I'm meeting with owners of a small cafe next week about using their kitchen and would like to have a few ideas on what to offer for payment should they ask. Any thoughts on bartering for kitchen time? I will also have a dollar amount in mind, but want to keep my options open.
Are you talking about offering free products the cafe could sell? If so, how much of a profit would the cafe expect to make on each product, and what would you estimate for sales volume? Does the cafe already sell products related to yours? Do they have room to display them?
If I owned a small cafe I would much prefer collecting cash (probably in the $15-20/hour range) for kitchen rental usage, then pursuing a separate agreement to purchase your products wholesale if I were interested in offering them for sale.
I would approach it as a way to lower your rent rate rather than in lieu of rent because there is no guarantee you products will sell for them and net them income. I have had a few customers barter for thier cake and I always expect that the retail value of the item they offer will be greater than the value of the cake for me accept it.
So I would suggest offering them something along the lines $75 retail value of product for $50 off your rent for the month after you have already discussed rental rates.
Thank you both for your responses.
jasonkraft: A first glance in the cafe tells me that they would have room to display more goodies and I do make somethings along the same lines that they do. This will be my first meeting with both owners, so I will know better what they are looking for after talking with them. During my first brief intro meeting, he did ask me about wholesale, so I think you're right, I should put something together for that.
AmysCakesNCandies: Great thought! I will keep that idea in mind!
Excellent post i like it