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Tuesday, December 20, 2011
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Friday, December 9, 2011
Landlording 101, Tricks of The Trade
Looking Inside Your Tenants Mind
Basic Mind-Reading Report 101 for Landlords
It goes without saying but I will say it anyway. The better you understand your tenants and their personal situation, the better you can serve their needs and your own. Notice that your needs come after your tenants. Always put your tenants needs before your own and they will buy real estate for you in return. Thats a fair trade. Take it!
Many cold-hearted, self-serving, money-grudging, wanna-be landlords dont understand human nature. Let me tell you right now, if you cant put yourself in another persons shoes and see a problem from that persons perspective with empathy, you will fail miserably in the landlording business and in life. Wise up!
Fear not. If your not quite sure what Im talking about, here come the stories and details of how to be loved and adored by those kind people called tenants.
Let me first dispel the horror stories about landlording. If you follow my advice and teachings, you should have very few tales of woe to tell. Youve heard the stories and they sound like this: Those damn lowlife tenants. They trashed our house, they disturbed the neighbors, they ruined our lawn, they were filthy pigs who never paid the rent on time, they never did what we told them to do and it cost us a fortune to get rid of them and repair our investment once they finally did move.
Well, guess whose fault that is. Yep, it is completely and unequivocally the fault of the so-called person that is calling themselves a landlord. The real name for this type of so-called landlord is uneducated dummy and because of these lazy fools the whole industry gets a bad rap!
There is a plus side to the scenario above and that is this: It sets up a perfect opportunity for you to do the exact opposite of the fools and create for yourself an unlimited market supply of excellent trouble-free tenants for life!
Tenants, believe it or not, are human beings. They are not animals or things to be mistreated, abused or taken advantage of. If you will prepare your rentals as if your mother was going to be moving in, your mindset would be realigned in short order. In effect, you will start looking at it from a compassionate point of view. You will not cut corners. You wont let things go that need fixing. You will use more care, skill and diligence in preparing that dwelling for another decent human being to begin calling home. Thats what you want to achieve.
You want to provide a trouble-free, pleasurable, aesthetically pleasing, creature comfortable, needs fulfilling, safe, secure, affordable and convenient place to live. When you provide those things and screen the population, its like striking gold.
The process of getting good tenants begins in your mind. By that, I mean you have to educate yourself to be able to recognize value and acquire properties that are structurally sound, aesthetically pleasing, physically functional and provide safety, security, affordability, convenience and a feeling of pride in your tenants mind.
Sounds like a daunting task, doesnt it? Well its not. In fact it is so simple to achieve that once you understand the process you wont even have to think about it. It will come naturally to you. I promise you that this is true and I intend to prove it to you as well.
I absolutely guarantee that you can do it. So for now, just take my word for it as being a fact, because it is. Heres an example of using a motto to align your thought process in relation to all the things I just said. Repeat the following:
Landlords Creed
I vow never to rent to someone else, something that I myself would not be happy living in.
Mansions not included!
Now apply that to every prospective property that you evaluate as a potential rental property investment. Human nature is immutable. We all have basic needs, wants, desires and expectations that include fear. When you remove fear and provide comfort and security, you will own your market.
So what you first have to do before you can be a great landlord is to find great places to rent to other people. I explain how to do this in the book at [http://www.magicbullets], so I wont go into it here.
The screening process is also outlined in that book as well. I will hit upon a few things that werent touched upon already in the processes in the main body of the book, so here are a few nuggets for you now.
The following observations are done after you have already performed the formal screening procedures. Im rushing you up to the day that your face-to-face meeting occurs with the tenants who have passed your telephone interviews and have succeeded in getting an appointment with you to see your wonderful rental.
Now, here are some things that your uneducated dummy-type landlords cant begin to recognize, plan for or evaluate when it does appear before their very eyes.
As soon as your potential renter shows up to view your property, take note of
the time. Are they on time? Can they keep their first promise to you? Can they follow directions? If their late, did they get lost? Im sure you gave them good directions and also used landmarks like churches, stores or monuments, so they could find you easily. If they cant follow simple directions, do you think a lease agreement and those directions are going to be any easier? No, they are harder to follow.
O.K. They showed up on time. This says they respect your time, are able to follow directions and are serious about finding a nice place to live. How did they arrive, on foot, by bike, bus, cab, truck, motorcycle or tractor-trailer? Preferably they arrived in a clean, well-kept passenger car that is in a clean condition.
Now who was driving the vehicle? If its a couple are they both going to be renting or is your tenant without wheels. Lets assume your prospect drives up in their own car. It runs fine so you wont have cars on blocks and a parts yard for a front lawn in six months when they buy more cheap junk to get around with.
So the car looks O.K. on the outside but how about the interior of the car? Do they smoke and have smashed down McDonalds bags pushed so far into the floorboards that it now resembles carpet? Does this vehicle look like a home on wheels, with garbage bags filled with clothes, a crying baby and a cat in the back window? Watch out if you see this type of telltale evidence. I dont think I need to paint the picture of what will result if you miss this investigative step.
Pickup trucks with camper-shells can also be loaded to the gunnels with personal effects, including small zoo animals. I encourage you to get a look back there, too!
The bottom line here is people will generally treat your property the way they treat their own, if youre lucky! So see how theyve done with their own stuff up to this point and choose wisely based on intuition, gut-feeling and physical evidence.
So the car inspection is over now. How are the appearances of the folks? Are they clean and well groomed? Do they seem to fit the profile of what you had envisioned over the phone interviews or are they 180 degrees out? Have they successfully fooled you or deceived you into believing something else up to this point? Now that they have appeared before you, is it blatantly evident that these persons are con artists?
If you get an uneasy feeling within the first few minutes of meeting these people, dont brush it off as just some crazy thought. Thats your self-preservation instinct operating and you better listen to it. The book, Magic Bullets will help to protect you, so do not fear. Use this information to protect yourself from the events that lead to horror stories. Dont give it another thought. Lets get on with our interview, shall we?
So far they are on time. They have a good clean car and they appear to be honest and decent people who indeed do give you the same impression you developed over the phone. In fact, these people are really more than you expected. Yes, if youve done it right that will often be your experience and it is almost always a pleasure and privilege to rent to such high quality individuals.
Have you noticed something about the process here? There has been no mention of race, religion, national origin, sex, age or marital status. That is discrimination based on federally protected human rights and its against the law to discriminate on those issues. This includes the handicapped and a few others groups I may have overlooked.
My point is simply this: If they meet all the criteria that makes for a good quality tenant, than you would be ruling out a potentially excellent long-term tenant based on preconceived notions and that is dummy landlording in the first degree! So dont discriminate on basic human rights issues.
So many people screw this process up. They also make mistakes by choosing management companies to do this highly developed type of intuitive researched and planned-for event. I honestly know of no management companies who can be as thorough as an owner who takes the time to protect their own interests in this way.
I dont care how much management companies protest about the above statement. The fact of the matter is, they are not you, so they can never find a tenant that satisfies your own personal preferences the way you can.
I like to personally screen potential tenants because in all cases, I have total control and thats what real estate is all about control!
Think of the opposite of control. That would be the stock market for the small investor. The way I see it, I dont want to be on the sidelines rooting for someone else to make money for me or more often, hoping they dont lose it, steal it or mismanage it to my certain demise.
With the way I approach real estate, it is a 100% guarantee every single time that I am going to outsmart, outwit, outperform, over deliver and under promise to the point that I crush my competition. I am in a league of my own.
My tenants are the winners and they know it, too. What kind of loyalty do you think develops in the minds of people that look to me for protection? It stands as a testimony and irrefutable, self-evident, empirical fact that I care enough about the people who have entrusted me with their welfare, their time, their money and their trust to deliver on my promises. My tenants dont move. They either pass away due to old age or they end up buying it from me when I want to sell it. It happens that way all the time.
So think again when you hear a dummy landlord talking about all the trouble they had and then ask yourself one question. Did they read Magic Bullets before they became a landlord? Its 100% certain they did not. If they had, then their tenants would have loved them and paid for their real estate time and again, and made them rich beyond their wildest expectations
Snap out of it! Hey, are you with me? OK, your back. Good lets get back to reality here. What I do works and the only thing about landlording I dont like is cashing all those darned checks. Im not kidding. Bank tellers look at you like your some kind of thief because you have so many checks to cash.
Here are a few things that you wont find out unless you have been around a while but Im going to save you from the pain of learning the hard way. Now of course youre going to do everything right by following my advice in real estate but there are a lot of things I dont know. Yes, I admit it. I dont know everything but I do know what Im going to tell you about next and that is drum roll, please! Watch out for real estate investment property that comes with existing tenants! Heres why. In general, the new owner takes the property subject to the existing lease and rights of the tenant or tenants. Most often, whatever existing lease or rental agreement that was made with the previous owner will remain in effect.
What could happen if you dont thoroughly review existing tenants lease agreements? What if the previous owner rented a unit to his good-for-nothing, drug-addicted brother for .00 a month for the next five years? Thats a valid lease. You may take them to court for misrepresentation but its going to cost you lost rent, lost sleep and maybe your safety.
Anyway, thats an extreme example of an intentionally designed below-market rent lease agreement but it illustrates my point. Heres another. Lets say youre getting a great deal and you buy it, and find out the reason the owner sold it to you was because the tenants were very difficult and had him over a barrel. And all the while, they are paying lower than average rents and complaining about everything. Now you get them and you cant raise the rent and they refuse to move. Here comes your eviction lawyer and you have attorneys fees and more lost rent to boot.
My point is this: Make the seller get rid of bad tenants before you close on the deal. Do a pre-closing inspection and personally walk through the empty apartment, house, condo, trailer or doghouse yourself. Bring extra locks or call a locksmith and have the locks changed the day before closing. An honest seller will not have a problem with that so long as the title company holds those keys until your check is accepted at the closing table.
The lesson here is its always better to install your own tenants because you control the process from start to finish. Dont follow a dummy landlord or by default, you could be a dummy, too!
Remember this too: When you install new tenants, you are generally going to get a higher rent from the property because inflation creeps along and landlords have a hard time raising rents on people. I have seen 10-15 year long-term tenants paying the same price for 15 years. You will go broke if you let that happen.
Adjust your rents accordingly every time you fill a vacant unit and if people want to renew their leases, then inform them of an economic reality that currently exists called inflation, and you are just keeping up with it! The Annual Consumer Price Index may be used as a reference. If they dont understand, they have an option and that would be to go look for a similar rental to yours at a lower price. If you have followed my advice, this elusive lower rental price will not be found and your tenants will be grateful to you for renting out such a clean place at the new price-adjusted rate.
There is a lot of garbage held out for rent and prices may be lower, but no one wants to live in a pigsty with lime green shag carpet and Brady Bunch orange counter tops, where the roaches tell you what to do.
So the lesson here: Encourage balking tenants to find something comparable to yours at a lower price. If they find it, let them go. Odds are, they wont. After all I told you, its often next to impossible, if youre a hands-on owner. There is no 10% fee to management companies either. So you can even ask 5% less than investors who use professional management to do their job. So many ways to slaughter your competition so little time!
Wednesday, November 30, 2011
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Thursday, November 10, 2011
How to Survive on the Streets, With Almost Nothing
You might know me from my religious posts. Today, I'm here to talk about something a little different: survival of the homeless...
In every society, there are homeless people. It's just a sad fact of life: wherever there is injustice and a cold heart, there are homeless people because of these things. The shocking thing? The average man, or woman, is just one pay-check away from being one of the homeless!
The guys on "South Park" loved making fun of the homeless... mainly because they're pansy-*** mama's-boys, who've never been in the real world without a net. For those who were man, or woman, enough to go through it, without giving in to dispair, such people as the guys from "South Park" are pathetic. The question remains, though, as to where they got their idea. The answer? The usual stereotype... and, as with every stereotype, this one has been taken from "token bums". How do you avoid becoming like the homeless people on "South Park"? How do you get up off the streets, and back on your feet?
If you live in a very few secluded areas - like many cities in California, for example, - you'll have a lot of help from the government, and even from the occasional individual. If you can move out to someplace like that, please do try: it's one step up from the streets, even if it costs you some foolish pride along the way. Naturally, you'll want to do as much research about the area. Try a Google or Yahoo search for the top ten most homeless-friendly cities in these United States. That should give you a starting point...
Of course, most of us aren't so lucky. Sure, you can get loans; or, if you're extra-lucky, you can get a grant. You could even risk prison, by panhandling to survive. However, there are more legal ways. This article is to help you find them out, from someone who's been there, and done that. I hope this article is passed around to as many homeless people as possible...
The first thing you want to do, is learn how to become a good judge of character. When I was in Columbus, Georgia, on the first day I was homeless, a guy told us we could cash in his winning lottery ticket for him - and he'd even pay us some of his winnings, - if we'd give him .00 to hold onto, as collateral. We soon learned that he was scamming us: using an already-used lottery ticket, to basically con someone into buying it from him. We never saw him again.
There are all kinds of dangers on the streets. However, there are a select few "Virgil"s to your "Dante'". These are the veterans of homelessness: the ones who have lived on the streets for a while, and maintained a personable attitude. Try to connect with them, if you've exhausted the 2-1-1 resources. Often, they can help you survive, and even pass on some important survival lessons... and life lessons in general.
Of course, the first thing you'll want to do, when you become homeless, is find a place to call your own... even if for a short time. There are some places, where you can't get into the shelters, if you're a man... others won't let you in, if you're a woman. There are all kinds of excuses. I'd suggest finding someplace that's open to the public. Some people try abandoned buildings, dumpsters, or using trash and old appliances. The problem is that these places are seldom safe: you never know when an abandoned building is going to crumble on it's own, let alone when the wrecking crew will come for it; you never know when they'll dump those dumpsters, or if there's something hazardous in them already; and you never know if you'll get out of the old appliances... especially refridgerators. I'd suggest, if you stay in one of these, you take every possible precaution... you can't even trust overpasses, these days. If you must, you could use some refuse to make a temporary shelter (like a tent, or a lean-to); but you'll probably want to keep it in a secluded, hidden place... in most homeless-unfriendly places, there are also gangs of youths that like to assault innocent vagrants. You don't want to wake up on fire, in the hospital, or six feet under.
You'll want to find some bedding, and a light. I suggest getting free matchbooks, and stuffing garbage bags with the softest and cleanest materials you can. Be sure you lay down cardboard underneath, for insulation and a pest deterrent; and, if you can, find some cardboard to cover you completely as a blanket (it's a great insulator, and is partially water-proof). Some places will give out sleeping-bags and tents. Carefully inspect those you find, and get whatever you can. It's not a matter of stupid, assinine pride; it's a matter of survival.
You want to steer clear of the woods, because there are all kinds of pests and dangerous animals there; besides, there's little to get from the woods. If you must stay in the woods, find an empty cave, or try to climb a little way up a tree, and tie yourself to the support-branch.
You can also try spending a little time in public places, like parks, the beach, or hospitals; as long as you're willing to re-arrange your sleep schedule, and pretend to be waiting on somebody.
NEVER underestimate the power of the barter/trade system: items for items, or work for items. It's a little like a tragic video-game, that way.
Now, the next thing you'll want to do is find some way to clean up. Some public places have showers: the Y.M.C.A., certain churches, some stretches of beach, some hospital bathrooms, rest stops, some parks, and even (if you're lucky,) the public pool. If you can, and it's free, get in as early as possible; that way, nobody will bother you. Another idea is to bathe in a secluded spot, in a clean body of water; like the ocean. Or, if you can swing it, go for a swim: you won't be able to shampoo or soap up, but you can bathe in the chlorinated water, and scrub off as you're drying yourself.
You'll want to groom yourself, as well. I'd suggest some public bathrooms, where you can get in early, as well. People tend to use the bathroom before they leave the house: the earlier you get in, the more chance you'll be able to groom. If you can't find any other place to bathe, you can always give yourself a sponge-bath in the sink.
When it comes to doing laundry, you want to start by having as few articles as you can to do. I recommend four outer shirts, four pair of pants, two pair of shoes (one on your feet), and seven changes of undershirt, underpants, and socks. You might want to pack a suit in there, if you can, as well; just to look good during job interviews. You'll definitely want to scrape up any loose change you can. If you can't afford laundry detergent or bleach, you can always use whatever you use to clean yourself: soap shavings, shampoo, body wash, shaving cream, dishwashing detergent, you name it... it all works just as well (usually). You could even use things like baking soda, or copious amounts of salt or vinegar. One caveat: if you look for loose change in public, make it seem like you dropped change there, yourself... and try not to hit the same place twice in a row.
Be sure to get some kind of tools; and, if an animal should follow you, that's not your fault... it might even protect you, should bad come to worse. The tools can be used for protection, improving your personal space, or even odd jobs to get extra money... as can selling whatever you can, and investing in a kind of street-business (some people buy cigarettes, just to sell individual ones for a quarter, or ten cents each... and then buy more, and keep the profits for themselves). In this, you should be proud: you're doing all you can, and taking every advantage possible, to bring yourself up in this world... you're a self-made man/woman!
I want to suggest that, when you look for food, you don't instantly go dumpster-diving. Instead, try going to places that hold their messed-up orders, talking to the manager, and convincing the person to let you take their mistakes off their hands. If you must resort to sneaking into a motel that serves a continental breakfast, or a business that serves coffee and other drinks, please be careful to be as inconspicuous as possible... blend in, and stay only long enough to get what you came for, and then sneak back out. Most of these places don't take too kindly to people, on the streets, ripping them off.
Sometimes, you won't have a bathroom around. I suggest having an empty twenty-ounce bottle (not the one for your drinks, but a separate one), a plastic bag, and a roll of toilet paper handy (maybe some handi-wipes, as well, to clean your hands). You can urinate in the bottle, and continue on until you can find a place to dump it. Likewise, you can defecate in the bag, wipe, and bury the bag in the woods or an abandoned lot.
You'll also want a place to do business: a mailing address, an e-mail address, a telephone from which to make calls, and a supply of office equipment. You should try the library, for most of that: you can use the library like a kind of office, if you don't receive calls on the telephone. E-mail, research, out-going calls, office equipment (cheap), you name it... it's all there, for your use. When it comes to receiving mail, there are many organizations that will allow you to receive mail at their address. Swing by, just after mail-time, and you can get your mail.
Let's not forget transportation. Most people can't afford transportation. If you can, use it as sparingly as possible, without sacrificing your health... only use it when you absolutely can't go any further, without harming yourself in some way. I'd suggest investing in a bike (there are some places that give away bikes for free), or some other kind of manually-powered device (like roller-skates, roller blades, a skate-board, or a manual scooter). You can usually get vouchers, from places like the Salvation Army, to get these things... if you really need them. Then, you could run errands, if you find an opportunity.
Remember that, when it comes to needs, the Internet is your friend. It is your best friend in the world. There are groups on the Internet, like "ReUseIt" (an e-mail group), that people use to ask for, or offer, free stuff. Use it at every opportunity. Worst-case scenario: you get something you can sell later.
Don't turn down any help you get, but don't panhandle, either. Not only is that considered degrading to most homeless people, but it's illegal in most states.
If you have a physical or mental problem, that's like a gold-mine on the streets! You can check into a hospital's emergency room, or an asylum, for a period of observation. At the least, it's 72 hours off the streets, and help getting government benefits.
I really don't want to tell you this secret, but it's for a good cause... if you can't find any other way to get help, you can always go online to the Universal Life Church, or the Universal Life Church Monastery, and get ordained for free. With that receipt of ordination, you can possibly get a chance to preach, or do some work for a church, in exchange for help with your needs (try not to ask for money; ask for other things, like a place to stay for the night, some food, a place to clean up, etc.).
I also recommend that, if there are any inter-faith coalitions in your area, you try them. One example can be found in Birmingham, Alabama, and is usually for homeless families: it's called the Birmingham Hospitality Network. You go to a different church every week, to stay each night of that week. Free food, and often other amenities (like showers and laundry facilities).
You might get away with going to a mosque/masjid for help. A lot of people are skeptical about this, because of the bad reputation muslims have, but it's a good way to get help... especially if you're in the Detroit, Michigan area: around there, most mosques will let you sleep in their building for the night, as long as you refrain from disrespecting them.
You can also try hanging out in certain church court-yards, as long as you don't get caught by security or the police. In Columbia, South Carolina, there is an Episcopal church, where you can sleep under and awning. On some nights, the youth minister will show up with food and drinks.
You could also try applying for a college. You would potentially get free room and board; and, even if you don't, you'd be able to get a return on a loan. You can worry about paying it off later...
Let's not forget the possibility of getting a free trailer that needs some work... especially in areas like Columbus, Georgia.
If you can get a vehicle, so much the better: you can then use that to live in at night, and run a street-taxi service during the day.
Of course, you should also consider family or friends that you can trust.
The point is that there are a myriad of ways you can survive. Never give up hope!
If you need any help, or want to help somehow, please visit my site:
http://www.freewebs.com/angelsofhope2008
Thanks again for reading this, and remember: there's always faith, hope, and love.
In Christ,
~D~
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Thursday, November 3, 2011
Starting a Bakery and Using Pre-Owned Equipment
Part 1.
I am constantly amazed by the number of e books and other so-called bakery specialists on the internet who are trying to convince real entrepreneurs that the bakery, is a hard business or that the best way to get into business is via a home bakery.
The bakery has been my employment for the better part of 53 years. And, yes, there have been times when to satisfy a wife and family I have tried other types of employment. I have made side-wall hovercraft out of fiber-glass. I have built vehicle parts also from fiber-glass and I have been a welder as well as made rainwater pipe.
If you asked me, "Did I enjoy that employment"? The answer would most definitely be a very resounding NO!The work was dirty, smelly, and as far as I was concerned, a monkey could do it. It was boring!
The bakery does not pay a high wage, and that is very unfortunate. However, it is a steady employment and that beats working out in the bush three months a year under some harsh condition, or working in a car manufacturing plant like a zombie.
The bakery is not a place where an uneducated person can survive for very long. It does require attention to detail
It requires math type skills, as well as English or some other language reading skills. Without a reading skill you cannot know what is in a recipe. There are health regulations to understand and be able to read and follow.
Apart from being able to read there is the fact that every worker must follow certain hygiene specifics. This not only means neat and tidy appearance but it also means that personal hygiene must be addressed too.
Some of these people trying to convince you that the bakery is hard or trying to convince you that their e book is the best in your situation are doing a very disservice to the industry as a whole, because they really have little or no idea how a bakery works. That's because a lot of these e books are nothing more than a compilation of generic information on how to start any business.
I was about to say that very likely most if not all have never even been inside a real bakery, but that would be wrong and make me out to be just like them.
I have, as I said, been working in the bakery trade since 1955. That is over 53 years. I started when I was fourteen years old by making Hot X Buns for family members and delivering them on the back of my bicycle on a trailer that I also built myself. My efforts made over twelve dozen in my mothers kitchen. That was before I really learn to make bakery products in a professional setting.
I can go on blowing my trumpet and giving you trade names and positions I have been employed in, but where does that get me?
All I will say is this: to really learn how to be a baker. Go to a collage school that offers bakery training. If they only offer a three month course the likelihood is that it will only offer a small portion and very likely be on just one very small subject. So you will need to enroll in a number of these type short courses.
Try to find a course that offers at least 10-12 months training. That training should be a combination of both practical bakery production as well as written bakery methods.
Of course there are also schools that just want your cash. There are also schools with poor instructors, as well as schools with some of the best bakery skills around who are trying to teach people who are merely trying to keep their unemployment benefits going too.
There are people who call themselves Chefs. Some of these people have no idea on how to make a bakery work.
Please do not get me wrong here, some chefs are really great cooks, especially when it comes to fillet steak or fondant potatoes or ice cream deserts and can operate a kitchen where one or two plates of food need to be served in a short space of time.
But most chefs that I have known, have very little or no idea on how to operate a bakery where numbers can run in the hundreds and have tight production times. I am not putting the chef down. In a kitchen they can have that job. It isn't for me! In a bakery many are up a creek without a paddle.
Part 2
Now I started writing this article because I am amazed at the way some people are misleading you into thinking that it is easy and the best way to get into business is by starting a home bakery business.
The truth is...
... Starting any business from home is not always an easy task!
Starting a bakery from home is even harder to accomplish!
I'm sorry! I did not mean to burst your bubble and enthusiasm. I just plan on telling you the way it is.
Starting a bakery is a GREAT idea and you ought to push on with your endeavor. It is one of the best ideas you might have and it certainly is a great way to reduce your taxes or at least be able to write off certain taxes that you at this moment cannot.
I am NOT telling you starting a bakery from home will be easy, because it is not an easy task.
If you were going to start a bricks & mortar business in your local super market or corner store, then you will find it is a lot easier to do than trying to start your bakery from home.
The local authority has a number of problems allowing home based business with operating licenses. Those problems in the past have caused them to refuse permission to almost every kind of home based business in today's market place.
Here are just a few that I know about:
o Noise pollution
o Extra traffic
o Garbage pickup
o Rodents
o Health related issues
o Fire emergency problems
o Accidents
o Parking issues
o Building permit issues
o Water consumption
o Storage
o Failure to maintain a clear access
There are others and only your own local authority can address the issues you face in starting your own home bakery.
I did say that it is easier to start a bakery in a bricks & mortar building in a supermarket or corner store and I mean that. But, you still have to operate with the permission of your local authority. You MUST obtain the proper licenses and comply with all building codes, health regulation, parking permits and storage. There should not be any rodents, bugs or health related issues.
In most food related business here are a few of the concerns you will need to consider...
o Building codes
o Plumbing issues
o Grease Traps
o Water uses
o Fire Codes
o Access
o Garbage Issues
o Health Regulations
o Parking
o Leasing ownership issues
Again the only way to address these concerns is to talk with your local authority.
After saying every thing above, about the difficulty of starting your bakery at home, there are places where bakeries have been started at home. There are places where bakeries can be started at home. These might be out in the country where there are no super markets or some place where the area is a rural community. Or it might be in an area that is governed by a religious community.
The only way to assess any of these facts is to pay a visit to your local authority. Once you have spoken with these people you will be in a better position to continue with your business plan and will then know where to situate your bakery business.
Part 3
Although I hadn't expected to make this article a three part information piece, it has turned out to be just that.
Actually it will very likely be a four a five part article by the time I've finished.
People will always try to purchase as cheap as they can.
Now cheap does not mean bad and neither does it mean good. There are good and bad items of equipment on the open market.
In a bakery whether you are starting a home bakery or you are building or buying into a bakery. One of the first piece of equipment you will need is a mixer.
I have worked with bread mixers that are over 100 years old. They work almost perfectly for making bread dough. They are so simple that they will very likely continue to work for another hundred years.
Another type of mixer is a high speed. One that can mix dough's in three minutes or less
But, these types of machines will never lend themselves to making a cake batter.
Will a machine that can make a cake batter work to make bread dough? Absolutely, yes!
Will it be perfect for both types of product? Well, yes it can do both but you will be required to change the mixing utensil.
Another major piece of equipment that will be required is an oven. Now there are several different types of oven. They will all bake your product, but in different ways. So you really need to understand that what you make will decide how you bake.
Of course if your products are donuts then you will need a fryer to cook your products and again there are number donut fryers available. Some are classed as table models.
In other words these are usually approximately 18 inches square and about four to six inches deep.
These types of fryers as well as floor model fryers and fryers with moving conveyor systems will in many instances require what is termed a vented hood. An overhead ventilated extraction system. These systems require a fire extinguisher to be activated by heat in the case of a fire.
When this activates it will use up almost all of the oxygen in the immediate area and cover everything in a white or grayish powder.
There will also be a need to use both fridges and freezers. Here again they can be big enough to drive a truck through, or walk through or small enough to keep but a few items cool.
There are also freezers that are called fast freeze. These later types of freezers will freeze your products right to the core within a very short space of time. Often as fast or faster than thirty minutes.
Of course I can go on about the different types of equipment and their usage, but the comment that brought about this particular article, was that you should buy second hand equipment.
I will use the term pre-owned from here on as second-hand often suggest inferior quality.
Even some of the pre-owned equipment can be inferior quality if the equipment has not been maintained or has been purchased through a disreputable source.
For instance I used a reputable source (as I thought) to have an oil leak repaired in an upright 60 quart floor model mixer in a very well known brand. However, the person who came along to the bakery made the mistake of letting one of my staff know that he had never worked on this type of machine before.
The time of day is now 3pm and we close in two hours and we need this machine at 2:30 am next day. I question how he planned on proceeding. This guy's plan was to knock out the oil seal from below. He had nothing to collect the remnants of the 90 weight oil that was inside the motor and having seen a mechanic from the machines makers do a similar job a few years back I told the guy to leave the bakery, because it was very obvious that my machine would not be ready for me to use by 2:30 am next day.
I have never used that outfit again.
The morel of the story here is although the manufacturer is way more expensive to repair or maintain the machinery it can be a whole lot cheaper in the long run. It is the similar story with using pre-owned equipment as apposed to new.
In all likelihood your financial institution will dictate whether or not you can purchase pre-owned or new equipment.
Of course new equipment also has a warranty period, often one year but sometimes only three months because these manufacturers know the machines take a considerable beating. They do a lot of work. ut by the same degree pre-owned equipment can be just as good and often better. Because like a new car, the parts need to be broken in.
My advice to anyone contemplating purchasing pre-owned equipment is to have the manufacturers factory trained mechanic overhaul and replace any worn parts.
Believe me the money spent is well worth it in the long run!
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