What would be an average fee for my time per hour catering?
I do the shopping, prepare, cook, serve meals, set-up, wash and clean up. I do this for a out of a motorcycle team that really doesn't have a big budget and cook out of our RV/Race truck.
I compile cost records of the food and supply receipts I purchase for the team. I do get reimbursed for that. Although before I leave I prepare larger meals ahead of time with my own food that I can't account for with receipts, so I am eating that cost. My problem is I am unable to calculate what the real cost is for me doing this.
I just don't know what to charge per hour for my time and be reasonable about it.
I was asked what do I think your time is worth?
I usually prepare Lunch and Dinner 3 days at the track.
I don't mind doing it, but I want to make up for what I do before and make a profit for myself. I would say 12 hours of my time is for the team, that's being generous. So I figured $200.00 per race. What do you think?
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5 Comments:
so the $200 would be for a 12 hour day, including shopping, cooking, cleaning -- plus food costs -- per race? that comes out to $16.60 per hour, i don't know where you live and if that's a going rate. so if you do 3 races a week, that would be $600 for the week. it's hard for me to say - if you like doing it - is it worth it to you?
you should also keep track of the food you are buying yourself... keep receipts and get reimbursed. just be clear up front, have set rules, set a price that you feel good about. because it's a lot of work to do if you're not happy with what you're receiving. and if you're not feeling happy, well the food won't taste as delicious! don't be afraid to ask for what you feel you deserve and don't be afraid to hear the other side and maybe you can both come to an arrangement.... good luck.
pooch at 6:48PM on 07/14/09
The idea behind catering is not to price yourself per hour but per person.
You should calculate your menu per person which includes your margin.
Design a menu that looks great, tastes great, pleases many and you can deliver as promised keeping within +/- 5 points either way
(the ratio of gross profit to sales revenue, usually in the form of a percentage:
Gross Margin Percentage = (Revenue-Cost of Sales)/Revenue
Cost of Sales includes variable costs and fixed costs directly linked to the product, such as materials and labor. It does not include indirect fixed costs like office expenses, rent, administrative costs, etc.)
Profitability usually lies in the 39 points or more per person range.
The more complicated your work, the cost and availablity of the food/staples and the set up/delivery/service effects the outcome.
KIS (Keep it simple)
Catering is hard work.
JerzeeTomato at 11:15PM on 07/14/09
Another way to charge for catering is 3x food cost.
SSMom at 6:28AM on 07/15/09
SSmom is on a better track, no pun intended. This seems like a less formal relationship that you are trying to formalize. I say stop using your own food from home. Keep records for what you spend down to the last nickel. Don't forget to include expendables such as propane, cleaning supplies, serving utensils, etc....
Get a good round number average per person per meal. Or if the number of clients is always the same just get an average per day cost. Then decide what you want to be paid.
When I am estimating labor and expenses for bids, I take my estimated costs and then add 25-30%. Better to have enough up front as opposed to too little.
climbhighak at 1:05PM on 07/15/09
yes a per person price is always best, but it sounds like you'd have to design a menu for every race (or more or less have a template menu)...
i usually do a times 3 or 4 calculation, as well...1/4 food costs, 1/4 overhead, 1/4 labor, 1/4 profit - of course your profit can be part of your overhead as well.....
sounds like you're not really trying to be a caterer, but someone who helps out on a weekly basis?
pooch at 1:56PM on 07/15/09