Taking Donations Instead Of Charging A Fee

Decorating By flakeycakey Updated 22 Feb 2010 , 9:00pm by BlakesCakes

flakeycakey Posted 21 Feb 2010 , 9:52pm
post #1 of 10

Hey, after reading the info here about being a legal "at home" bakery I was wondering if it would be legal to ask for a mandatory donation instead of charging for the cake. That way you aren't really in business and wouldn't need inspections and insurance. ?? Has anyone thought of this?

Perhaps you could even include a waiver with a contract that states that you are not responsible if anyone becomes sick after eating your cake.

Thoughts and opinions please.

9 replies
catlharper Posted 21 Feb 2010 , 11:34pm
post #2 of 10

Sorry hon, but a "mandatory" "donation" is called a fee. If it's optional it's a donation, if it's mandatory then it's a fee...to charge a fee you need to be licensed. The best you can do is to tell them that you will donate your time and the cake if they give you the supplies, then give them a list.

BlakesCakes Posted 21 Feb 2010 , 11:49pm
post #3 of 10

The only time a donation isn't a fee or income is when the recipient is a charity or other non-profit. I guess if you're somehow registered as a non-profit cake baking charity, you're OK, but I've never heard of one..........

I make all of my cakes as a pay-it-forward effort. I make the cake and the recipient makes a donation to a non-profit charity. In order to be certain that the donation is made (and that it's equivalent to a reasonable retail value for the cake I make), I tell the donor how much the cake is worth and then I give them a money order made out to the charity in that amount when I deliver the cake. They trade me cash for the money order and enjoy the cake (I hope).

I feel very fortunate to be able to do this. It feeds my passion, it allows people to get special cakes for special events, and the charities get donations that can help many others.

Rae

ZoesMum Posted 21 Feb 2010 , 11:56pm
post #4 of 10

Wow BlakesCakes...that is a great idea! Hat's off to you...

indydebi Posted 22 Feb 2010 , 12:13am
post #5 of 10
Quote:
Originally Posted by flakeycakey

Perhaps you could even include a waiver with a contract that states that you are not responsible if anyone becomes sick after eating your cake.



Anyone who would actually sign something like this, raise your hand.

Anyone?

ANyone?

Bueller?

Bueller?

I cannot waive liability on behalf of someone else, meaning, I could sign one of these all day long, but if I feed your cake to my daughter and SHE gets sick, then SHE can sue you because SHE didnt' sign the waiver.

flakeycakey Posted 22 Feb 2010 , 12:50am
post #6 of 10

All very good points! Thanks for the replies. I like to hear what everyone else thinks.

julzs71 Posted 22 Feb 2010 , 3:57am
post #7 of 10

#1 If you mandatoraly make them make donations, it's still a business.
#2 If you don't tell them the exact price they will give you less than Wal-Mart prices.
#3 If you tell them sign here to not sue me, no one will sign.
So if you want to do this, a license and insurance are required.
The american way is to sue everyone. Proceed with caution.

flakeycakey Posted 22 Feb 2010 , 12:38pm
post #8 of 10

Oh, I'm not interested in starting a cake business. I'm a photographer. I just love making cakes for fun. I just see a lot of really talented people on here that are unable to pursue their dream of starting a business because of the "at home" bakery thing. Just thought there might be some way to get around it. icon_biggrin.gif

JGMB Posted 22 Feb 2010 , 1:21pm
post #9 of 10

I do a similar thing to BlakesCakes, but I'm too lazy to have a voucher/money order system!!! When I hand the person a cake, they hand me a check made out to the People's Resource Center. That way, I'm sure the money's going to the right place. It's worked so far!

BlakesCakes Posted 22 Feb 2010 , 9:00pm
post #10 of 10
Quote:
Originally Posted by flakeycakey

Oh, I'm not interested in starting a cake business. I'm a photographer. I just love making cakes for fun. I just see a lot of really talented people on here that are unable to pursue their dream of starting a business because of the "at home" bakery thing. Just thought there might be some way to get around it. icon_biggrin.gif




You've basically described exactly why I do what I do.

That said, I'm lucky enough to live in a state (OH) that has cottage laws that allow for baking from home without being licensed. As long as my product isn't considered perishable by the Dept. of Agriculture (basically, cheescake is the primary no-no--and I don't make those, anyway), I can make it in my home.

If your state requires licensing and/or zoning, then you're treading on thin ice if you try to get "creative" about what is selling and what isn't.

As for my complicated method of donation amount/money order exchange for cash, I feel that this takes out as many risks as possible when it comes to assuring that the charity gets the $--the client chooses the charity (many make donations to programs near & dear to their hearts & families) and there is no risk of a check bouncing. I do risk them not sending the money order--I know that--but they are given the money order in a stamped and addressed envelope. I also contact everyone for feedback and confirm sending the money order.

Hope you find something that allows you to pursue your passion in a way that works well for you.
Rae

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