Search the Community

I'm interested in how others might price this work... I have a formula I use for pricing some of my custom wood work from my pre-scrolling days However, now I am being asked to make new custom items from scratch and not sure if my original formula will suffice. My orig. formula is: Material cost + Hourly rate * hours worked = Baseline - then multiplied by ( overhead 1.15 + profit 1.25) (see below for work sheet) I'm using a base Hourly rate of $25 which I think is a fair trade rate I'm currently making a piece that has 12 scrolled cutouts (Small items with names cutout) I'm charging my customer (a good customer and neighbor LOL - they so far purchased $350 worth of custom pieces) $200 as a preferred (neighborly) customer price I'm calculating the whole piece will take me about 6-12 hours total Using my formula and 12 hours, I come up with a price of $210 for the whole unit with Profit and $193 with just overhead Does this make sense from a pricing perspective to anyone or is it me that thinks $200 is justified for both a good customer and neighbor? It seems a bit high for a good customer and neighbor since my baseline is about $168. And yes, they are good neighbors Thoughts? Thanks as always in advance Here is my work sheet Materials Qty Cost Hours Baseline Baseline + Overhead (1.15) Baseline + Overhead + Profit (1.25) Pattern 0 $ 3.00 $ - Poplar 1 $ 30.00 $ 1.88 Paper/Ink/ 1 $ 0.20 $ 0.20 12" x 36; Duck Shelf Liner 1 $ 16.31 $ 0.45 Adhesive/Oil/Shellac 1 $ 7.98 $ 0.50 Total $ 3.03 12 $ 168.16 $ 193.38 $ 210.20

Hi All. Next week I will be doing my first ever Craft Show a bit nervous don't have any idea what to take so I'm doing everything in threes and see what goes and then replace them, I thought about all kinds of pricing and came up with these small wooden labels in ply and red oak and the price wood burn't into to place in front of goods. Who knows you might like them. Roly