Right now, I'm just starting out my business. And I Charge $25 for 1 dozen cupcakes. Is that a fair price?
The question is, is it fair to you? Does it cover all your ingredients, supplies, expenses and labor? Is it an acceptable price for your area?
Pricing is one of the most difficult aspects of any business, and you need to have it firmly in place before you take your first order. If you don't know that it's a fair price, how are you going to be confident and stand your ground when you have a cheap customer throwing a fit that it's too high?
What the posters above said is 100% true. Besides what they said look at these items as well:
1) What kind of cupcakes?
a) Plain - just cupcake and frosting
b) Filled - is it flavored buttercream, or is it an elaborate filling like chocolate, Nuts and Marshmallows
c) Are you putting fondant decorations on top?
2) What are the area bakeries charging for the exact type of cupcakes
Call around or look on webpages and see what they charge and match your price to theirs.
3) Time is the keeper - what you might think takes 1 hour usually turns into 2 or 3 hours. Make sure you are getting paid for your time.
Thanks everyone for all the great advice, I will definitely use the information.