Vendor List

Business By hamie Updated 16 Mar 2006 , 1:28pm by momsandraven

hamie Cake Central Cake Decorator Profile
hamie Posted 16 Mar 2006 , 2:43am
post #1 of 2

I have been in talks with a local banquet hall that host 3-4 wedding each week, year round. They will be putting me on their vendor list to do wedding cakes. Currently, the only vendor who does cakes is the caterer. Lets just say their cakes are not very nice.

I have heard from another vendor, the DJ, that they take a % to be on the list.

What do you think would be an appropriate %? Or is that way out of line for them to ask for it?

Currently my base price is $2 a serving. Very reasonable for my area. I guess I could go up on my price a bit to cover their %.

What is your opinion about this? I would be the only cake vendor. It could mean a lot of business for me.

Thanks for your opinions.

1 reply
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momsandraven Posted 16 Mar 2006 , 1:28pm
post #2 of 2

Hi Hamie,
In most areas, a commission or 'finders fee' is standard. The percentage varies from vendor to vendor though. Talk to them, if they already have a vendor list, they may have a set percentage. I would try to negotiate with them a little, maybe make it so that the percentage comes from the base price for the cake, before extra costs like stringwork, fondant flowers, etc are added.
Also, perhaps they would agree to a cap or maximum amount. You could word it to say "5% or $75, whichever is less" so that if 5% should happen to be more than $75, you only pay them $75 instead. (5% is merely a number I picked, I have no idea what the standard rate is.)
Whatever you agree on with them, GET IT IN WRITING. They are providing you with a very valuable service, but you shouldn't lose money in the venture! icon_smile.gif
Good luck and congratulations!!

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