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If you love baking and have ever thought to yourself…
“Wouldn’t it be amazing if I could actually get paid to do this?”

You’re in the right place.

Because what if your cozy kitchen… the one that already smells like fresh bread and warm cookies… could become the foundation of a small, meaningful business?

One that fits into your life,
One that doesn’t require a storefront or commercial kitchen,
One that lets you earn income doing something you already love.

That’s exactly what a micro bakery is.

If you’re wondering how to start a micro bakery from home, this step-by-step guide will walk you through exactly what to do.

What Is a Micro Bakery?

A micro bakery is a small home bakery business that sells baked goods directly from a home kitchen. Most micro bakeries operate under cottage food laws and focus on a small, simple menu like bread or cookies. This makes starting a home bakery affordable, flexible, and accessible.

And in this guide, I’m going to walk you through exactly how I went from baking just for fun to running a successful home bakery, and how you can do the same, step by step.

No fancy equipment.
No years of experience.
No complicated business background required.

Whether you live in a suburban townhome, a farmhouse in the country, or an apartment in the city, a micro bakery can fit beautifully into your life.

Hi, I’m Jess, aka Micro Bakery Girl 👋

My name is Jessica Stewart, but most people know me as Micro Bakery Girl.

Jess Stewart (Micro Bakery Girl) in her home bakery

I’m the owner of The Little Loaf Micro Bakery, a cozy home bakery that started in Illinois and is now based in Scottsdale, Arizona. 

I specialize in homemade sourdough bread and chocolate chip cookies.

But what I really love?

Helping other women (and a few amazing guys too!) turn their love of baking into profitable home bakeries of their own.

Through my program, Micro Bakery School, I’ve helped thousands of students go from baking “just for fun” to selling out their bread and cookies, some in just a few short weeks.

And if you’re wondering whether this is really for you, let’s talk about that next.

Who This Guide Is For (And How to Know If You’re in the Right Place)

This guide is for you if:

  • Baking is your happy place, but turning it into income feels confusing or intimidating
  • Friends and family rave about your baking, but you secretly wonder… would people actually pay for this?
  • The legal side, pricing, and finding customers all feel overwhelming
  • You’re simply curious what’s possible with a home bakery

If you nodded along to even one of those, welcome 💛

By the end of this article, you’ll understand exactly how a micro bakery works, and you’ll have a clear, realistic roadmap to start selling homemade baked goods much faster than you think.

You’ll learn how to:

  • Sell homemade baked goods legally from your own kitchen
  • Price your products so you’re actually making money
  • Find loyal customers who come back week after week
  • Build a bakery that fits into real life (kids, jobs, busy schedules and all)

And I’ll walk you through the exact 5-step process I used to start my own home bakery.

My Micro Bakery Story (And How This All Began)

Before we dive into the steps, I want you to imagine something with me.

It’s a sunny Saturday morning.
Your kitchen smells like fresh bread and warm cookies.
Your favorite music is playing while you finish up the last batch.

Then your first customers arrive.

Neighbors. Friends. Familiar faces.

They’re smiling, excited, ready to take home something you made with your own two hands.

And the best part?

You’re getting paid for it.

That dream used to feel impossible to me too.

A few years ago, I was working a traditional job as a graphic designer. It was a good job, but after years glued to a screen, something felt off.

I craved work I could touch.
Something creative.
Something meaningful.

Then one day, I stumbled across women on Instagram running micro bakeries out of their home kitchens.

I remember running into the other room yelling to my husband:
“Babe! This is it. This is what I want to do.”

But I had no idea where to start.

I didn’t know the laws.
I didn’t know what to sell.
I didn’t know how to price anything.

At that point, I was desperately trying to figure out how to start a micro bakery without getting overwhelmed or doing something wrong.

So I did what most people do, I Googled “how to start a home bakery”… and instantly felt overwhelmed.

Outdated advice.
Conflicting rules.
Missing steps.

So I figured it out the hard way, through trial, error, and plenty of mistakes.

Eventually, I launched my micro bakery and invited everyone I could think of to my grand opening. 

Over 50 people showed up, and I sold out in a single afternoon, making over $500 my very first day.

That’s when I knew:

This wasn’t just a hobby.
This was something real.

Why Micro Bakeries Are Thriving Right Now

There has never been a better time to start a home bakery.

People are done with ultra-processed, preservative-filled grocery store bread.

They want:

  • Fresh
  • Homemade
  • Real ingredients
  • Food made by someone they trust

But here’s the problem…

You can’t buy real home-baked goods at the grocery store.

And most people don’t have the time (or patience) to bake themselves.

That gap in the market?

That’s where micro bakers come in.

You don’t need:

  • A storefront
  • Employees
  • Expensive equipment

You just need:

  • Your home oven
  • A few simple ingredients
  • A clear system

And yes, even simple recipes can become bestsellers.

Is It Legal to Sell Baked Goods From Home?

This is the question I get asked most.

And the answer is:

Yes, home bakeries are legal in the United States.

They’re regulated under something called Cottage Food Laws, which exist in every state (though the details vary).

In most states, these laws cover four main things:

1. What Can You Sell from a Home Bakery?

Typically allowed:

  • Bread
  • Cookies
  • Brownies
  • Muffins
  • Shelf-stable baked goods

2. How Much You Can Sell

Some states cap annual sales.
Some have no limit at all.

And many bakers supplement income with non-food items like recipe books or baking kits.

3. Where Can You Sell Home-Baked Goods?

Most states allow:

  • Direct sales from home
  • Farmers markets
  • Online sales within your state

4. Home Bakery Labeling Requirements

Usually includes:

  • Ingredients list
  • Business name
  • “Made in a home kitchen” disclaimer

Approval can take a few weeks, but while you wait, you can build your brand, perfect recipes, and order packaging so there’s no wasted time.

Forrager is a wonderful resource that compiles cottage food laws for all 50 U.S. states.

How to Start a Micro Bakery (5-Step Micro Bakery Blueprint)

Now let’s break down how to start a micro bakery, step by step, in a way that actually fits real life.

Step 1: Choose Your Home Bakery Selling Setup

You don’t need a storefront.

Instead, most micro bakers choose one (or more) of these:

Option 1: A Bread Stand
A cozy stand outside your home, like a mini farmer’s market.

Option 2: Pre-Order Pick-Up or Delivery
Customers order in advance. You bake on your schedule. This is what I do from an apartment.

Option 3: Farmers Markets
More foot traffic, a little more setup, but great visibility.

There’s no wrong choice, and you can change later.

Step 2: Create a Simple, Profitable Micro Bakery Menu

More options ≠ more profit.

The most successful micro bakeries start with 1–3 products.

My 3 golden rules:

  1. Keep it small and focused
  2. Choose familiar crowd-pleasers
  3. Make sure it’s easy and profitable to bake

Think:

  • Sourdough
  • Chocolate chip cookies
  • Brownies

Simple sells.

Step 3: Price Your Home Bakery for Profit

Pricing feels awkward at first, I get it.

But here’s the truth:

People happily pay premium prices for homemade goods.

Example:

  • $2 to make a loaf of sourdough
  • Sell for $15
  • $13 profit per loaf

A simple pricing formula:
Cost × 4–5 = Retail Price

This keeps pricing fair and profitable.

Step 4: Use Pre-Orders to Simplify Your Home Bakery

Pre-orders change everything.

You only bake what’s already sold.

No waste.
No guessing.
No stress.

Most micro bakers bake a few days per week and sell one day per week, fitting easily into real life.

Step 5: Get Your First Home Bakery Customers

Your first customers are already in your life.

Start with:

  • Friends
  • Family
  • Neighbors

Then expand to:

  • Baristas
  • Hair stylists
  • Coworkers
  • Community groups

A simple message works wonders.

And once people taste your baking?

They come back.
They tell friends.
Your bakery grows naturally.

Ready to Start Your Own Micro Bakery?

If reading this stirred something in you… that little “maybe I could actually do this” feeling, I want you to know something:

You’re not crazy.
And you don’t need to figure this out on your own.

I created a free Micro Bakery Masterclass to walk you through how to start a micro bakery, step-by-step, and in much more detail.

Inside the masterclass, I’ll show you:
✨ Exactly how to legally start a micro bakery from your home
✨ The simple setup that makes baking fit into real life
✨ What to sell, how to price it, and how to sell out consistently
✨ And how real women just like you turned baking into income

No pressure.
No fluff.
Just a clear, cozy roadmap to help you decide if a micro bakery is right for you.

👉 Click here to save your spot in the free Micro Bakery Masterclass.

I can’t wait to welcome you in, and help you take that first (or next) step toward building something beautiful from your own kitchen 💛

With love,
Jess ♡
Micro Bakery Girl