Bagel shops are a fun business concept. Bagels, coffee and other treats in a cozy shop can attract a lot of customers, but do you really know how to start a bagel shop?
Luckily, with the right knowledge and the right resources, even if you have little experience, you can have a successful bagel shop. Learn how to start a bagel business here.
Were You Born to Lead?
While a passion for bagels and other breakfast foods is great, there is a lot more that goes into owning a business. First, you need to make sure that you have the right skills, experience and personality for the job.
Are you comfortable in a leader position? Have you owned a business before or helped manage one? Do you have any business education? Do you thrive under high stress situations and like dealing with people, both staff and customers, on a daily basis? Be honest with yourself about what kind of environment you thrive most in.
Create your business plan
Once you know that being a bagel shop owner is the right fit for you, then you need to come up with a solid business plan for your bagel business. When developing your business plan, make sure you include the following sections:
An Introduction that includes a description of the business in which you highlight the products and services you will provide, a description of the marketplace you will be operating, as well as any risks or challenges you anticipate.
There should also be a section where you lay out all the key management roles you will need in your bagel business. If you already know who will fill these roles, then include a little bio of each of them and/or a resume which highlights their experience related to the running of a business.
A marketing section is also important. Here is where you will lay out the competitive advantages your bagel business will have as well as give as much of a sense as possible of what your marketing and advertising strategies will be.
You should also include Pro Forma Financial Projections which basically means any income statements, cash flow statements that are relevant to the business as well as balance sheets that project what the financial performance of the business will be once it open. Always make sure your estimates are on the conservative side because you don’t know what kind of delays or obstacles you will face, especially that first year.
Even if you are funding this whole venture out of your own pocket, in your business plan you should still meticulous list all your startup costs including the money you will need to survive on until your bagel business starts turning a profit. Don’t forget to factor in a budget for marketing and advertising and leave yourself a little cushion for lean times or unexpected emergencies or repairs.
Know Your Target Audience
While you are putting together your bagel shop business plan, figure out your target market for a bagel shop. Bagels have become a popular breakfast staple so your customers will probably come from all walks of life.
You need to also consider your growth potential for opening a bagel shop. Luckily, customer cravings for bagels and other breakfast treats don’t show any signs of slowing down and it is easy to vary the menu and add additional breakfast and lunch items.
Become an LLC
For extra protection, you should consider forming a legal entity which protects you from being personally liable if your bagel business is ever sued.
Perfect the Art of Bagel Making
The heart and soul of your bagel business is of course is delicious bagels. It is important to not rush this part of the process. Make sure you have tested your recipes thoroughly before greenlighting your business. Also always be willing to experiment with new fun creations to keep your customers from getting bored with the just plain ole bagel.
Dot All Your I’s and Cross All Your T’s
Make sure you have filled out all legal and financial documents that are important to protecting your business. In addition, make sure you have all necessary licenses and permits to run your shop.
Location Is Important
The location of your shop is also very important. You want there to be good foot traffic and ample parking spaces. Work with an experienced realtor to find the prime location for your bagel shop.
Brand Power Is Everything
Establishing a strong brand is essential for any thriving business. Grow your brand through customer interaction as well as advertising and marketing. A well-designed website and a strong social media presence are also important too.
Another business option that you might not have considered before is to join the franchise. Instead of opening an original bagel shop that you have to create from scratch, join a bagel franchise like Shmagel’s Bagels and benefit from their brand power and support structure and experience in the business.
At Shmagel’s Bagels, their specialty is fresh bagel creations baked daily. Right now they have two locations in Ocean City, MD and are looking to expand. They have plenty of franchising opportunities and will work closely with you to make sure your locations are a success.
Here is what you can expect when you join the Shmagel’s Bagels’ family:
- An established, highly popular brand that will draw in the customers
- A proven business model that includes recipes for all their special Shmagel creations, including Bagelninis which are bagels flipped inside-out and pressed
- The ability to own multiple locations
- A low cost of entry that makes Shmagel’s Bagels one of the more affordable franchising opportunities out there
- A variety of fun and delicious bagel flavors including Apple Cinnamon, Asiago, Blueberry Chocolate Chip, Cinnamon Raisin, Egg, Everything,
- French Toast, Garlic, Jalapeño, Marble Onion, Poppy, Plain, Pumpernickel Rainbow, Rye, Sesame, Spinach Sun-Dried Tomato, Very Berry Wheat Bran w/ Outs and Whole Wheat
- Catering opportunities for parties, corporate functions, festivals and other types of events
At Shmagel’s Bagels, the bagels are baked fresh every morning. They also offer a variety of cream cheeses and other popular bagel toppings, shmuffins as well as some fun sandwich options like a Turkey Jack Melt bagelnini or a Bagel Grill Cheese. The menu offers enough variety to please all your customers, but is still manageable for you and your staff.
Want to learn more about Shmagel’s Bakery and how to start a bagel shop, give them a call today or visit their website.