Yeast is a single-celled organism. The small bulb-like projection coming out from the yeast cell is called a bud. The bud gradually grows and gets detached from the parent cell and forms a new yeast cell. The new yeast cell grows, matures and produces more yeast cells. Sometimes, another bud arises from the bud forming a chain of buds. If this process continues, a large number of yeast cells are produced in a short time.