Selling baked goods is a great way to develop a business or make some extra cash. Learning how to create the best product in the most economically savvy way can turn a hobby into a lucrative trade. Cinnamon rolls are a baked good that's in demand year-round; who isn't drawn to their enticing aroma? Choosing to sell cinnamon rolls out of your home or at local markets is the first step toward establishing a profitable business.

Visit your local Health Department to determine whether or not your state requires you to obtain a permit or “Homestead license” to sell home-baked items. If a permit is required, then arrange an appointment for a health inspector to come look at your kitchen. A number of questions will be asked and there is usually a small fee, about $25, that will be charged to obtain the license. Start this process early, as it can take up to two months to complete.

Master your cinnamon roll recipe. It's important to perfect your baking process so every batch of your rolls is the same quality. Diversify the selection as well. Specialized recipes can be very popular, especially during specific holiday seasons.

Find cost-effective ingredients. Doing business with stores that sell baking supplies in bulk will prove helpful and increase your profits dramatically. Rather than purchasing a five-pound bag of flour at the grocery store, look for a restaurant supply store that sells 40-pound bags of flour. Be sure you don't compromise the quality of your cinnamon rolls when choosing less expensive ingredients.

Create a brand or logo under which the cinnamon rolls will be sold. Having an easily recognizable logo or name will help people to identify and remember you. Either self design the logo or find a friend or relative with graphic design skills who can help. Include a list of ingredients on the labels as well. This will help those with certain food allergies determine whether or not the cinnamon rolls are safe for them to consume.

Build interest in your cinnamon rolls. Give some away to friends and family, and encourage them to share them. Provide samples for people at different events or popular locations. Establishing the quality of the product will encourage future purchases.

Find a location where you can begin selling. Weekend markets or farmer’s markets are a great place to start. Because of the high traffic at these markets, selling a lot of cinnamon rolls shouldn't be a problem. The more people who try the product, the more inquiries you'll receive regarding sales. As business increases, provide an email address or phone number where cinnamon roll orders can be placed, and perhaps put up a website if you think you'll be able to handle the potential high traffic from it. Maintain the quality of your product and let your business grow.