Today was yet again another gorgeous day! Today is also April Fool’s Day, my bonus brother’s (Brandon) birthday, our two Cane Corso’s (Vincenzo and Rucca) 3rd birthday, and my little girl is 11 weeks old! Time sure does fly doesn’t it? Remember that loaf I made last week to take camping? Devoured. We ate it so quick! That’s the bad thing about homemade bread… it’s so good and before you know it… it’s gone. Well, my husband reminded me that we were almost out so I made another loaf yesterday. The only thing I did differently was sprinkle some oats on top after I basted it with the egg wash. I figured it up and it costs me $1.79 to make. If you’re a homesteader, SAHM, or an entrepreneur looking to make some extra cash for your household you will need to know how much money you have invested in your product. This means knowing how much each ingredient is as a whole, $2.99 for a 5 lb bag of flour at Trader Joes. Then how many ounces in each ingredient, 144 ounces in that 5 lb bag. I think the correct way is to measure by weight but I don’t have a kitchen scale. So this is how I did it. Okay, so that means for every ounce used is $.02. Just divide the price by volume and there’s your price per every ounce used. Then you want to know how much the recipe calls for. For the loaf, there will be 26.67 ounces of flour. There will be some converting that you’ll have to do. Cups to ounces or cups to grams, however you choose to do it. You just need each ingredient converted to the same unit of measure. Now you will multiply the amount of ounces of flour that is going into the recipe (26.67 ounces) by the price per ounce ($0.02). And this should give you how much it’s costing you. The flour used dented my wallet by $0.53. After I did this with each ingredient (except the eggs because we get them off of the farm and the water because we have a well), I added everything up and that was my expense per loaf.
Now, you can dig deeper with expenses like electricity and even figure up appliances but I’m not foolin with that. I think a good formula would be multiply expenses per loaf by 3 and that should be your asking price per loaf or other baked good. So, $5.37 for a freshly baked loaf of bread and that’s a total of $3.58 in your pocket. Not too bad. I know several people that would pay that for fresh homemade bread and probably are paying close to that already especially if shopping at Whole Foods or Trader Joes. If you made just 5 loaves a week that would be almost $18 profit. Not much but if you did that every week… that’s around $936 a year with just making 5 loaves a week to sell. I think that’s doable, very doable.
Now, this theory isn’t perfect. Although it should help give you a better idea of what you have invested within each product. This will also help to not sell yourself short of what you deserve. Which is a common problem. I recommend taking the time and doing the math to figure up what it costs you to make whatever it may be. See if there’s room for money to be made and I’m sure your neighbor would rather walk to your house for those muffins or that warm loaf of bread versus driving to the store. Once you realize it’s time to expand you could even venture out to the local farmers market and set up shop. If you’re already staying at home then you know how much a little extra cash helps. Get motivated miss entrepreneur… go get that “dough”!