A friend wants me to make a Kermit/Miss Piggy cake. Right now I'm thinking of a 2 layer 8x2" round cake with a skyline made out of fondant and wrapped around the cake and MMF figures of Kermit and Miss Piggy on top of the top. With materials and ingredients, I figured it was about $10, and when I multiplied it by 3, it came to $30. Does that sound like an appropriate amount for the cake or is it too high/low?
O.k. now that I picked myself up... I'll hre you to do my cakes for me so I don't have to go through nearly the expense or the work... LOL
O.k. you aren't even going to come CLOSE to breaking even with that!! It's going to cost you closer to $45 for everything you've got to purchase by the time you're all said and done because prices have SKYROCKETED lately. That doesn't even include a SECOND of your time on this thing.
Also the "multiply by three" is sort of a myth because that really only works for "onesie twosie" type cakes that close to zero time is put into baking or decorating them. When you figure out what 15-20 hours of your time at a living wage is worth, then add that $10 (o.k. $45) you're guesstimating for ingredients, then add something on for "profit"... You'll then have a closer guesstimation of what to charge for this cake!!!
Never undercut yourself. You aren't the baker up the road who will plunk a plastic kermit and piggy that the customer provides on top of the cake or just an edible image. Their rates are for that level of service, your rates need to be for YOUR level of service!
I agree with CoutureCake.. $30 won't be worth the time.. not to mention that Kermit and Miss Piggy are licensed characters that you cannot legally reproduce and sell. Since it's for a friend I can see maybe doing the figures, but just know that it's not legal to sell a reproduction of a licensed character.
If it were me.. and it were not for a GOOD friend.. I wold charge $80 for the cake and $30 for the figures.
I am not a fan of the multiply by 3 idea of pricing a cake either.. you will end up not making anything for your time unless it's a VERY basic cake.. even then.. it's still not a great way to price things.
I also never go by the "times 3" theory. Not sure where that came from but I'd go under in a heartbeat if I used that. I'd be selling my wedding cakes for 100 for only $97 insrtead of $300. I'd be selling cookies for $1.25/dozen instead of $6/dozen.
I think it MIGHT work if you consider ALL of your costs. The cost of making something is not just the flour and eggs. It's insurance, rent, payroll, utilities, gas to run and get supplies, wear and tear on your vehicles, cleaning supplies for clean up afterward, etc. etc. etc.
I agree you can not make a profit if you sell this cake for 30.00. The gum paste work takes time that you need to be paid for. Good luck
I agree with everyone else...you're looking at no profit. I don't do ANY cake for $30...it's just not worth my effort and time!
never sell yourself short. I am still learning this! If they want the cake, they will pay. If not, do you want them as a customer anyway?
I think I would check with a lawyer on the penalty for the licensed characters, and any other permits needed and set the price by that.
I tell customers it is not worth it to me.
Although I don't think anyone around my area would pay $45 for a 2 layer 8" cake, I think that if it is what the customer wants, then they have to be willing to pay the price. I agree that $45 seems like a more appropriate price than $30, and that is what I would quote them.
As far as licensed characters... I have never heard that as a cake decorator that you need to hold some sort of license for that... after all, they sell the stuff at Michaels for "Licensed Characters" and you don't get penalized if you use them. I wouldn't worry about that.
But don't sell youself short. If you undersell your prices, you could run yourself into the ground. I would quote them at least $30. Good luck!
As far as the "Liscensed characters" goes, you will get penalized if you use them. They sell them at Michaels for home use ONLY not to sell and make a profit off of it. You need to be very careful with "liscensed characters," if you're caught you can pay hefty fines.
$30.00 is way too low. you have to figure the time it will take you to complete this cake as well.