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Question on pricing

post #1 of 17
5/3/11 at 4:58pm
Thread Starter 
My daughter is new at this and I am posting for her.
She was asked to do an engagement cake, 1/2 sheet, 2 layer filled with something (not sure what yet). Most likely flowers and possibly an engagement ring/ring box on the cake.

How much would someone charge for this type of cake. She wanted me to check local bakeries, but I figure they are going to charge more than what a new person (granted she is going to culinary school for baking/pastry and does excellent work).

Thanks for any suggestions you can give.
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post #2 of 17
5/3/11 at 5:10pm
Already a thread going for today...

http://cakecentral.com/cake-decorating-ftopicp-7111903.html#7111903

Jen
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post #3 of 17
5/3/11 at 5:17pm
If she's going to be doing this in the future, she shouldn't start out by undercharging or she'll never be able to come up to standard later. I would figure out the number of servings the cake will yield (a standard serving is 1" x 2" x 4" for a wedding-style cake or 2" x 2" x 2" serving of a one-layer sheet cake, or eight cubic inches in all). Then I'd find out what the general per-serving price is in bakeries in your area and charge very close to that. After all, she is studying this and it's going to be as much work as any of their cakes. If you're interested, there's a great piece of software for calculating the number of servings a cake will give you posted on here by an Austin-based decorator whose screen name is metria:
http://shinymetalobjects.net/cake/calculator/cake_calculator.cgi
Marianna
"I know my own mind...and it's around here somewhere!"
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Marianna
"I know my own mind...and it's around here somewhere!"
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post #4 of 17
5/3/11 at 5:18pm
The bakeries are probably going to charge less than what she should. Unless it's a custom cake shop then I wouldn't figure them into your pricing investigations.

I'll probably get stoned for bringing it up, but for the future of your daughter's business, it's a good idea to look into the state laws where you live surrounding having a home bakery business. Not all states allow food to be made for the public in a residential kitchen. There's a post here in the business section that lists out all of the states and if they allow home bakeries. If this is for a family or friends I don't see the harm in making the cake even if you aren't licensed, but if it's for a stranger... I'd be leary.

For pricing you really need to figure out what it will cost you to make the cake and add in for your labor (or your daughter's labor... LOL). The ingredients are the smallest part of the equation... it's the time that costs the most.

icon_biggrin.gif
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post #5 of 17
5/3/11 at 5:20pm
And welcome to you and your daughter!!

I wish her much luck with her plans to get into the caking industry.
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post #6 of 17
5/3/11 at 5:31pm
Quote:
Originally Posted by lilmissbakesalot



I'll probably get stoned for bringing it up, but it's a good idea to look into the state laws where you live surrounding having a home bakery business.

icon_biggrin.gif



I read that post...I'll try to protect you if the stoning starts! icon_lol.gif
Pastryjen

Money talks...but chocolate rocks!
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Pastryjen

Money talks...but chocolate rocks!
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post #7 of 17
5/3/11 at 5:32pm
Yeah do you really need to bring it up in every single post. Don't you ever get tired?
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post #8 of 17
5/3/11 at 5:34pm
Thread Starter 
Thanks to all for your input.
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post #9 of 17
5/3/11 at 5:48pm
And it begins...

I answered all of her questions honestly and objectively and shared some information for thought.

Unlike your post, mplaidgirl2, which was 100% inflammatory, so kudos.
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post #10 of 17
5/3/11 at 5:53pm
Thread Starter 
lilmissbakealot - thanks for your input. I realize from reading many other post regarding this I guess it isn't right for me to ask these questions. I just thought this was the right place to get some objective advice. Right now she is just baking for friends/family, but one day she WILL be a pastry chef. She is even doing her first internship at a very exclusive country club.
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post #11 of 17
5/3/11 at 5:59pm
Oh, lilmissbakesalot, not harping on the legal question again, are you? Hahaha, just kidding - I just read that other thread and couldn't resist the temptation! You are right, of course, to bring this question up any time it needs to be.
Marianna
"I know my own mind...and it's around here somewhere!"
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Marianna
"I know my own mind...and it's around here somewhere!"
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post #12 of 17
5/3/11 at 6:00pm
Oh no Barb... your questions are 100% fine and appropriate and please don't spend a second worrying about if they were. icon_biggrin.gif It's some of the other posters that seem to have it out for me and anyone who posts anything about looking into the legal aspect of home baking.

If your daughter is just doing this for family and friends then I wouldn't worry so much about getting licensed. If she wants to make a little bit to cover the ingredients then she can charge ingredients plus a little for her time. It's great practice and makes friends happy too... heheheh!

Please... ask any and all questions you want.

icon_smile.gif
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post #13 of 17
5/3/11 at 6:38pm
FYI, if your daughter is also in NJ, there is a cottage food bill in the state senate. If it passes, it may allow your daughter to sell baked goods made at home.

More info:
http://cakecentral.com/cake-decorating-ftopict-711536-.html
.
The Bakery Business Perspective
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The Bakery Business Perspective
An experimental blog with new content every Tuesday!

Recent Articles: The Magic Pricing Formula • Copyright Law
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post #14 of 17
5/3/11 at 7:33pm
The inspector at my health department said I could talk to churches that have approved kitchens and work out a deal with them. That may work for some of the people that don't have Cottage Food laws in their state yet.

Good luck to your daughter, Barb!
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post #15 of 17
5/4/11 at 7:41am
http://cakecentral.com/cake-decorating-ftopict-694973-pricing.html

This thread has information on how to price a cake. icon_smile.gif
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