Okay, I know that sounds simple, but I need to figure out how much to deduct for overhead (electricity, etc.) and insurance and everything else. Is there a formula? I generally take my costs and multiply by three to get a price, but is there away to estimate to how much is profit?

Thanks,
Kathi

try this little excel spreadsheet and see if it helps any.

it estimates the overhead based on the items listed.

it does it PER CAKE

(feedback for improvements -- within my limited math abilities -- are most welcome!!)

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EDITED -- uploaded version w/ columns set wider for larger numbers

You're incredible, Doug! Just one question. When I changed the numbers for my own needs the total shared expenses went over a thousand and that cell only shows "pound" signs. If I mouse over it it tells me the number, but is there a way I can adjust this so I can see the number?

Thanks,
Kathi

Thanks, Doug. It's perfect!

Kathi

Thank you Doug - this is just what I have been looking for!!!

I'd love to see that as well, please, Doug.  Thanks!

Karen

I do not see a link either
 

AI don't see a link either.. :-(

I don't see a link either

I see this post is really old, but i too cannot see the link. I have been looking for a simple way to price/cost my cupcakes, etc. Can anyone who has Doug's link please send it to me. 

Thanks so much

@ Baking Me Crazy

Have you had any luck getting Doug's link?

ANo I Haven't

In order to use any spread sheet, you'd still need to gather your own information/numbers to plug into it. Once you have your base numbers it's not that hard to divide by 365 days or less. There's other online business calculators that do the same thing. 

You might want to take some time looking at this site: http://www.score.org/resources/business-plans-financial-statements-template-gallery

Doug hasn't  active on this site since September of 2010. It's unlikely he'll be sending links to anyone.

AIf anyone has specific questions about determining profit or overhead I would recommend creating a new thread.

I made this one.  I just popped in what I thought my overhead costs would be (not sure exactly yet - just starting it) and my ingredients.  Then how much I use of each ingredient in my recipies.  I think it'll work for me to estimate prices :)

Karen

A

Great job on that workbook. The only change I would recommend is removing the separate markup for supplies and applying a consistent markup for profit on your total cost (including supplies, labor, and overhead).

Thanks, Jason.  So you apply your markup to everything, including the overhead?  i never thought of applying it to my labor, since it's just me.  I really appreciate your feedback!

Karen

A

That's the way I calculated it, your markup is the added benefit you get from running your own business instead of working for someone else and accrues to your business (as opposed to wages paid to you). A single markup calculation also gives you a better idea of what your true cost is vs. your price.

Thanks.  I made that matrix based on information you posted in other threads, and I feel much more confident in my pricing now.  I really do appreciate your help!

I'm sure someone will correct me, but when I think "over head" I think the costs to operate my business. The heat, electricity, insurance, my car, the insurance for the car, the accountant, telephone, rent, etc...

When I think about my "costs" per cake, that's where I'd use a matrix like what's been posted.

Because "over head" includes more then the costs plus labor for the cake.

So someone steer me right, please? It seems that there's "over head" missing from this equation.

@ Baking Me Crazy

      and anyone else that needs it.

I found  Alice's cake matrix and a powerpoint to go with it. Also I found another matrix that you may like also. I will attach everything for you. I hope this helps.

I was not able to attach Alice's powerpoint. But if you would like me to try to email it to you send me your email. Alice's price matrix is very detailed and has several pages the powerpoint is helpful if you choose to use hers.

Again, I hope this helps.