How Long Must I Give Away My Cakes?

Business By FatFace Updated 27 May 2006 , 9:09pm by leta

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FatFace Posted 24 May 2006 , 7:55pm
post #1 of 25

Cake decorating is a money making hobby for me right now until I get stable in my new location and find a place that can be licensed. I have been a decorator for over five years now but in various cities and states. Now that Iam finally settled and a part of many circles of friends and groups I have started bringing my cakes around for potlucks, dinners, etc. My cakes have been well received and many have asked when I will be opening my business.
We all know how costly this business is, so how do I deal with people who seem to want a free cake at every potluck/funtion I attend?

24 replies
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momsandraven Posted 24 May 2006 , 8:01pm
post #2 of 25

Maybe you could just tell them that you'd love the opportunity to try a new recipe for xxx, like a baked bean dish or something, and then say that if they'd like to buy a cake from you as THEIR dish to pass, you can bring it for them. icon_wink.gif

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mpaigew Posted 24 May 2006 , 8:09pm
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How about bringing something that is more simple...like cookies, and then if someone asks why you didn't bring a cake, say nonchalantly that it is getting costly to bring one every time. Maybe a subtle hint would make them get the message!

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twindees Posted 24 May 2006 , 8:09pm
post #4 of 25

When I first started taking the Wilton classes I would bring the cake from class into work, and everynow and then I would bring a cake in. Just so that people could see what I can do and taste the goods. I have my pictures up on my cube and everything. Everyone likes my cakes and always want me to bring cakes in but NO one wants to pay for them. I just stopped. I have a few customers that come from time to time. But I noticed that people want something for nothing all the time. Once in a while we have a potluck lunch at work and the question is always 'What are you baking." I just don't bake I cook something.


Making a cake takes a lot of time and money. I am not giving away another cake.


Then I have this girlfriend who is having a baby and she calls me to let me know at her baby shower I can bring a cake as my shower gift. (WOW)

I feel we are always taken for granted.

I don't know if I helped you but I just needed to let that out.

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FatFace Posted 24 May 2006 , 8:17pm
post #5 of 25

Thanks Twindees

Now I know that Iam not alone here and that Iam not being money hungry. Cakes take alot of time, time I could be spending with my husband children, etc. I guess I need to be more firm with these folks.

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rezzygirl Posted 24 May 2006 , 8:20pm
post #6 of 25

I know I always love to show off what I can do and get opinions but enough can be enough. I have gone from fancy cakes more simpler things such as cookies, muffins or non baked dishes. If they want cake, let them pay for it! I got over the "they have to see my stuff" thing when I made brochures to hand out. Photos do just as well also. That way people still know what you can do without the added expense of bringing a cake to every event!

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mpaigew Posted 24 May 2006 , 8:30pm
post #7 of 25

[quote="twindees"]

Then I have this girlfriend who is having a baby and she calls me to let me know at her baby shower I can bring a cake as my shower gift. (WOW)

LOL! OMG! Now that takes some guts!

I think that people who don't do what we do don't realize how much money it costs to make cakes...not only in ingredients, but pans, the costs to run the oven, etc etc etc. Maybe when you start bringing in things for free, they just assume that's what you want to do, and it just doesn't dawn on them to offer you money. Just the other day, the admin assistant at my daughter's preschool asked me to quote her a price for 220 cupcakes for the end of the year ceremony. So I have cost analysis on some cooking software, so I can come down to the penny on how much it is going to cost me to make stuff. I figured that just for the ingredients (plus cake boards, boxes, and cupcake liners) it is going to cost me $65. So I figured that since it was for my daugher's school, I would just charge the $65 and donate my time. The admin assistant balked at that price! She told me that she normally gets cakes from Wal-mart, so I'm thinking that to serve that many people, it's going to be way more than $65! She knows that they aren't going to be plain cupcakes, either...I am planning on putting chocolate letters on some, and then the rest are going to have 3 roses plus leaves on each. I don't know if she was expecting me to just donate the whole thing, or what!

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FatFace Posted 24 May 2006 , 8:33pm
post #8 of 25

Wal-Mart cupcakes! You get what you pay for.

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mpaigew Posted 24 May 2006 , 9:07pm
post #9 of 25

That's the thing...they didn't even get cupcakes from Wal-mart, they were getting regular cakes. She told me that it was too much hassle to cut the cake and pass it out when you have 100 little 4 year olds running around (which I understand!) so they wanted something easier. What would you guys charge for that many cupcakes, fully decorated?

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HollyPJ Posted 24 May 2006 , 9:15pm
post #10 of 25

I've never sold cupcakes, but from what I've read here, it's common to charge at least $1/cupcake. So for $65, the school is getting a huge bargain!
Could you even buy 220 cupcakes from Walmart for $65?

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justsweet Posted 24 May 2006 , 9:25pm
post #11 of 25

$65.00 is a good price, espically you are just giving them the cost.

Let them get wal-mart, she will pay more then $65. Even if it is cake.

Cupcakes decoated from the grocery store are $.85 plain and $1.25 with some kinda of decoration.

Don't break your back on this, if they want something good then they will pay.

Good luck

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SweetStuff221 Posted 25 May 2006 , 4:51am
post #12 of 25

I agree with them, Wal-Mart cakes are dry and the icing is nasty. and to get enough cake to feed that many students,,,, its going to be close to $100, she is getting a bargain if she chooses your cupcakes

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lastingmoments Posted 25 May 2006 , 5:11am
post #13 of 25

yes i agree........you would need 19 dozen from walmart to feed that many and even at 5.00 a dozen thats about $95.00 .......so she couldnt even get that much .......for 65......

I dont know........I have this rule...I dont give anything away anymore except ...MY mom and dad and brothers and sisters get there cake from me for free...never anything big...just something that shows i care and everyone else pays....at 1st to extended family i would just charge ingrediant cost.......and they took me for a ride.....ok maybe at 1st my cakes werent worth that much ...but as they got better niether did the donation amount i requested so i stopped.......

I never volenteer anything ...My daughters ballet school wanted cupcakes ...and Im sure they wanted them donated but instead I told her i charge 3-4.00 a cupcake if you order more than 50 i will give them to you for 2.00 each and you can mark up and make a profit if you want...thats about as friendly as i get...

Other wise my practice goes to my daughters cake....and knowing this I plot all year long.........trying to figure out what i want to learn and try

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Pootchi Posted 25 May 2006 , 11:32am
post #14 of 25

Me I always bring a cake at potlucks( actually I'm expected to, they just can't wait to see my cakes) but I always a few contracts withe ladies there right after the potluck. So I'm thinking about this more as an ad than a "free" cake. the last potluck I went to was for the friendship week, (anti-racism week), and the native community just fell in love with my cake, I'll try to attach the picture of it. And they said that for the Indian day in July, I'll be the one they'll call for the cake, so be prepared to bake a big cake! I said no problem!!! So I don't know how big it'll be, but I know there's a lot of people that'll see it!!!! little free cake, big cake order!!!
LL

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knoxcop1 Posted 25 May 2006 , 11:45am
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I had a lady say to me once, "It's just cake and frosting. Why should it be so expensive?"

Yeah, right, lady.

If it's just cake and frosting, go do the box mix and canned frosting for yourself.

THEN it's just "CAKE AND FROSTING!!"

--Knox--

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cindww Posted 25 May 2006 , 11:57am
post #16 of 25

I'm new to this game and at this point have only charged for one cake..it was a big one and took a load of time, but I charged $25 (the hello kitty cake). Still, it was for a friend and her daughter is special to me, so I enjoyed it. I have begun to wonder though how difficult it is going to be to find people who want to pay me what I believe my cakes will be worth after a little more training. Some people really balk at the price of cake and don't understand what goes into it. Even though it is a labor of love for me, I still want to feel that people appreciate that and are willing to pay for quality. I guess we'll never convince those people who can get a comparable cake at BJs or Costco. They're a lost cause!
Cindy

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debbie2881 Posted 25 May 2006 , 4:15pm
post #17 of 25
Quote:
Originally Posted by twindees

Then I have this girlfriend who is having a baby and she calls me to let me know at her baby shower I can bring a cake as my shower gift. (WOW)




I would take her a small cake not 1 to feed everyone.

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SweetThistleCakes Posted 25 May 2006 , 11:15pm
post #18 of 25
Quote:
Originally Posted by knoxcop1

I had a lady say to me once, "It's just cake and frosting. Why should it be so expensive?"
--Knox--




Doesnt that just infuriate you?!?!??!?! Last November, I was selling some items at a show and people were outraged that I was charging $5.00 for a dozen large cookies! They were big, and I thought the price was a bargain. Anywho, I had a lady ask me the simular question and I freaked out. (I have to learn to keep my trap shut on these things.) I told her my ingredients are all organic and my chocolate costs me $2.39 an ounce so what did she want me to do, give it away? I'm not UNICEF!

I think it comes down to that people want quality but dont always want to pay for it.

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littleone Posted 26 May 2006 , 4:58am
post #19 of 25

I always take free cakes to things, but because I want to. Now, not to evey potluck, my church has one about every week. I have picked up a lot of business from bringing my free cakes. I usually make them for bridal showers and baby showers at our church though. The women at the showers than call me when I friend is looking for someone to make a cake for a friend or thir child's birthday. I am always offered money, but many times donate the cake as part of my gift.

However, I do this as a side job. I also have an ebay store, so it is not my only source of income. However, I stay pretty business with cakes and do about 1 or 2 a week. My only advertisement is the free cakes and word of mouth.

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leta Posted 27 May 2006 , 4:57am
post #20 of 25

I have been doing free cakes for about a year, sometimes getting the cost, I have tons of cake supplies now and quite a bit of experience. Now I tell people I am starting my business and I want to do mostly wedding cakes. Right now my price is 1.75 per slice. That's pretty much the same as walmart. My cake is much better than theirs. But it works out. I get paid to build my wedding cake portfolio and they get a discout wedding cake. So for a cake for 150 ppl I can make $150 over my cost. It's great and I love making wedding cakes. I don't want to do 5 or 10 bday cakes a week. The word of mouth is getting around and the brides who have tasted my cake have all booked with me. I did donate a special occasion cake to the school silent auction. The woman who bought it ordered extra cake and paid for it, so I about broke even, and again, it goes in the portfolio.

My sugar art was shown on the food network, and my gingerbread house was purchased for $600 which went to charity. Those pieces were a lot of time and money, but not wasted at all.

By the end of the summer I'll raise my price, and with my added experience, the brides will be getting a great deal still. My husband is happy that my cake habit is supporting itself, and I have the money to buy new pans and decorating stuff.

I would say the free and discounted cakes have paid off.

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tammiemarie Posted 27 May 2006 , 4:26pm
post #21 of 25

I am been thinking a lot about this, as I am still new. I have also been doing cakes for family and friends, basically only asking for enough to cover my costs. My thinking was that if I were taking classes, I would still be paying for all of it, plus the cost of school too. So, I am building a portfolio, learning a LOT, and getting my name out there. Plus, I tell them, I will be trying a new recipe or technique, is that OK?

Well, it's worked, and now others are beginning to ask for prices. Now what? My customers have always said I didn't ask enough, and sometimes even give me a tip. But I don't feel like I can charge more than Walmart - because the first time I do, is the time I will screw it all up somehow. You know, drop the cake or something, and then they will think "Why didn't I go to Walmart?" icon_lol.gif

I was asked yesterday for a price on a large sheet cake. I told her I would get back to her. This would be a good advertisement for me! Is it wrong to ask them how much they had in mind? I know she has a budget for this, it's a school function, why can't I just say, "Well, how much do you have to spend?" That way, if it's not enough, I can say, "well, I could do it for that and donate the rest, since it's for a good cause." And still get my name out without having her spread the word I work for cheap!

What do you all think? Or would it be best to have a strict price sheet? I feel like i would miss opportunities by going that route.

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knoxcop1 Posted 27 May 2006 , 4:41pm
post #22 of 25

TammieMarie;

Sounds like you've already got a "feel" for your end of the business.

I'd work with people and negotiate for a while, at a level that's comfortable for you, and then--when you feel that it's proper--maybe do a pricing sheet.

I make small, informal cakes for a local basketier. We're not only business partners, we're friends. So, when she has a new project in mind, I'm pretty flexible, because one of my business cards goes into each basket, and I have gotten orders for cheesecakes/icing/fillings/cakes that I've shipped all over the place!

However, on the same token--when a lil' rich girl comes to me through a recommendation--I'll be charging ole' Dad a great deal more per slice!

It all works out in the end, but ultimately it's YOUR WORK/TIME/EFFORT/ARTISTRY that people are paying for...

And YOU are the only one who can determine what that's worth, and how you demand payment.

Hope this helps!
--Knox--

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rezzygirl Posted 27 May 2006 , 4:42pm
post #23 of 25

I have a price sheet but I have asked about budget before and presented options. That way they know exactly what they are paying for. For instance I'd say we can start at a base price of___$$'s , and if you want fondant I can add it for ___$$'s, basketweave...etc. , No matter what they decide to go with, I try to make sure they know they will get a great tasting cake to begin with. Most of the time, I throw in extra decorations anyway because my creative side gets the best of me! Bottom line is it's important to stay flexible (but don't break!!) icon_lol.gif

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candyladyhelen Posted 27 May 2006 , 4:55pm
post #24 of 25
Quote:
Originally Posted by cindww

I'm new to this game and at this point have only charged for one cake..it was a big one and took a load of time, but I charged $25 (the hello kitty cake). Still, it was for a friend and her daughter is special to me, so I enjoyed it. I have begun to wonder though how difficult it is going to be to find people who want to pay me what I believe my cakes will be worth after a little more training. Some people really balk at the price of cake and don't understand what goes into it. Even though it is a labor of love for me, I still want to feel that people appreciate that and are willing to pay for quality. I guess we'll never convince those people who can get a comparable cake at BJs or Costco. They're a lost cause!
Cindy



Cindy, my dear, I will be brutely honest with you....your photos show you are waaaayyyyy past the "giving them away for free" cakes. Your cakes are execellent. First, get comparative prices from area bakeries, inc. Wal Mart. Then type up a professiona price sheet, including your flavors. I will email you mine if you send me your email. (mine is : [email protected]) Then put your photos in an album. Make up a contract for your customers. (I will email you mine) And then just start to believe in yourself as a decorator & your product. Helen

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leta Posted 27 May 2006 , 9:09pm
post #25 of 25

Here's a great suggestion I received at the local cake club. Set a minimum price for anything you do. Say to yourself, "I'm not letting anything leave my kitchen for under $_______." Maybe $30 or $40.

When a friend of a friend called and asked me for 2 cakes for 2 kids bdays the coming weekend I told her $40 each. She thought that was a lot, the next day she cancelled the order. I said that was perfectly fine. If they want a plain bakery cake, the bakery can do it a lot better and cheaper than I can. The thing was she had been to several bakeries and they could not do the cake up as nicely as she wanted. I was happy to have the weekend free.

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