I have recently agreed to bake for a bachelor friend of mine. He says he likes anything, but I think it would work better if I give him a list of items with a price for each. My problem is determining what I should reasonably charge. I need a general technique or formula for figuring out the cost to make things like 1 dozen cookies, l dozen muffins, a cake, a pie, l dozen tarts and a way to figure out a reasonable markup for my time, electricity etc. Anybody have any ideas?
Add your voice! Click below to answer. ThriftyFun is powered by your wisdom!
no suggestions but maybe the cost of the baked goods, maybe you could go to your local grocerie store bakery and make a list of the cost of the same items per dozen you would be making him to know what to charge him. on gas i'd zero out my mileage odometer from your house straight to his then double that number for a days mileage then depending on how often you go there per week see how much miles it ends up being then see how much gas you used then. hope that helped.
The first feedback was good. Also, determine if you are cooking as a friend or to make money. If you are a friend and enjoy doing this, I'd think doubling the cost of ingredients.
Your baked goods will be 100 times better than the ones they sell in the grocery store, so charge more than they do! Charge a bit more than what they'd sell for in a bakery or a 7-11... I think you should get at least $1.50 per single muffin & about $5 or so for a 6 pack??? Call & check the prices in a large health food store's baked goods area... Health Food Stores are your closest competition for healthy & tasty, freshly baked goods!
--->You are interested in BAKING only, but this may lead to WHOLE MEALS! ...
* There's money to be made by stay-at-home folks by cooking good, old fashioned, fresh meals... as people these days don't have the time to cook for themselves or their families, BUT, they still want healthy, good tasting food. Here's some things to think about if you decide to expand your baking to whole meals.
* I've gone to many classes about making things (arts & crafts) & selling them. To determine the price to charge for your work. Here's a bare-bones formula: (IF you used VERY LITTLE labor to make the item!) You could charge about 4 times what you paid for the ingredients. This formula can work for selling some art, but I doubt it will work for food. This (4x) formula, is just a "bare bones" way of determining a price. Look to the list below to REALLY determine your costs & prices. You are basically selling a "Craft". Cooking is your "Art"... I tell my students that are interested in selling their home-crafted wares to keep in mind the things below when determining their prices:
1) How much did the contents (Ingredients) cost?
2) How long did EACH item take to make? (Time yourself & keep a record & a "time log" book, & keep this book with you!) I tell students, You need to get AT LEAST minimum wage! But twice to 3 times minimum wage is best! ... If, after you've subtracted your costs, you can't get minimum wage, then forget doing it, as it's just not worth your time!
---> As far as a menu goes, you could have a 2 week rotating menu of food that both you & he like... Once you sit down with him & find out what food he likes, also, does he want low fat used, less salt, is he trying to loose weight, diabetic? etc... But in the end, after the first week or so, you'll know his tastes, His likes & dislikes. Make sure you ask him what food he hates (Lima beans? mushrooms? etc) You can even have him fill out a questionnaire about each meal in the beginning just to get to know his tastes... (for example, with me, I hate my food salted... & I never want butter added to my cooked veggies) everyone is different. Take no offense if his taste buds work differently that yours!
---> TO FIGURE PRICES: I'd start by adding up how much time it takes to shop, How long it takes to cook, wrap & store his food & clean up afterwards, then multiply this figure by (at least) the minimum wage in your state (In WA it's a little over $7.50, so I'd start with that figure) Then add: how much it cost for the food itself, plus how much gas you use to shop. Add these up, then that should help you know where to start when figuring out your costs. Plus, look around & see what restaurants & take out places in the area are charging for the same things!
* One last thing. (I know this from doing daycare in the past) You'll see him everyday or nearly everyday... Will he stick around your home & drive you nuts because you can't find a nice way to get him to leave... Maybe not, but it's just one more thing to think about...
---> I've been thinking about these things for a while because my daughter was planning to cook healthy meals for her brother. They decided against it because he car-pooled & didn't want to go back out to pick up his food every day. But if you have a large enough freezer, this problem can be solved. As your friend could pick his food up every 3 days or so, if you froze it. Make sure to write down the re-heating & cooking instructions!
---> Here's what you can do: On a recent TV show called : "WHAT'S YOUR TIME WORTH?" on the "FINE LIVING" cable channel they showed several places that cooked homemade meals then delivered them to peoples' homes. Their prices could be a starting point for you. I believe that food delivery service posted a menu on their web site. They'd give people a choice of 2 or more different options each day for each category (2 deserts, 2 main courses, 2 veggies, etc.) Each day the menu was different, but folks could order weeks ahead if they chose to do so....
--->It's called "Meals Made Easy" with "Wally's food Company"
Wally's food Company: (They even offer Gift Certificates, how about Gift Certificates for your muffins!)
THIS WEEKS MENU (& high prices! ..I think they are in San Fransisco)
Hi Mary Lou,
The suggestions from Cyinda, moja and the seamstress are excellent :-)
My friend owns a catering company, and she takes the price of the ingredients and marks them up, $30.00 food cost, she charges $90.00, etc..... This is one option.
I agree with everyone about getting paid what you deserve to be paid, but my advice is not to go overboard. He isn't going $1.50 per muffin if he can get bakery items at the grocery store or local bakery for cheaper and have a larger selection. If I were in your place I would sit down with my potential customer and find out what his expectations are price wise. If he tells you he thinks $5.00 per dozen muffins is the highest he would pay and your price sheet says $10.00 you know there is a problem! Likewise you don't want to be taken for a ride either! Remember you are only making money if you are SELLING your stuff! Good luck! This sounds like a fun way to make some extra money with potential for growth.
I would not pay more for the items than I would pay at a bakery. What would be the point? Fresher maybe, but weighing the options, I still wouldn't pay more.
Advice: Don't do this at all. It nearly caused a huge battle with an elderly friend of mine who got to where whe didn't even want to pay me for the basic costs of foods. I ended up LOSING money, making NOTHING and worked to DEATH, trying to package the items to her satisfaction! Rather, suggest that you will call him and share extra portions from what you cook normally for your family. Believe me, it isn't worth it, unless the person cares NOT what you charge. They forget gas, time, sweat, inconvenience, delivery, packing, AFTER the purchases and cooking. We just can't compete with decent cooks, prices, at restaurants or grocery stores deli, believe me. Gracefully back out before you begin! God bless and help you. : )
Add your voice! Click below to answer. ThriftyFun is powered by your wisdom!