I am wanting to implement a deposit policy after purchasing ingredients and having the people cancel the event. I know, I should have done this a long time ago.
I was thinking:
Orders under $100 need to be paid for at the time of order
Over $100 require a 50% deposit, final payment at pick up
except weddings which would require $100 deposit, balance due 3 wks prior
I have always required this for weddings (or very large events) but nothing for parties. I have been in business 3 yrs and never had a problem until this week. Luckily it is all working out but I don't want it to happen again. I guess I feel leery of asking someone to pre-pay for a party cake which I know is silly because I have no problem asking for full payment for a wedding cake up front.
I am having issues this week, I spent a half hour convincing myself to stick to my price of $2 per cupcake. GAAH, does it get easier?
Feedback on the above policy is appreciated. Thanks!
Over $100 require a 50% deposit, final payment at pick up
except weddings which would require $100 deposit, balance due 3 wks prior
If you want it to be less confusing, make all cakes over $100 payable in full 3 weeks prior. Cake is cake. 
All cakes that can be ordered from my website (cakes and dessert orders under $300) must be paid in full at time of order. Large event cakes costing over $300 require a 50% or $300 deposit (non-refundable) whichever is larger amount. Balance due 2 weeks prior to event. Clients are welcome to make payments at any time prior to the 2 week deadline however all funds paid in become non-refundable once paid.
The way I do it is by having all orders under $50 paid in full. Orders over $50 1/2 down then the remainder due on pick up. Orders over $200 1/2 down then the remainder due 2 weeks before the event. No problems or complaints.
I require:
100+ servings: 25% down, balance due 3 weeks before event
20-99 servings: $50 deposit, balance due 3 weeks before event
Under 20 servings or any rush cake: full balance due at time of order
Thanks all! I had this lady call for a cake for next Saturday ( I have been on a bit of a hiatus) so this is the first time for me to put this policy out there and I guess I am nervous about her reaction.
The cake is less than $100, actually the more I think about it due to the last minute-ness I should get paid up front. I really need to put this on my website so folks will know up front.
Boy, I thought I had gotten a pretty good backbone about these things but this week is proving otherwise!
Thanks again for your input!
Another question, how do ya'll guesstimate the % down for a wedding when they often don't know how many servings until a couple of weeks before (and that's what determines the price). That's why I have an amount down and not a percent and then the balance due about when they should have RSVP's.
Do you just have a minimum and base the % down on that?
Another question, how do ya'll guesstimate the % down for a wedding when they often don't know how many servings until a couple of weeks before (and that's what determines the price). That's why I have an amount down and not a percent and then the balance due about when they should have RSVP's.
Do you just have a minimum and base the % down on that?
Ask how many invitations they sent out or will send out and do your own math. There are lots of differing formulas. I say 100 invites equals roughly 200 mouths and half of those will show so I'd base this on 100 servings. But there are many divergent formulas on head count--so find one you're comfy with.
If that doesn't work--figure your average amount of servings made per cake that's been ordered from you. Like mine would prolly be 150 so I'd base it on that.
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