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Cake pricing?????  

post #1 of 34
Thread Starter 

ok guys really need help with this one, I am making a 4 tear all black foundant with red and silver decorations wedding cake next month and I have no idea what to charge for this, Really I have no idea how to price any of my cakes. Im just starting out and have only been making cakes for family and friends.  Can anyone help with some ideas

post #2 of 34

It is not possible for us to tell you what to charge. We don't know where you are, what the going rates for store vs. custom cakes are in your area, what ingredients cost, etc. You need to figure out your expenses, figure out how many hours it will take to make the cake and clean up and multiply that number by what you want to earn as an hourly wage (cannot be lower than minimum wage), and including something for your overhead (electricity, wear and tear on your equipment, etc.). Delivery and set-up charges are added separately. Some people charge for tastings. I've heard good things about the Cake Boss softwear for pricing.

 

Good luck.

There. Their. They're not the same.

 

I hope I die before "your" becomes the official contraction of "you are."

There. Their. They're not the same.

 

I hope I die before "your" becomes the official contraction of "you are."

post #3 of 34

Cake Boss software will help you figure out what your cake cost you to make.  Then you can add in what you want to make per hour and the program will give you a total cost.  Take the cost, divide by the number of servings in the cake and you get an average of a per slice price you should charge.

 

If you don't want to buy the program (highly suggest it though, I have had it for 2+ years and love it) you can figure the price on your own.  Factor in everything:

all ingredients

paper towels

water

electricity

license fees

insurance fees

non stick spray

gas to go to store(s) to purchase needed stuff

fondant

gum paste

floral wires

floral tape

support system for tiers

wooden dowels hammered all the way through the cake (unless you are using SPS)

cake boards

cake drums

ribbon to go around drum to make it pretty

prep time

mix time

fill time

ice time

special decorations time

clean up time

 

Until you know what a slice of cake truely costs you, you won't be able to accurately price it.

"who says you can't have your cake and eat it too?"
"who says you can't have your cake and eat it too?"
post #4 of 34
Where are you located? Some states require a licensed and inspected commercial kitchen in order to legally accept money for cakes.
post #5 of 34

As mentioned above, we can not help you with pricing suggestions; there are simply too many variables.  I totally agree with the suggestion for CakeBoss software.  Here is an excellent article about pricing cakes:

http://www.cakeboss.com/PricingGuideline.aspx

p.s.  CakeCentral members get a 10% discount!

 

You will gain even more information from this article, Top Mistakes Made by New Cake Businesses:

http://www.cakeboss.com/TopMistakes.aspx

 

If the wedding is being held at a restaurant or business venue, they may require that any cakes brought in for weddings be from a licensed baker.  You may wish to check with the bride-to-be and see where the wedding will be held. 

 

Good luck with the cake.  Let us know how it went!

post #6 of 34
Was wondering where you were at Jason with your you can't sell cakes in some sstates without a license stuff. She says in her post that she's only made cakes for family and friends so I highly dought she has the license
post #7 of 34
Quote:
Originally Posted by kazita View Post

Was wondering where you were at Jason with your you can't sell cakes in some sstates without a license stuff. She says in her post that she's only made cakes for family and friends so I highly dought she has the license

I'm quite sure you mean 'doubt', NOT 'dought'.

While I find quite a bit of what Jason says truly irritating, he makes quite a few very valid points. This is one of them. In most states, you need to be licensed, permitted and insured to sell cakes, this can require an expense, which can be as little as a business license or a full commercial kitchen. You need to factor this expense in when you price your cake, whether it be $35 at the county clerk office, or $100,000.
Beginners, be sure to parrot advice and get your post count up as fast as you can. After all, it's not what you know, it's what people THINK you know.
Beginners, be sure to parrot advice and get your post count up as fast as you can. After all, it's not what you know, it's what people THINK you know.
post #8 of 34
Yes I meant doubt
And yes Jason makes valid points but he does it ALL the time. I'm sure she's a hobby baker and doesn't have a license
post #9 of 34
Quote:
Originally Posted by kazita View Post

I'm sure she's a hobby baker and doesn't have a license
If the OP doesn't have a license but lives in a state where it is legal to sell baked goods from a home kitchen without a license, then she can charge for the cake. Otherwise she would only be able to legally charge $0.

If she does have a licensed and inspected commercial kitchen, the cost of that kitchen (which can vary widely depending on location) needs to be figured in to the price.
Quote:
And yes Jason makes valid points but he does it ALL the time.
Umm, I'll try to make valid points less often then? icon_wink.gif
post #10 of 34
Quote:
Originally Posted by kazita View Post

Yes I meant doubt
And yes Jason makes valid points but he does it ALL the time. I'm sure she's a hobby baker and doesn't have a license

As a licensed commercial baker who has spent considerable amounts of money to become one, i think everyone needs to know the legality of selling cakes. This is one of the points he makes that never gets old.
Beginners, be sure to parrot advice and get your post count up as fast as you can. After all, it's not what you know, it's what people THINK you know.
Beginners, be sure to parrot advice and get your post count up as fast as you can. After all, it's not what you know, it's what people THINK you know.
post #11 of 34
Quote:
Originally Posted by jason_kraft View Post


If the OP doesn't have a license but lives in a state where it is legal to sell baked goods from a home kitchen without a license, then she can charge for the cake. Otherwise she would only be able to legally charge $0.
If she does have a licensed and inspected commercial kitchen, the cost of that kitchen (which can vary widely depending on location) needs to be figured in to the price.
 

If she's already accepted an order for a 4 tier cake but hasn't figured out what she's charging, I'll bet she is NOT a operating out of a licensed kitchen.

 

And is it just me, or does it suddenly seem like there are all sorts of posts about "I am making this cake but I have no idea what to charge!"  lately.  I get that there are many people just starting up their business.  I don't care if you are operating out of your home or a storefront.  You have no business calling yourself a business if you are selling cakes without having a pricing structure in place FIRST.

 

Before you agree to sell your very first cake, you need to figure out how much you are going to charge.  Even if you are ridiculously underselling (and that's a whole other thread!!), the words "Sure I'll make your cake"  should not even come out of your mouth unless you ALREADY know you are going to charge $X per slice for it.  Just sayin'.

Tact is telling someone where to go so nicely they can't wait to take the trip!
Tact is telling someone where to go so nicely they can't wait to take the trip!
post #12 of 34
Quote:
Originally Posted by cakesbycathy View Post

If she's already accepted an order for a 4 tier cake but hasn't figured out what she's charging, I'll bet she is NOT a operating out of a licensed kitchen.

 

And is it just me, or does it suddenly seem like there are all sorts of posts about "I am making this cake but I have no idea what to charge!"  lately.  I get that there are many people just starting up their business.  I don't care if you are operating out of your home or a storefront.  You have no business calling yourself a business if you are selling cakes without having a pricing structure in place FIRST.

 

Before you agree to sell your very first cake, you need to figure out how much you are going to charge.  Even if you are ridiculously underselling (and that's a whole other thread!!), the words "Sure I'll make your cake"  should not even come out of your mouth unless you ALREADY know you are going to charge $X per slice for it.  Just sayin'.

 

*Like*

 

P.S. Jason, you are a wealth of information and we need you.

There. Their. They're not the same.

 

I hope I die before "your" becomes the official contraction of "you are."

There. Their. They're not the same.

 

I hope I die before "your" becomes the official contraction of "you are."

post #13 of 34
Quote:
Originally Posted by Annabakescakes View Post


I'm quite sure you mean 'doubt', NOT 'dought'.
While I find quite a bit of what Jason says truly irritating
, he makes quite a few very valid points. This is one of them. In most states, you need to be licensed, permitted and insured to sell cakes, this can require an expense, which can be as little as a business license or a full commercial kitchen. You need to factor this expense in when you price your cake, whether it be $35 at the county clerk office, or $100,000.

 

 

Wow.

post #14 of 34

Wha...? Lemme go ahead and sort y'all out real quick:

 

Godot. Pick your jaw off the floor. Why're you acting brand new?

Kazita. Fall back! #TeamJason

Shanter. *Mimics whiney voice* "Jason, we need you." icon_confused.gifI've got my eye on you icon_confused.gif. #JasonStan

Jason. *nothing new*

OP. Seriously?!

The rest of you. Carry on.

 

*Exits left*

post #15 of 34
Quote:
Originally Posted by vgcea View Post

Wha...? Lemme go ahead and sort y'all out real quick:

 

Godot. Pick your jaw off the floor. Why're you acting brand new?

Kazita. Fall back! #TeamJason

Shanter. *Mimics whiney voice* "Jason, we need you." icon_confused.gifI've got my eye on you icon_confused.gif. #JasonStan

Jason. *nothing new*

OP. Seriously?!

The rest of you. Carry on.

 

*Exits left*


ROFL

"Taste your words before you feed them to people."
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"Taste your words before you feed them to people."
www.sugaredsaffron.co.uk
www.facebook.com/SugaredSaffron
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