The purpose of this study is to design a teaching factory learning model in Vocational Higher Education “. This research is a literature study. This study was conducted at Polinema Bakery. The stages of the study are as follows:(1) review the literature;(2) Carrying out a survey of the bakery industry;(3) designing an entrepreneurial learning model using the teaching factory method;(4) determine the target model of teaching factory learning model; and (5) describe the entrepreneurship learning model with the Factory teaching method. The results of the study are 6-step Teaching Factory learning models, namely:(1) receiving orders, analyzing orders, stating readiness to work on orders, working orders, carrying out quality control, and delivery orders. Results of the study show that students feel happy following the learning, obtaining a picture of the business, getting experience producing products, working in team, and experience managing a business.