Help!!! Pricing Disaster

Business By Giftsfromthevallee Updated 19 Sep 2006 , 1:32pm by Giftsfromthevallee

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Giftsfromthevallee Posted 18 Sep 2006 , 7:10pm
post #1 of 7

Hi all, please help- I need advice. I am making a 3-D cake in the shape of a 2 story power boat, for 75-100 people. Most of the cake will be decorated in fondant, with a chocolate ganache buttercream. Any suggetsions on price? Keep in mind, I am new at the cake buisenss, but completely capable of the task, and am confident with my decorating abilities- so is my client! Thanks for the help in advance!
PS. I also have to deliver it 35 minutes away! thumbs_up.gif

6 replies
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heavenlys Posted 18 Sep 2006 , 7:15pm
post #2 of 7

I would not go below $2.00 a serving. YOu are providing a service that they probably can't get anywhere else and will put a lot of time and money into your creation. Even if you are starting out you shouldn't sell yourself short and give your talent away.

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yh9080 Posted 18 Sep 2006 , 7:18pm
post #3 of 7

One way to do it is to multiply ingredients x 3 or more.


Since delivery is 35 minutes, you could charge for delivery also - $1.25/mile one-way or whatever you think it would cost for gas.

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Chef_Stef Posted 18 Sep 2006 , 7:36pm
post #4 of 7

Keep in mind that a 3-D cake is going to take a lot more time than a non-3-D cake, AND that fondant costs a fortune and is time-consuming as well.

Around here, fondant cakes (not 3-D) start at $3.50 a serving...

Don't sell it short and come up losing money in the end.

Take into account all your ingredients and time AND all other cost for items you'll use for the cake, like cake boards, boxes, extras like luster dust, sparkles, etc. And I mean EVERYthing...you'll be amazed what you forget that you'll use.

Figure how long it *could* take you and how much you want to pay yourself per hour for that time.

Example: Say your ingredients and supplies will cost you $100.00 and it will take 10 hours (just total guessing here, your numbers will be different). You should work for peanuts, so say $10 an hour for your time (don't forget baking time too). So $100.00 for time.

$100 supplies/ingred + $100 for time = $200.00

$200 divided by, say, 100 people...and you *could* do that for $2.00 a serving. For 75 people it would need to be $2.67 (round up to $2.75) a serving. You get the idea...

But be careful figuring everything. I always find "oh, I forgot THAT!" stuff, and I end up dipping into the $7-8 an hour range because I can't go back and up the price to the customer because I forgot they asked for "just a few" gumpaste bows that I didn't figure into my cost before quoting them.

Really figure before you quote, or you'll be working for the experience rather than the profit.

Just my 2 cents...

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cambo Posted 18 Sep 2006 , 7:45pm
post #5 of 7

homecook is right...you'll need to carefully figure out your cost first....for me, I would charge between $3.00-3.50 per serving, NO LESS!

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Chef_Stef Posted 18 Sep 2006 , 8:32pm
post #6 of 7

Ooops, just realized I said you should work for peanuts; I meant you should NOT work for peanuts...! LOL! duh...so much for proof reading...

Also be careful if you only allow yourself $10 an hour. One glitch and you'll be making 5 bucks!...see what you come up with at $15-20 an hour for total price (so it's still reasonable for the customer); that way if you find a "whoops", at least you won't be working for nothing.

I've had several where I keep finding hidden expenses, and there goes my hourly wage...down, down, down.... icon_razz.gif

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Giftsfromthevallee Posted 19 Sep 2006 , 1:32pm
post #7 of 7

Thanks for all the help ladies! I am going with $350.00- no less! I'll let you know next time I need yah! icon_lol.gif

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