If people keep begging you to make your famous cinnamon rolls for every potluck, you’re sitting on a goldmine. I’ve seen stay-at-home moms turn their cookie recipes into six-figure businesses, and retired teachers make bank selling pies to local cafes. Here’s how to do it right.
The Legal Stuff (Don’t Skip This)
Before you sell your first muffin, you need to know the rules. Every state has different “cottage food laws” – some let you sell almost anything from home, others are ridiculously strict.
What you need to check:
- Can you sell refrigerated items or just shelf-stable goods?
- Do you need a food handler’s certificate? (Often just a $15 online test)
- What labeling is required? (Allergen info is non-negotiable)
- Are there sales limits? (Some states cap at $20k/year)
Pro Tip: Your local health department website will have a FAQ page about this. Read it twice.
Real Example: Sarah in Texas thought she could sell her cheesecakes from home until she learned dairy products required a commercial kitchen. She pivoted to decorated sugar cookies instead and now clears $3k/month.
What Actually Sells (Spoiler: Not What You Think)
Forget fancy macarons unless you live in a wealthy area. Here’s what normal people actually buy regularly:
- “I forgot it’s bake sale day” cookies – $20/dozen saves frantic parents
- Birthday cake dupes – $50 for a homemade version of that $120 specialty bakery cake
- “Office meeting” bundles – Muffins + coffee cakes for $40 feeds 10 coworkers
- Nostalgia treats – Grandma’s peanut butter balls or old-school whoopie pies
Marketing Hack: Post “BTS” videos of you baking at 6AM – people eat up (pun intended) the homemade aesthetic.
Where to Sell Without Losing Your Shirt
Farmers markets take huge cuts. Instagram doesn’t. Here’s the real breakdown:
Best for beginners:
- Nextdoor app (seriously, retirees will order weekly)
- Local Facebook groups (“Just baked extra banana bread – who wants some?”)
- School pickup line (with admin approval)
When you’re ready to scale:
- Coffee shop consignment (they take 30%, but builds credibility)
- Corporate accounts (HR loves rewarding staff with cookies)
- Wedding/event planners (50% deposit required)
Jen’s Story: She started by leaving samples at her dentist’s office with a QR code to order. Now they buy 50 cookies every Friday for staff.
Pricing That Doesn’t Leave Money on the Table
Most home bakers charge HALF what they should. Here’s the math:
- Ingredients x 3 (your food cost should be 30% max)
- $20/hour for your time
- 15% for packaging/gas
Example:
Batch of 12 cookies:
$4 ingredients
$8 labor (24 minutes)
$2 overhead
= $14 minimum (not the $8 you were thinking)
Upsell Trick: Offer “bake club” subscriptions – 4 weeks of treats for 10% off. Guaranteed recurring revenue.
When to Turn Down an Order
Not all money is good money. Red flags:
- “Can you copy this trademarked character?” (Disney lawyers don’t play)
- “I need 200 cupcakes tomorrow” (unless you want to hate baking forever)
- “I’ll pay after the party” (spoiler: they won’t)
Smart Move: Keep a $100 emergency kit – extra boxes, labels, and a thermos of coffee for those “I forgot it’s teacher appreciation week” panics.
From Side Hustle to Real Business
The game changers:
- Holiday pre-orders – Thanksgiving pies sell out by October
- Signature item – Be “the empanada lady” or “that amazing sourdough guy”
- Local influencers – Give free boxes to micro-influencers with 5k followers
Final Tip: Your best marketing is a slightly imperfect but obviously homemade product. People want to taste the love, not see a factory-perfect cookie.