How Would You Go About This?

Business By CakesbyBecca Updated 15 Oct 2008 , 12:31am by FromScratch

CakesbyBecca Posted 12 Oct 2008 , 5:11am
post #1 of 12

My church has a licensed kitchen (or soon to be licensed I should say) and I plan on talking to the person in charge and offer to do cakes for the church in exchange for the use of the kitchen. Here's where I need your help/advice. Our church is large. About 1000 people. I don't want to offer as much cake as they want because I would end up losing a lot that way. There's always an occasion for cake in an active church that size. Right now, I get about an order a month, which I intend to increase much more when I'm legal. What kind of agreement can I develop with my church that will be fair for both sides and allow for the growth of my business and gradual increase in kitchen usage?
TIA for your help.

11 replies
chutzpah Posted 12 Oct 2008 , 6:19am
post #2 of 12

You don't have to offer free cake in exchange for use of the kitchen. 1000 people is ALOT of people to regularly be providing for.

Why not see if you can rent the kitchen? Pay real money for use of the facilities? Then you won't feel obligated to make a cake everytime one of the churchladies utters a peep.

Ruth0209 Posted 12 Oct 2008 , 6:46am
post #3 of 12

I have to agree with Chutzpah. Seems like just paying to use the facility would be a lot easier and more straightforward. It certainly can't cost more than providing a ton of cake to a large congregation.

fidos_mom Posted 12 Oct 2008 , 7:27am
post #4 of 12

I agree. Rent it. thumbs_up.gif

But if you feel like you want to do something for the church, offer a standard discount on any cakes that the church orders. Spell it out on the lease agreement so there are no confusions or hurt feelings.

Hope it all works out. God bless!!

Mike1394 Posted 12 Oct 2008 , 3:15pm
post #5 of 12

Rent it, those 1000 people are paying customers if you rent. If not they are freebies, and your bankrupt. This way you can also have the church advertise for you.

Mike

whimsette Posted 12 Oct 2008 , 3:26pm
post #6 of 12

Another vote for renting the space.

I did some barter-for-space deals in my early days and they ALWAYS ended up on the losing end of the bargain. I needlessly lost a lot of money by undervaluing my work (labor + materials + expertise) to get my name "out there".

Please ... never, ever, ever be afraid to charge what you and your product is worth.

costumeczar Posted 12 Oct 2008 , 3:28pm
post #7 of 12

Renting is also considered a business expense, so you can deduct a part of it on your taxes...

CakesbyBecca Posted 13 Oct 2008 , 5:31am
post #8 of 12

Ok, but how do I realistically make that work? Take the last cake I did for example. The first one in my photos. It took me over 20 hrs to do all together. I'm new so I'm slow. If I rented the kitchen at $20/hr, the cost of the kitchen alone would be $400 icon_surprised.gif There's no way I can afford that icon_cry.gif

melodyscakes Posted 13 Oct 2008 , 5:56am
post #9 of 12

do not offer to pay 20 bucks an hour. they may let you rent it for much less. don't even mention a price at first. who knows, maybe they'll say 5 bucks an hour...probably not, but who knows. talk to them, maybe they'll agree to rent you the space for your business....you offer to do a monthly cake for whatever occasion for a discount price...every one is happy, then you get to legally sell and advertise to the 1000 members and they can order cakes from you for all there cake needs.
good luck


melody

RevRicky Posted 14 Oct 2008 , 8:27pm
post #10 of 12

As a pastor of a church I would tell you to "Rent IT!!!". You don't want the problems associated with 'free' cakes. You'll run into the problem of deciding who you bake for free - who you don't. I would imagine that the cost of cake for 1000 would be more than the rent that they would charge you. I would also offer a discount for church functions or for members - a great way to advertise. I don't advertise at all - but through the church have received many referals and orders.

kelleym Posted 14 Oct 2008 , 11:02pm
post #11 of 12
Quote:
Originally Posted by CakesbyBecca

Ok, but how do I realistically make that work? Take the last cake I did for example. The first one in my photos. It took me over 20 hrs to do all together. I'm new so I'm slow. If I rented the kitchen at $20/hr, the cost of the kitchen alone would be $400 icon_surprised.gif There's no way I can afford that icon_cry.gif




Try to negotiate a flat rate, like $200/month (or however much you can afford to start).

FromScratch Posted 15 Oct 2008 , 12:31am
post #12 of 12

I'm with Kelly.. See if they will let you rent it for a flat rate.. be it weekly or monthly. I wouldn't barter cakes for space.. that's WAY too many people.

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