Cake, which was set up as a spin-off from food wholesale business Lomond Fine Foods, is selling the products in 48 stores after being introduced to Asda at a meet the buyer event in Dundee this year.
It is the first time its products have been sold in supermarkets, with the business focused until now on coffee shops and sandwich bars such as the Beanscene chain.
Sam Henderson, who owns the two companies with wife Barbara, said the contract will lead to between £150,000 and £200,000 of sales for a business that is expected to generate turnover of £1 million to £1.5m in its current year.
Mr Henderson admitted he had been cautious about working with supermarkets, but said it has been a positive experience. It is hoped the deal will allow Cake to take on a further eight staff this year, with the bakery producing an extra 3000 cakes per day to meet the demand.
Mr Henderson said: "It was [with] quite a bit of trepidation going into retail.
"You always hear stories of big retailers being quite aggressive, but we found Asda to be extremely friendly when we did the meet the buyer event, very open [and they] loved the product straight away.
"They were not too aggressive on price. They were very keen to get us to develop products that work for us as well as them."
Mr Henderson said the products have performed well since first appearing in September, helped by sampling activity and a "round pound" promotion which has seen the product sold on aisle ends.
The deal, which involved the products being sold at a slight discount, led to sales of £12,000 last week. Mr Henderson said he is not concerned about price-led promotions devaluing the product.
He stated: "I think we will protect the value of our products by making sure they are good quality.
"I don't feel I have been nailed to the wall on margin to do the promotion, we can still make something on the promotion and I am quite happy to take the volume to get the product out there.
"I don't see it as devaluing the brand because when people try our product they will still see it as good value compared to other products."
Cake's products are made in a manufacturing unit located in the same premises occupied by Lomond Fine Foods in Darnley Industrial Estate near Glasgow.
Mr Henderson said the backing provided by the Lomond business had been crucial in getting Cake off the ground, thanks to its turnover base and the experience of its management team.
The lines Cake is now selling in Asda are a peppermint, caramel and Belgian chocolate finger, a puff candy crunch, chocolate crispy squares and white chocolate raspberry fingers, each priced £1.40 per pack.
Mr Henderson revealed he has a further two products in mind that he is convinced will sell well but is focused on establishing the brand in the immediate future.
Cake was established by the Hendersons two and half years ago after finding themselves buying cakes from other wholesalers to meet the needs of Lomond Fine Foods. It quickly won listings with other wholesalers in England before landing the Asda deal.
Mr Henderson is now looking to win further retail contracts for the business, having made initial enquiries with other major players.
On trading at Lomond Fine Foods, Mr Henderson said in spite of pressure on margins, the business had grown turnover and profits in the past two years.
He added: "The prospects for the current year are very good - it is probably going to be our best year ever, to be honest"