businesses and event planners.

How to get customers

Instagram

Posting visually appealing cake photos and engaging stories.

ROI: High, with engagement leading to orders.

Local Markets

Showcasing products in person to gain local exposure.

ROI: Medium, with immediate sales and future orders.

Word of Mouth

Focusing on customer service to encourage referrals.

ROI: High, as satisfied customers share.

Email Marketing

Building a mailing list for promotions and updates.

ROI: Medium, as you nurture leads.

Tools you'll actually use

Tools and estimated costs for starting Cake Maker
ToolCostWhy
Tide Business AccountFree with no monthly fees.Managing finances and expenses.
Xero Accounting SoftwareStarting at £10/month.Tracking income and expenses.
CanvaFree or £10/month for premium.Creating branded graphics for social media.
InstagramFree, with optional ad spend.Primary platform for marketing and customer interaction.
StripeFree to set up, with transaction fees.Payment processing for online orders.

Common mistakes to avoid

  • Not clearly defining target market, leading to ineffective marketing.
  • Overextending product range without sufficient demand analysis.
  • Neglecting financial tracking, resulting in cash flow issues.
  • Inadequate pricing strategy that doesn’t cover costs.
  • Underestimating the importance of customer service in retaining clients.

How to scale this

  1. 1Grow Instagram following and engagement through regular content.
  2. 2Introduce new product lines based on customer feedback and trends.
  3. 3Hire additional staff for baking and design as demand increases.
  4. 4Consider setting up a dedicated online shop through Shopify for streamlined orders.

Risks & mitigations

Risk

Sourcing quality ingredients may become more expensive.

Mitigation

Build relationships with multiple suppliers to ensure competitive pricing.

Risk

Potential fluctuations in demand.

Mitigation

Diversify offerings and launch seasonal promotions.

Risk

Logistics issues with deliveries.

Mitigation

Establish reliable delivery partnerships or invest in a delivery service.

Risk

Legal compliance, including food safety regulations.

Mitigation

Stay updated on UK food safety laws and attend relevant training.

UK legal & compliance

  • Register your business with HMRC and keep accurate financial records.
  • Obtain public liability insurance to protect against claims.
  • Ensure compliance with food safety standards and relevant hygiene regulations.
  • Maintain GDPR compliance when collecting customer data for marketing.
  • If hiring, be aware of your responsibilities as an employer, including PAYE registration.

FAQ

How long does it take to get a custom cake?

Typically, a minimum of 1-2 weeks notice is required for custom orders.

Do you offer vegan or gluten-free options?

Yes, we provide tailored options to accommodate dietary needs.

How can I place an order?

Orders can be placed directly through our Instagram page via direct message.

What type of payments do you accept?

We accept all major credit/debit cards through Stripe.

Where do you deliver?

Currently, we offer delivery within 20 miles of our base location.

Written and maintained by

Business Pathfinder Editorial Team

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The Business Pathfinder Editorial Team researches and maintains practical guides for UK founders.

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Guides are reviewed against relevant primary sources where practical. Financial, legal and tax content is general information, not personal advice.

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Business Banking

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