Help With Pricing/cost

Decorating By jlobannon Updated 25 Mar 2011 , 5:37am by indydebi

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jlobannon Posted 25 Mar 2011 , 4:47am
post #1 of 3

Hello everyone,

I have always loved baking and decorating cakes; I am now just beginning to sell my cakes. I do pies and other desserts, too.

Anyway, how do you figure your exact cost of your cake? For example, I buy in bulk at Sam's Club. So when I use 1-2 cups of sugar, how do charge for that and the rest of my ingredients? I am probably over analyzing, but any help would be appreciated.

Happy Caking! icon_smile.gif

2 replies
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silverdragon997 Posted 25 Mar 2011 , 5:17am
post #2 of 3

There have been lots and lots of threads on this topic. Do a search, either in the forum search page, or on Google, (type in your search topic and "cakecentral"), you'll find tons of info.

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indydebi Posted 25 Mar 2011 , 5:37am
post #3 of 3

on the side of any package should be serving size info. for example, (just pulling numbers out of the air since I'm at work), a 5 lb bag of flour may say "Serving size: 1/2 cup..... number of servings: 16". this tells you there are 8 cups in a 5 lb bag of flour. Divide the cost of the flour by 8 cups and you have your price per cup.

Many of us keep this info on a spreadsheet and update it periodically. (I recommend quarterly). Sometimes you have to really do the math to figure stuff, like if the package has a serving size of 1 teaspoon and you use it by the cupful! icon_eek.gificon_lol.gif

Some things are too miniscule to actually cost out. I came up with an avg number to cover "incidentals" for a batch-size. You determine what your batch size may be. (Mine was 2 cake mixes.) Just add $5 or $10 for small things. (Hubby gave me this idea. Said this is what garages do for topping off fluids, paper towels, the disposable seat protectors, etc.)

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