Start a Micro Bakery

Bakery Money and Pricing Worksheet

Companion to the lesson "The Honest Money"

Track every ingredient to the gram and every sale to the dollar from week one, so pricing decisions rest on your data instead of vibes.

1. Ingredient Cost per Gram (bulk price ÷ grams)

IngredientPackage sizePackage priceGramsCost per gram
Bread flour (reference)50 lb$25–$30 at restaurant supply22,680~$0.0011–$0.0013

2. Per-Recipe Cost Build (grams × cost per gram, packaging included)

ProductIngredients (cost)Packaging (cost)Total cost per unit

Reference: operators who buy conventionally land at about $1.50–$2.00 of ingredients plus packaging per loaf (one course creator's tracker puts it at about $1.28). Your number will differ; the order of magnitude is the point.

3. Price-Setting Grid and Margin Check

ProductCostCandidate priceIngredient marginLaunched at
Worked: plain loaf$2.00$10.0080%

Market reference: $8–$14 for a plain loaf direct to consumers, most operators at $10–$12, inclusion loaves higher. The 80% margin on the worked row is an ingredient margin, not an income statement: it excludes labor, oven electricity, fees, insurance, and the loaves that come out wrong. Raise your price before you lower it; operators report demand at $11 vs $10 is barely distinguishable.

4. Effective-Hourly-Wage Calculator (per bake day)

LineBake day 1Bake day 2
Units sold
Revenue
Ingredient + packaging cost
Hours in the day (mixing through cleanup, include the waiting you cannot leave)
Effective hourly = (revenue − cost) ÷ hours

The honest starting wage: a cottage-bakery analysis found bakers doing small four-loaf batches earning an effective $3–$7 an hour once time is counted. The number climbs with batch size, and batch size is a function of demand you build over months.

5. Monthly Sales and Expense Log

MonthUnits soldRevenueIngredientsPackagingFees / insurance / otherNet

Reality bands from the course's sourced rows: side-hustle home bakers $500–$2,000 a month; full-time operations $3,000–$6,000. Legal caps to know before year two: most states have none; Washington $35,000, Michigan $50,000, Florida $250,000. Brushing a cap is a signal to graduate into a licensed kitchen.