How much could I charge?

[Cadbury]

I often make cakes, handmade chocolates and truffles, biscotti, that kind of thing, for friends as gifts. One of them has suggested I could start up a little business and charge for them, but I don't have the first idea about how to work out what I would charge. I have tried searching the internet a bit to get an idea, but the only people I can find are in the USA and are shop based. I don't know that I am looking to start a proper business at this stage, probably just for friends who want gifts to give others.

Any advice? Suggestions? Things I need to think about?

i assume these will be premium/handmade things, so go to waitrose (or ocado) and/or local posh deli and see what they've got and what they charge for stuff that's in the same sort of range as yours.

then work out how much it costs you to make them - INCLUDING a reasonable amount for your time and trouble

then compare the two

health & safety-you will need proper facilities at home- you need to contact your local council as they will need to inspect your home and washing facilities,

As GND says you will need a catering standard kitchen, no pets, protective clothing etc.

darn it, might have to wash the kitchen floor then !

thanks for that. will think on.

Just to add- you need to have 2 sinks- one for hand washing, the other for utensils/cooking, then there are lots of other regulations re. food hygiene.

You would also need proper public liability/prof. indemnity insurance etc and presumably labels of ingredients for the items you make.

How many do you intend on making? are you just selling to friends, or to the general public? If selling to the public you will need to contact your local environmental health department and get your kitchen cleared (not necessary to have a catering kitchen). They will give you a guide, and you will have to record what you made and when. You may also need to do a food hygiene course. You will also need to register as self employed and keep proper records. Liability insurance is a good idea.

Contact the caterers club for a good deal on insurance. You will also need to find out about labeling and packaging. Etc. As far as pricing goes. Factor in all your ingredient and packaging costs per item, then times it by 3. This is a general rule of thumb. Obviously you will have to make some adjustments.

I hope you're not feeling a bit intimidated now, Cadbury. Nothing like a bit of bureaucracy to give you cold feet. I say go for it with friends at first on a casual basis, and if it takes off, then do all the legal stuff mentioned above!

check out the WiRE website as lots of people making cakes etc on there.

Might give you pricing ideas and the sorts of things they sell.

thankls for all those suggestions and pieces of advice. Will try and get my head round them all.