I am trying to work out my costs to see how much profit (if any) I am making on my cakes.
I have done a spreadsheet to work out cost of ingredients etc including boards, boxes, dowels etc etc but now I want to work out how much time it takes me to make the cakes and how much I would charge per hour ie if I were a shop how much would they charge for an hour of the employees time modelling a figure etc.
What do you guys charge or pay yourself those who are in business.
Oo, I'm also curious to know!
also remember, it's not just their hourly rate. As a business you have other expenses per employee. Possibly insurance if you offer it, then there are taxes too....
As for the rate the employee would get paid, a lot less than me most likely, unless i can find someone that has the same experience or more than me. Also how much you pay someone is REALLY going to depend on where you're located. I see that you are in the UK, i don't know anything about pay per hour outside of the US. Is there a minimum wage? Do you know what other bakeries pay per hour?
It's mostly a question of what your time is worth to you. Are you willing to work for $10 per hour, $15, $20?
Would you rather be doing something else with your time if you knew you were only making $2 per hour for your cake work?