Cake Pricing

Decorating By bethyscake Updated 5 May 2011 , 7:31pm by CWR41

bethyscake Posted 5 May 2011 , 5:42pm
post #1 of 4

I found a cake on here that I liked and am planning on using the general idea for a friends kids birthday cake. I am having a hard time figuring out how much to charge. Usually I start with the overall ingredient cost and add on the labor cost of how difficult it is to make and time it takes. Her limit is 40 and the cake materials I figured were 15-20. Should I just charge the 40, or is it worth less than that? Or would I be under charging. I am new to charging people for my cakes, I just recently found a kitchen i can rent from, got my business name and am ready to go icon_biggrin.gif

3 replies
pmarks0 Posted 5 May 2011 , 5:54pm
post #2 of 4

IMHO you're vastly undercharging for that cake. It looks like it's a single layer 6" on a single layer 8" which is about 22 pieces. If you're ingredient costs are $15-20 you're saying that everything the remain $20-25 is covering your time and profit. Even if you're able to cover them lickety split with fondant, the piping of the spider web will take you time. You're losing money on this cake. I'd be charging $75-100 for that cake probably.

bethyscake Posted 5 May 2011 , 6:02pm
post #3 of 4

Wow that's a lot. I think I'll have to just make the top part and accept the $40 considering she is a friend but for a regular customer I need to price a bit higher. Thank you so much for the info icon_smile.gif wish I had know how to charge a long time ago. I made her a few cakes so far and for her wedding cake was only paid back the cost of the supplies. That then became her only wedding gift lol

CWR41 Posted 5 May 2011 , 7:31pm
post #4 of 4
Originally Posted by bethyscake

I think I'll have to just make the top part and accept the $40

You should find out how many servings are needed. The top part, if it's an approximate one-layer 6" cake will only serve 6... accepting $40 for that would be $6.67 per serving.

The photo looks like a one-layer 10" square with a one-layer 6" round on top which would serve around 30 total. If you made it all in buttercream and charged at least $3 per serving, that would be a $90 cake.

You can check prices for your area to decide what's customary, then you'll be able to better determine what to set your prices at for BC or fondant cakes.

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