How much should I charge for my cakes?!


Question: How much should I charge for my cakes?
I have been making custom cakes for about 6 months now. I don't have any formal training. It's just something I like to do. I mostly make them for friends and family for a low cost or free but now I am getting orders from people I do not know. I am just not sure how to price them. I don't want to charge too low but I don't want to charge too high either. I spend about $30 in ingredients and supplies for a 3 teir cake and about $15 for a two layer 10in round. How much would you pay for this Yo Gabba Gabba cake I just made?

http://i284.photobucket.com/albums/ll38/…

Answers:

Your cakes are lovely. But your pricing strategy is a bit backwards.

- First, determine the cost to make the cake (as you have).
- Then determine the time it takes, start to finish, to make the cake (including shopping, clean-up).
- Then decide what you feel is a reasonable hourly wage to pay yourself ... how much are you willing to work for?
- Add the cost of labour onto the cost of the cake.
- Then ask people if they would pay this much for that cake. Remember that a photo is good, but put a ruler on the table in front of the cake, so people have an idea of the size of the cake.
- Based on what people tell you, adjust your price upward or downward ... as you said, you don't want to charge too little nor too much.

One of the ladies at work makes cakes at home, has an active word-of-mouth business. I think she said she charges $50-100, depending on how complex and big the cake is.



you shouldn't be making any cakes that have trademark items and selling them. you can be charge by the company ( like yo gabba gabba) this happens all the time and the fees start at 10 grand. Even if you bought a wilton pan in the shape of yo gabba gabba and sold the finished cake you are open to being fined. I owned a bakery and the companies actally send people out trying to get bakers to make the trademarked items



Do a costing you have only considered cost of ingredients but you have labour,electricity , depreciation on baking utensils , taxes,heat,cleaning supplies,packaging,shipping/ auto, license etc. You need to consult a business consultant and do a business plan and check out local by laws for health inspection and requirements many jurisdictions require a commercial kitchen to be used and specific hygiene for washing dishes etc.Hairnets , special clothing,proper holding temperatures etc.



triple the cost of the ingredients!! But if you are going to do cakes for people you do not know, you need caterer's license and insurance!! Please do not do for the general public without insurance!! They sue and can take your house, lifestyle, and send you to prison for "poisoning" them.



i believe it is illegal to sell things without notifying the government first. It is ok to make them and eat them but if you have a business going thats another story. But i would pay 19.99 for that cake.



You cannot sell to the general public without the blessings of the local health dept. and any other depts as required.

pro chef



100 dollars. Dont make it too cheap i think $100 is a very reasonable price, and I'd be ok with paying for it .




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