I have an order where I can do whatever I want so I am really excited. The catch is that they don't want to spend more than $40 and really only need (and ordered) an 8" round cake.

Of course I found a stacked cake design that I want to do that would normally be priced at almost twice what they want to spend. I'm thinking about doing it and just give it to them for $40. I just don't want this "giveaway" to bite me in the butt later. Is it a bad idea to do THAT much more than I normally would for the price? What would you do?

In those cases, I do what I want to do, take the $40, and tell them that they've gotten a very, very special deal.

I agree--let them know that they got a screaming deal. It's worth it for the practice. Tell them not to quote their price to others. Let them know what the full price is, then show it as a gift or discount on the invoice.

In my opionon I would only do a cake for the $40 value. You don't want them to tell friends and family that they got this awsome cake for only $40. Then their friends and family will come to you and say but so and so got it for $40.
Jacqui

I agree with lsawyer to give an invoice with the actual cost and then discount the additional. Then ask them to say if anyone asks that the cake costs the price on the invoice, not what they paid.

The more you give, the more they take, and then expect it all the time. Since you have 40 bucks, you can do a nice 8" cake. If it were for a worthy cause or donation it might be different, but its not, you could then right off the difference. I just have found that once you start giving those little extras, you always have to do it, because people have friends and family and they talk.

I agree with cupcake. Some people have no problem taking advantage of other people's kindness and generousity. Unless you know these peoples character I wouldn't give them the bait. Also, they have no idea how much work, time and effort that goes into a cake like that. Anna31

I would say do the cake that you want to do even if it's worth more than the $40. That way you can add it to your portfolio or website, and, all the people being served get to see a bit of your talent.

I would also tell the recipient that this cake would typically cost $X, so please do not tell anyone what was actually paid. I have done this several times and just chalk it up to the cost of doing biz. The good news is it gives you more exposure and you wind up gettinmg more orders because people see just how talented to are at decorating cakes!

I agree with rhopar33, it is a way of promoting and advertising. Write the bill for what you WOULD charge and then mark the discount so she can say how much the cake cost and then potential customers won't think you are that cheap, but you can show off your talents and hopefully parlay that into other jobs.

ASK the lady first if it would be okay to go a little above and beyond for advertising purposes. Maybe she doesn't want a bigger cake and it would not be a bonus for her. This way she knows what she is getting, and WHY she is getting it