Legal: 4 Things To Do Before Opening For Business

10.1 4 Things To Do Before Opening For Business
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Module Overview

00:00:00 / 02:32:57



M0 Baking Fundamentals
3 mins
M1 Ingredients: Basics for Breads, Pastries and Cakes
25 mins
M2 Equipment: Breads, Pastries, Cakes
13 mins
M3 Food Hygiene and Safety: Food Preparation and Storage
13 mins
M4 Packaging: Function and Purpose
4 mins
M5 Menu Planning
9 mins
M6 Product Planning: Healthy Alternatives
4 mins
M7 Business Plan: Scalability and Expansion
23 mins
M8 Business Plan: Entrepreneurship
17 mins
M9 Finance and Pricing
20 mins
M10 Legal: 4 Things To Do Before Opening For Business
6 mins
M11 Marketing Strategy: Digital and Social Marketing
15 mins

About this module

So you’re planning to launch your baking business into the world, what’s next? In this chapter, we explore a few crucial subjects such as business registration, ensuring that your products are safe and SOP-compliant. In short – what are the 4 things you need to know before starting a business.


Driven by passion, armed with a great product, with sheer determination to succeed and then the fire fizzles out. Why does this happen and how can we overcome this? Two things you must take care of – the physical and mental well being of yourself, then the physical needs of the business. On a personal level, have constant engagement with the community and the society. Do this so that you’re aware of your customers’ needs, likes, preferences and so on, which helps to determine your product range. On top of that, you also get to hear and see your customers appreciate your products. That alone is proof that your hard physical work is paying off.

On a business level, this is where things get a little bit more intense. Two things to take care of: Finance and Operations. Finance aspect, take care of that, to ensure your business stays open. Operations, especially the manpower planning, take care of that to ensure your business continuity every day without wearing you out. Now, if you are comfortable with the size of the business that you’re running, then taking care of these two things will help you keep the passion going. However, if you’re a bit more ambitious, you want to grow and expand, then there are four more things you must do from the very beginning in order to set yourself up for success.

What are the things a home baker should do when starting up?

Let’s try to answer these four common questions a home baker may have, before opening for business.

If you are looking to start a new business, you may have heard about needing to register with SSM, about Sendirian Berhad or PLTs. But you may also be thinking why is this important for my business?

There are two main reasons why you should register your company with SSM.

For record purposes and to protect your business. When you register your company, the company’s history and finances will all be recorded. Only then can you prove to your customers how long you have been in business.

For those who want to grow the business, you need this information recorded with SSM in order to convince clients, business partners or investors to grow with you.

Being registered with SSM means you can protect your business by getting a product liability insurance as well. This helps to cover issues such as injury at work, machine malfunction and more. If possible, take a public liability insurance, as it encompasses a bigger coverage. In business, it’s better to be safe than sorry!

Let’s talk about some of you who want to grow and operate in a commercial space. You will need to apply to your local council, for example MBPJ for Petaling Jaya and DBKL for Kuala Lumpur.

Secondly, ensure that your premises meet the required hygiene and food standards.

As mentioned in Safe Food Preparations, always clean as you go. Ensure there are no pests in your premises. For more information on the best practices, have a look at our module on hygiene and food safety.

To help monitor this, develop a Standard Operating Procedure (SOP). Use it before any production to ensure all hygiene standards are followed.

On top of that, anyone handling food should take the typhoid vaccine with your local council clinic, and be certified with the food handlers course.

Remember that the safety of your food also ensures the safety of your customers and your business.

Thirdly, How do I ensure my products are safe for consumption?

Here are 3 things you must always be mindful about.
1. Always buy from a reputable supplier
2. Always check the ingredients labelling for any discrepancies
3. Ensure that it has a halal logo (depending on your customer base

Customers also want to know about shelf life. So a rule of thumb for baked goods is that the expiry date is 3 days after production – that is if you are making products without preservatives. Otherwise the shelf life can be extended if kept in the freezer. These can be communicated through product labels or stickers.

Finally, How do I ensure my food labels are genuine?

Purchase your supplies from a Reputable supplier. If you are not sure, always ask for certification.

If you label your product as no preservative, make sure you don’t add any.

In conclusion, before you start a business, you should have these four things –

Company registration & Licenses, SOP to maintain Hygiene, Product Safety, and Product Labelling.

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