we have been making cakes on side as a hobby and have been getting more and more offers.. most have been friends so we havent charged much, but after seeing what we spend to make the cakes we are not making much if any profit.
so we got an order for a 2 tier wedding cake that serves 20, what would be a fair price for a nonfriend
thanks
thats probably as close as you can get.. i generally will have a cake that feeds just a little more than requested.. i still charge based on the brides order.
In that case, I would like a 10" round, 2 layer cake. I'm going to feed 2 people with it. So, you only need, like, four bucks, right? 
no, no, no, no, no. You charge for a cake based on how many people it's designed to feed ..... NOT based on how many pieces they plan to cut from it.
This is where the KFC analogy comes in. A 12 pc bucket is designed to feed 6 people, based on 2 pcs per person. But if your family "decides" that 4 pieces of chicken is a serving, you don't get it for half price just because you're only feeding 3 people with it instead of 6.
I've done that. Someone called one day and wanted a sheet cake to serve 10. 
I told them my smallest sheet served 35. They said ok. Did I charge them only $15 ($1.50 x 10 servings)? Heck No!!! They paid the $50 and had cake for 35.
I don't care if they want a cake to feed 35 and 36 is as close as I come... they will pay for ALL 36 servings... I'm not in the business of handing out free cake servings.
To the OP, it will really depend on how fancy a cake it's going to be... simple buttercream with a piped border and swiss dots? All fondant with scrollworka nd sugar flowers? Huge price difference between those two... Also, what do cakes go for where you live? That's a big difference... identical cakes in New York City and East Corncob Iowa (no offense to my Iowan sisters out there lol) will not be priced the same. We'll definitely need more info to help you out.
Can you make a two-tiered cake to serve only 20?
A 6/8 serves 12/24, total 36 servings.So what would that be? A six and a four to serve 20?
LOLIt reminds me of the bride that wanted a three-tier to serve 15.
You know, I hate screwing around with a 6" (I will not do them as a stand alone cake ... only when it's a wedding cake top tier), so screwing around with a lousy 4" would get a BIG PITA charge! They might as well buy the bigger cake. I got overhead to pay and a 4" cake doesn't pay it.
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