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handymama
Frequent Member
Joined: Nov 01, 2006
Posts: 440
Location: Traverse City, MI
Birthday: Nov 12
Gallery Supporter Member
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 Posted:
Wed May 07, 2008 9:04 am |
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My bakery isn't even built yet and people are wanting to rent it. Since it's a special dream come true that's been birthed through many hard labor pains I'm not eager to rent it at all. On top of that, it's going to be nicer than my home kitchen in some respects! Anyway, I need to know what is a fair rate for hour/day/week/month, and if this would include all of my equipment including small things like gumpaste tools and brushes. If you are a renter or you rent your space please tell me what the rules are as well as the rate. Thanks so much.
Nancy |
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jewelykaye
Frequent Member
Joined: Feb 12, 2006
Posts: 276
Location: Spring, TX (Outside Houston)
Gallery Supporter Member
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Wed May 07, 2008 1:38 pm |
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I rent kitchen space from a bakery. I pay $10/hour. I pay that only expecting to use her space not her tools however her and I get along really well so she lets me use anything.
I think it has worked out really well for both of us. Because when she goes out of town or gets booked for a date then she sends the business to me. This looks good on her because she is still helping the client. Plus any business she refers to me I give her 10% plus she gets the $10/hour for the time I'm in her shop working on the cake.
I would say to carefully interview the people who want to rent from you. You have to make sure that your personalities fit. |
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shapeacake
Junior Member
Joined: May 02, 2008
Posts: 30
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Wed May 07, 2008 5:10 pm |
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I pay $17/hour. I'm allowed to use almost everything in the kitchen (except ingredients of course). I had to pay a substantial deposit, and there are strict cleaning guidelines, which I appreciate. Storage space is extra. I was looking at another place for $20 an hour.
Consider requiring insurance (most liability insurance comes with fire insurance for your place), and be sure to see proof of their food safety certification.
Definately prepare a contract. |
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indydebi
Forum SuperStar!
Joined: Jul 07, 2006
Posts: 12334
Location: Indianapolis IN
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Wed May 07, 2008 8:06 pm |
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I plan to rent out the down-time in my kitchen ..... $350/month, proof of insurance and food safety course. I dont' want to keep track of hours which is why I prefer a flat fee per month. Plus it's easier for me to budget a flat fee on the income stmt. If the renter is in there just 10 hours a week, it works out to less than $10/hour. |
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Mac
Forum Fanatic
Joined: Jul 20, 2005
Posts: 1995
Location: East Texas
Birthday: Aug 29
Gallery Supporter Member
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Thu May 08, 2008 5:35 am |
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I pay $400 a month for 3 evenings a week for 4 hours (6-10). That figures abbout $8.33 per hour (sometimes I am there less than that. I supply my insurance and all of my licenses--don't forget those. I don't use any of their ingredients, I purchase my own and LABEL them. I do have one cabinet are that I absconded for my stuff. |
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Alligande
Junior Member
Joined: Sep 03, 2004
Posts: 78
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Thu May 08, 2008 8:10 am |
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I pay $10.00 an hour or $60.00 a day. They only items that our orginal deal included was use of the kitchen and the heavy equipment (mixer, oven etc.) all ingredients and small wares where provided by me. I now have a much more flexiable arrangement, as we have become friends and I help my landlord when he needs a chef.. and we both gave up keeping track our understanding is that if one of us feels abused that we will speak up!
If I was using my own kitchen I would be concerned about renting it out to my competition, my landlord is a deli, I make cakes no conflict, he also rents to a couple of small cateres and once again no conflict because they do onsite catering he only does off site. |
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shaloop
Junior Member
Joined: Aug 08, 2005
Posts: 46
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Thu May 08, 2008 1:47 pm |
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I pay $350/month for 2 1/2 days per week. I use the sinks/ovens/prep tables but have all of my own smallwares and ingredients. I have two shelving units for my stuff and share the cooler and freezer on my work days. I'm renting from a caterer. She does savory, I do sweet. Still a new arrangement so we have yet to bump heads on timing/kitchen use. My former kitchen roommate was a tamale shop. Paid $300/month and shared use of ovens/prep tables/sinks and I had my own storage shelving and refrigerator and small appliances (mixer/food processor, etc). |
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terri76
Regular Member
Joined: Jan 14, 2008
Posts: 127
Location: Mississippi
Birthday: Sep 14
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Fri May 09, 2008 7:45 am |
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ok, I'm amazed! I've never priced renting a space but how do you come out with a profit on your cakes? I've talked to my local health dept. and I have to have a seperate kitchen at my home to be "legal". I've thought about renting a space but at those rates, I'd not make a profit.
I don't know what to do, I want my own space but the cost of a small building/shed/rent is to high. Any advice? |
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indydebi
Forum SuperStar!
Joined: Jul 07, 2006
Posts: 12334
Location: Indianapolis IN
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Fri May 09, 2008 9:36 pm |
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| terri76 wrote: | ok, I'm amazed! I've never priced renting a space but how do you come out with a profit on your cakes? I've talked to my local health dept. and I have to have a seperate kitchen at my home to be "legal". I've thought about renting a space but at those rates, I'd not make a profit.
I don't know what to do, I want my own space but the cost of a small building/shed/rent is to high. Any advice? |
Same way those who have a storefront make a profit and pay their rent every single month .... volume and excellent pricing.  |
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Mac
Forum Fanatic
Joined: Jul 20, 2005
Posts: 1995
Location: East Texas
Birthday: Aug 29
Gallery Supporter Member
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Sat May 10, 2008 6:46 am |
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From past orders and looking at the books from last year, most of the time, orders from one weekend covers my rent. About half of the next weekend orders covers my expenses (ingredients) so that makes 2 1/2 weekend orders my profit (IF I can keep my hubby out it...LOL). |
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terri76
Regular Member
Joined: Jan 14, 2008
Posts: 127
Location: Mississippi
Birthday: Sep 14
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Sat May 10, 2008 7:26 am |
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Thanks Mac! That makes me feel better and gives me just what I was looking for. If you don't mind me asking, about on average, how many cakes do you do a week and are they mostly layered (larger) or sheet...?
Thanks a bunch!!! |
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Mac
Forum Fanatic
Joined: Jul 20, 2005
Posts: 1995
Location: East Texas
Birthday: Aug 29
Gallery Supporter Member
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Sat May 10, 2008 5:45 pm |
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I usually have at least 1 wedding cake (the minimum I charge for a wedding cake is $75.00), 1 2-tiered or larger birthday cake, 3 or 4 sheet cakes and about 6 dozen cookies.
Most of the wedding cakes are for 100 guests at $3.00 per serving, and I charge that for ANY tiered cake. The sheet cakes are $35 for simple BC and the cookies are $2.00 each and up.
Hope that helps...January is always slow for me and for some reason, I panic...LOL!!! But then comes valentine's day and I am off and running for the year. |
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handymama
Frequent Member
Joined: Nov 01, 2006
Posts: 440
Location: Traverse City, MI
Birthday: Nov 12
Gallery Supporter Member
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Fri May 16, 2008 7:36 am |
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What sort of licensing and insurance do you require of your renters? |
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SugarMama602
Regular Member
Joined: Apr 30, 2008
Posts: 119
Location: Phoenix
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Fri May 16, 2008 2:56 pm |
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I'm looking at a space in AZ for $20/hour - but we haven't discussed the storage of things I need there. Hopefully it's not an additional charge!!! And I have a call in to the Health Dept. regarding the storage of my cake pans at home and then bringing them with me. |
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