Does this happen in your cake business?
A potential client wants a cake designed by you. You are soo excited to make more money in your cake business but soo confused on what to quote your customer.
So you play the good ole guessing game.
You pull a number out the clear blue sky, you just aren’t too sure if this is the right pricing for the cake. You hope it isn’t too low but you hope it isn’t too high.
Or, you are thinking of posting the photo in a Facebook Group and asking other cake designers what they should charge for the cake.
Okay, let’s pump the breaks here!
Running a successful and profitable cake business isn’t a guessing game. There isn’t guessing your way to the top!
One thing I struggled with month after month with my cake business was, “How much does this cake cost?” I would mentally scratch my head and think, “How the hell do I know what to charge?”
And in those same months, I’ve barely made enough money in my cake business to financially support myself.
When the bills started coming in, I said enough! I am going to STOP GUESSING and know how to confidently quote my cakes.
Here’s how you can STOP guessing at what to charge for your cakes:
1. Getting clear on every single expense to create one cake.
I had a general idea at how much my cakes were costing me but I just wasn’t confident I was charging enough. That’s when I got a piece of paper, pen, calculator, Microsoft Excel, and I got intimate with every single cost it takes to build one cake.
When I got clear on every expense I saw how much I initially left out!
In fact, I created this awesome freebie: Price your Cakes Checklist you can grab below!
When you truly know all the costs associated with creating one cake, you begin to confidently charge what the cake is truly worth.
2. Time how long it takes you to make your cakes.
Most cake designers greatly underestimate how long it takes them to create their cakes. And with all cakes, time to design is the bulk of the expense.
The next orders you have coming up, time yourself while doing everything in your cake business. From baking, cleaning, consultations, designing, delivering the cake, stacking, covering, layering…everything!
Once you know about how long it will take you to make your cakes, you will confidently know how long to make each cake.
3. I created a cake minimum.
A great place to start with charging for your cakes is to charge a minimum for your cakes. That way, you have a benchmark and a pricing standard to keep.
All cake businesses need a minimum dollar amount to book a cake. This is also very helpful when you need to set financially goals each month. If you have a minimum, you are clear on how many cakes you need to sell to reach your income goal.
Whether it’s $250, $500, or $700 - pick a number and stick to it!!
Pricing your cakes for Profits is something you can easily do in your cake business, it takes time to properly know how to price your cakes.
I have a FREE Training that will help you Price your Cakes for Profits! Inside this training you will learn:
• How to STOP guessing at how to price and quote your cakes and get clear on what you need to do to know how to price your cakes accurately.
• Get clear on how to pay yourself in your cake business, how to grow your cake business bank account, and how to reach your cake income goals each month.
• HOW to STOP undercharging for your cakes and finally attract the clients who will pay your new prices.
I hope this post gave you more clarity for how to STOP guessing and start to accurately quote your Cakes!