Who Does Wholesale Baked Goods? I've Been Approached....

Business By ButtercupMama Updated 27 Jan 2009 , 11:36pm by didi5

ButtercupMama Cake Central Cake Decorator Profile
ButtercupMama Posted 27 Jan 2009 , 10:34pm
post #1 of 5

HI guys,
I've been approached to make *wholesale* cupcakes and cookies for a really awesome coffee shop near one of the local colleges . Up until now, we've only done retail.
I need to work up some pricing for them, and I'm not sure what percentage of my regular retail price I should charge. Anyone have experience in this matter?

4 replies
chutzpah Cake Central Cake Decorator Profile
chutzpah Posted 27 Jan 2009 , 10:38pm
post #2 of 5

Does it take you less time and fewer ingredients to make cupcakes for a coffee shop than it does to make them for a customer who pays full price?

leah_s Cake Central Cake Decorator Profile
leah_s Posted 27 Jan 2009 , 10:58pm
post #3 of 5

Also check into licensing. In my area you're no longer Food Service or Catering when you wholesale. You move into Manufacturing. If you think normal licensing requirements are interesting reading, check the manufacturing rules. Just something to look into.

mcdonald Cake Central Cake Decorator Profile
mcdonald Posted 27 Jan 2009 , 11:10pm
post #4 of 5

This has been talked about before and I think everyone agreed that, as stated above, it takes you the same amount of time and ingredients whether you sell to someone that is a company vs an individual. I think that you should sell for what you would sell to an individual for. Don't short yourself.

didi5 Cake Central Cake Decorator Profile
didi5 Posted 27 Jan 2009 , 11:36pm
post #5 of 5

If you can make them commit to buying from you regularly, let's say once or twice a week then it can be a great way to have a repeat business. You can also set an MOQ ( Minimum Order Quantity) per order, for example of 4 dz. cookies per order or $ 100 per order, and be sure that whatever that MOQ is you are well compensated for your time and effort. If they haggle you for cheaper pricing, tell them along the lines of - My regular price is $2 but if you buy 50 or so I can give you a price break of $1.75.
If you decide to go for it, have a trial period of say a month or two. If you think it's not worth it then let it go.

Quote by @%username% on %date%