In 1974 a man named Daniel Fox asked a bunch of people if they would be willing to loan to him in order to start a bakery. Daniel had been involved with the Food Conspiracy, and had helped to forge the fledgling People's Warehouse. The people's Warehouse would later become the Tucson Co-op Warehouse and later ShopNatural. At the time, it was located at 411 N. seventh ave., which would later become the home to Small Planet Bakery.

In Feruary of 1975, the first batch of granola was produced, The original organic whole wheat flour that was milled on the site was later replaced by Mountain Mamma in Tempe, AZ. In 1992 the bakery found a superior grower and miller of organic whole wheat flours: Montana Flour & Grain. Although the original bread recipes were shared from other collective bakeries, the rest have been developed by various employees of Small Planet Bakery over the years.

By 1987 the "collective" had dwindled to two co-owners, Chris French and Lucy Mitchell, who continue to operate the Small Planet Bakery today with a bake staff of fourteen employees. For 31 years, Small Planet Bakery has been baking their original line of organic breads and delivering them to local restaurants and markets. Small Planet Bakery also custom bakes bread for some of Tucson's best-loved restaurants including: Bison Witches, Olive R Twist, Blue Willow, Bentley's, Daggwood Café, Bumstead's, Sports on Congress, Coyote Pause, and Wings Over Broadway.