I have my very first pay order and I'm not sure if I'm charging the right amount.
It's for a Wiggles cake. I'm using the Wilton 3D Cruiser pan to make the Wiggles car. So 15 servings using basic pound cake and chocolate butter cream. The base price for the cake is 17.89 and I'm charging $10 hr @ 3hrs so total 47.89. First question is am i charging too much per hour? Second question is how much percent profit markup should I do? I had to purchase the pan for the cake at 12.99+shipping and I wasn't passing any of that cost onto the customer.
Any advice you can give for pricing on this cake would be extremely helpful.
Total price divided by servings= about 3 dollars a serving. Sounds reasonable. If you are getting a special pan for just that customer, then the cost should be passed on and agreed to at time of contract. If a pan that will get used regularly, then cost would be considered part of cost of doing business.
Does that Wilton pan have a copyright "for home use only"?
Is Wiggles copyrighted?
If yes to these, then you should not be charging for cake at all.
$10 an hour is what we charge. As for profit, generally you should be making anywhere from 20%-30%. Remember, profit is what you make over and above cost of materials, what you pay yourself, and all the misc overhead you have.