What should I charge for my candles?
Customers frequently ask us this question: What should I charge my customers for my candles?
When I made and sold finished candles, I had an easy equation that I used to figure out the price I would charge my customers for my candles. First, I added up all of my expenses. This told me how much it cost me to make the candle I was going to sell. When I sold my candles at wholesale prices to stores, I charged the customer double what I paid to make the candle. When I sold directly to retail customers myself (without sales reps involved), I charged the customer triple what I paid to make the candle.
After I was in business a while, I realized that in order to sell more products, I would need to get help from other people. That is where Independent Sales Reps were introduced in my candle company. When a candle sale was made by a sales rep, the sales rep received 1/3 of every sale, 1/3 went to cover the cost of making the candle, and 1/3 was my profit.
Fundraisers were conducted the very same way: 1/3 of the sale went to the non-profit organization, 1/3 went to cover the cost of making the products, and 1/3 went to me as profit.
I hope this helps you when you price out your candles.
Happy Candle Making!