Help needed with know what to charge

Sparkles81_2

Hello there,

Im trying to boost my income by baking cakes. I done all the necessary things, EHO, insurance....etc etc But I have a little problem with know what to charge as a supplier to a small cafe.

Its is a very small cafe (5 tables) in my local town that I have been supplying a small amout of cakes too. She finds it very difficult to sell cake and therfore she has a lot of waste. Last week I supplied her with 12 cupcakes, 1 8" victoria sponge glaced iced with simple decoration and 54 shortbread biscuits just over 1" in size and 1 gluten free lemon drizzle cake. I charge her £32 for all of it. It took me about 8 hours to make all of that. So I have not even covered my time to make it all in what I charge her.

She now wants to me make some dummy cakes to display in her new cake cabinet, she wants a birthday, christening, christmas and novelty dummy. All at my own cost because she said she is supplying the display and will be doing the selling to anyone who asks about them.

Now, I know we are going to come unstuck when it comes to price. She will mark up the cakes on what I charge her. She said she need to be making about 100% on top of my price, which in my opinion will out price the cake in a competitive market.

She has already asked me to price up a birthday cake, which I really cannot do for any less that £35.00. Now if she charges 100% mark that completely outprices the cake.

I have absolutely no idea how we can move forward with this and make an arrangement where we are both earning a bit.

Does anyone have any suggestions??? I beginning to lose sleep over all this.

Many thanks

polkadot

Im a cake maker and also sell edible images.I start at £50 for an 8" sugarpasted cake with edible image and cuut out message.

My cheapest cupcakes are £1.80 each-I dont sell go shop because like you say-they want to put a huge mark up on to your price and its just not worth it. Ive been registered for 4 years and am only just starting to see the fruits-its not an easy business to get into.

jen_br

Um shes nuts. no one makes 100% profit generally its a 30 percent food cost... or even more esp if its bought in cakes...

If she wants the cake and you need to charge 35.00 then she should be charging 45.00 at most. otherwise she will not sell any. She has to realise her business isn't the cakes... shes the tea room. I really don't understand why shes taking a cut at all tbh

Make false cakes for the window so its only a wee bit of fondant and styrofoam. I am a pastry chef so I do this for money too!.