Price Update

I started selling baked goods for people first via a facebook group and now through this website at the beginning of May. It has been especially tough at times-especially when I was trying to balance two other jobs at the same time. I have had to learn a lot especially on the business side of making bread while modifying recipes to create consistent loaves of bread and other yummy sourdough pastries.

One of the hardest things I have had to figure out recently is how to price my goods. I knew that I have to include the cost of materials, but I also realized that I have to include the cost for my time and some kind of margin to invest in the possible future of this venture. I also knew that I had to just get started, so I figured out the cost of materials and then set a margin that I thought would cover my time. If someone out there can help me with this and check my pricing schedule, that would be awesome!

The most recent thing that I realized was that the price that I was posting was not representing the time that it took for me to make my products. I found a youtube video by Small Food Business that helped me organize my recipes. Today, I finally added my estimated labor costs to my recipes. Because of that, I had to raise my prices in general to cover labor costs with a small amount extra to try to invest into baking supplies.

It is kind of crazy what kinds of things labor includes. This can include:

  • Receiving orders and staying organized
  • Purchasing needed materials for weekly recipes
  • Prepping recipes for bake days
  • Feeding my sourdough starter prior to baking
  • Cleaning up my kitchen after feeding my sourdough starter
  • Mixing ingredients
  • Cleaning up after mixing ingredients
  • Performing stretch and folds on breads every couple of hours during 6-8 hour bulk fermentation
  • Baking my products on bake day
  • Cleaning up my mess while baking on bake day (cleaning is honestly the worst part)

Items that my cost does not include:

  • Delivery of baked goods (on purpose)
  • Experimentation with recipes during the week (mostly because I enjoy it)
  • General organizing that just needs to happen when you start a business

I am purposely not including a delivery price in the cost of my baked goods because a lot of people are struggling right now because of COVID-19, and it is one way that I would like to help others. Also, it is a good way for me to get a good amount of exercise once or twice a week, so I really don’t mind 🙂

To put it simply, there is a lot that goes into making sourdough bread and my other products. But, I am learning a lot, and I am and will become more efficient with my recipes and my processes.

So in summary, I wanted to say thank you to those who have already purchased from me and thank you to those who will in the future. Thank you for your patience as I figure out specifically my pricing schedule. And thanks for being considerate when I make mistakes in general (please tell me when I do make mistakes, so I can learn from them).

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