Need Help With Great Business Opportunity

Business By duchess1120 Updated 25 Nov 2009 , 6:49pm by KHalstead

duchess1120 Posted 25 Nov 2009 , 4:48pm
post #1 of 6

I have a chance to make cakes for the owner of a wedding chapel. She wants to bring me aboard as a back up decorator and possibly the only one because the current decorator is not working out.

My dilema is how to charge her for the cakes. The current decorator charges $1.25 per slice and does good work however her latest cakes have received complaints so it's just a matter of time before I'm the main decorator.

I've never been in this type situation so I don't know what to charge. My wedding cakes average $300-$400 feed 80-100. At the chapel the avearge guest size is 16 to 100 anad @ $1.25 per person doesn't give me what I want. I do have to option to keep the cakes simple 2 colors only buttercream, etc. (I'm thinking about the labor but don't want to miss a good opportunity especially since my business is fairly new and I can use the exposure and practice.

Thank you for any and all suggestions.

5 replies
cakesdivine Posted 25 Nov 2009 , 5:26pm
post #2 of 6

Well for one $1.25 for a serving is ridiculously LOW! Walmart starts at $1.85 for wedding cakes and that too is ridiculously low $2.50 minimum for a very basic buttercream cake is the norm pretty much across the country for a low end custom cake shop/Lic. home baker. Sorry I am just not willing to pay someone else for the privilege to do their cakes. There would have to be some pretty big volume (20+ wedding cakes a weekend guaranteed) for me to consider even less than $2.50 a serving. But they probably only do 1 or 2 events a weekend so would not even consider such an insulting offer at that rate.

costumeczar Posted 25 Nov 2009 , 5:38pm
post #3 of 6

I have to agree with cakesdivine, that's not enough to justify taking on this kind of thing. I'd figure out what your rate is and tell her that's what it will cost, and if she wants to pay it then she hires you. Otherwise, no way. By the time you pay for ingredients, utilities, boards and time, you'll be earning nothing if you're only chraging $1.25 a serving.

I know this probably feels like a really good way to get continuous business, but not every opportunity is a good opportunity. This doesn't sound like a good one.

-K8memphis Posted 25 Nov 2009 , 5:43pm
post #4 of 6

So what do you get in return? Do you get to use a licensed facility to do your own cakes too or something cool? Is she buying the materials?

I mean if all you gotta do is pop out a classic cake in a set of carefully controlled designs where the client picks out the color of the flower and either scrolls, or ribbon bordered, or whatever else is fast & easy --y'know have several designs they can pick from--but nothing custom or kaching kaching.

Try for $2 a serving--white, yellow, chocolate--easy peasy steady. Not so bad.

It all depends on what the potential for perks is.

duchess1120 Posted 25 Nov 2009 , 6:29pm
post #5 of 6

Thanks for the advice. I agree that every opportunity is not a good opportunity. I'll give her my price...either she wants it or she doesn't.


KHalstead Posted 25 Nov 2009 , 6:49pm
post #6 of 6

I would stick to your pricing!

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