yeah i suppose I got a little off topic - for friends/family I give them a list of things to buy to make the cake usually just fondant som chocolate if needed and the board as I have to get these each time and I usually have all the ingredients to make the cake itself, but these other people are aqquaintances that you nod to in the mornings ....

I agree when you offer to make a cake, you're pretty much saying you'll do it for free. I just started cake decorating and I offered to do my SIL 13th bday cake, she wanted a giant cupcake and I thought that would be easy enough to do. 3 weeks before her birthday I asked her about the colors of her cupcake and she says "I don't want a cupcake anymore, I'm getting a 3-tiered cake"..I laughed and asked who is doing this cake for you?? her response "Ummm..you are" it was one of those moments when dealing with a teenager where you just have to laugh and try not to curse...I ended up doing a 3-tier cake (I have the pic posted) but only because alot of family was coming out for the first time in years and thought it would be a good place to showcase my work. I ended up getting 10 customers out of the whole thing but had it been just a regular ol' birthday party I would have stuck with the giant cupcake. Great learning experience for me though..always be very clear with what your offering and don't take any BS when it's on your dime.

I am in South Korea. Ingredients are VERY HARD to find here, and non-existant esp for American size cakes (boxes, etc). Butter is not the same here. So I have to shop in the commissary on base where it is very expensive, hardly any coupons, deals, sales etc. Not open on Monday, closes early daily. And we are given a monthly ration according to family size. I have to order a lot. I live off base, fortunately I have a American size oven-most just have ovens that go up to maybe fit a 9x13.

I have to make EVERYTHING. Fondant, etc. I don't have any family here except immediate. Few friends here. There are a few decorators here so the competition here is the commissary. With all thAT said.
I HAVE TO CHARGE. I have been told sometimes they have NEVER been charged that amount for a cake which is fine. (commissary will take your cake order)
A lot of times soldiers and fam call last minute for a cake. Which I will charge a rush order price which is more expensive. They want this and that. Champagne taste and koolaid money.

In the states I would give some friends a discount. And even here in S. Korea I do give some repeat customers a discount. Esp if I am given free reign on the cake and something I want to try.
Although, whatever the full price for the cake, I put it on the invoice and show the discounts given so they know the FULL price for the cake should they or a friend order it again.

I do give a lot of cake away to my hubby office but it is a surprise, they don't know it is coming. It is usually something I am trying or experimenting with. Also gets them hooked! Lots of time on my hands. Stay at home mom to teens and a 10 month old. I usually don't offer, cause they assume it will be $20.

One lady here does not want to pay a discounted price of $200. for a 3 tier cake to feed 150. I was doing as a favor to another decorator who left and was trying to secure a decorator for the client who she was friends with not me. (she was charging her $100). Sooo she was going to Costco for a W50,000 ($43.00) cake. Korean cakes are very small and drier than American. O well, good don't need that customer anyway. They sometimes mistake our kindness for a baking weakness, like we don't have to pay for things cause we are doing this out of a labor of love. My hubby even asks how much a cake will be if he needs one. (he just has to pay with a kiss and making a fondant figure or two) ahahah.

I've had this 'dilemma' too, I only started in march and have had quite a few requests for cakes but obviously due to my lack of experience etc I never charged more than ingredients. Which was usually £15-£20. I have quite a big family, and its always been a close family so there are aunts and uncles and cousins who I would do them for.. then there are family friends and extended family, for example my cousins (her mum is my aunt) dads whole side of the family who are kinda like family cos we've known another etc for ages. It makes it really hard for me because I really appreciated the chance to practice but one error I think I did 3 cakes, and it was like having a full time job for free and I started to dislike that cos I was decorating because I had to, not because I wanted to!

Now I realise that actually if I did go into business, I live in a small town where I think everyone is probablyconnected by one or two links, so if I did them cheap for everyone I had known my whole life I'd be working for free as they would be my clients! I have started charging people ingredients plus about £10, which probably only covers my electricity, gas, etc but at least I feel like I'm getting something from it.

Also I agree with other people if I offer I do it for free. I offered 2 cakes last month and both tried to pay me but I refused. I feel like if you offer, it should be free. You shouldn't say to someone I will make this cake for you, oh and it will cost you this much. Unless you offer to do it for a certain price at the time.

Thank you all so much for taking the time to answer my question. I have a great place to start and got some good advice! Happy baking!