# Cost and Profit



## Dorit

I'd like to hear from experienced soapers who sell retail to evaluate my money management. It costs me about $1.05 -$1.10,(depending on FO that I use)-- soup to nuts per bar, . I dont want to count cost of my labor. I sell each bar for $5.00. I do 6 farmer's markets a month. I also sell some here and there, my gross sales for January was $845, net profit is (75%) $664, would you say I am doing about par or below (and should get another job, LOL)? Sure is better than working in an office. Sorry to be such an open book, but I need to know if I am doing good or not. thanks. dorit


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## jdranch

There are far more experienced soapers on this board- but I will still give ya by two cents... 

You just started selling, didn't you? If so, I think you are off to a great start! Personally (again, much bigger fish in this pond than I), I set a goal for the month and try to reach it. You have to decide what is good for you. If I measure myself against PJ, I am a big failure. If I measure myself against myself...well, sometimes I still fail.  Other times, I am rock star.

It is hard when you are first starting to figure out how much is reasonable for you to make $ and you don't have any repeat customers yet. For now, you have a baseline ($845). Try to beat it next month. In a year, try to beat your last January. For me, January is slow and Feb. isn't much better. Spring picks up, summer is nah, fall is great and get ready for a Christmas rush.

hth and congrats on what I consider a good month!

ETA- when I first started out I wanted to know just how much people could make selling soap. I found that there are people who make their entire living off of making soap (and appear to living pretty good). Not that everyone who soaps is going to accomplish that, but if there are lots of others doing it, it proves it can be done!


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## eam

Dorit, I wonder those very same things. I don't do a regular market but have done a few 'events', mostly last fall. I did ok money-wise, averaging about $375 a day but I still don't know if I did well at those events or not. It seems people are very tight-lipped about actual numbers. So, who knows. And, like Jennifer says, they're not repeat customers. I've since had a few repeat customers but it's now winter in VT and there aren't many venues to peddle my wares unless I can get some more wholesale business.

So, now I'm thinking should I return to these events or perhaps seek out others where I might do better? Or, did I do really well, and may as well stick with something a bit familiar. And, if what I took in is considered 'doing really well' is it good enough for me to want to do more of it? I don't know the answer. I don't even know if these figures translate to weekly markets - I suspect not.

And, of course, when I try to talk with veterans of these markets/events, the answer I always get is if I'm happy with what I took in, that's all that matters. But, I don't feel that I know if I should be happy or not! I will say, though, that all the time I put into setup, getting ready, the time at the market, it's certainly not enough $$ to make me happy!

I know this doesn't help you at all, but I can certainly understand and commiserate!
Elizabeth


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## Dana

I'm new to soaping too and think the only realistic avenue for me is the farmer's market. I've tried to sell soap on Ebay and Craigslist and I didn't get a single sale. The FM's around here are only spring to fall. I'm not sure if it will be worth my time...like Elizabeth said: set up and getting ready; seems like a lot of work to sell a few bars. I want to try it this year but am skeptical if it's going to be a business for me.

.


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## Dorit

Elizabeth, I grapple with same issues. I used to sell my paintings at monthly events and an average day used to be $500 to $1,500, but that was once a month. I cant get into those markets w soap bc they only allow so many. I love my FM, its like a family and Im starting to have repeat customers, and I like making people happy. I guess I just wanted to know if what I am making is good or not. Today I took some soap to my local feed store. I bartered soap for 3 bags of alfalfa pellets, Dairy Parlor and BOSS. I was thrilled. My intial goal was to just cover my goat habit and pay for soap supplies. Not there yet but should be by the end of the year. I have cut back on mnay other things just so I can do this. thanks all for sharing. dorit


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## [email protected]

Sounds to me like you are doing great for being so new. It's awesome you have the time to get to those markets and are having repeat customers!


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## NubianSoaps.com

How can you not pay labor? You have to pay yourself first. You are spinning your wheels if you do not add up your electricity, heat, air condtioning, shipping to you, labor/time, gas, vehicle wear and tear, setups of tables and displays and easy ups, and and and and. Hands down the fastest way to not succeed is to not count your pennies, to go to big to fast and find out that most of what you did was fluff...how many people are in and out of goats in 3 or 4 seasons after spending thousands...same with soap (you will be redoing your molds, your scents, your butters and oils, so make sure as a new soaper you are soaping what you truly can reproduce. There are sites that help you generate spread sheets for costs. Vicki


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## hsmomof4

> It costs me about $1.05 -$1.10,(depending on FO that I use)-- soup to nuts per bar, . I dont want to count cost of my labor. I sell each bar for $5.00. I do 6 farmer's markets a month. I also sell some here and there, my gross sales for January was $845, net profit is (75%) $664


Your numbers are off a bit.  Using $1.10 as what it costs you per bar for materials, compared to what you are charging ($5), your net (not including paying yourself) is 78%. If you use $1.05, it would be 79% (and at $1, it's 80%).


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## MF-Alpines

I HATE THE LABOR THING!!!!!

I understand what you are saying, Vicki, but really, how much do you pay yourself? Certainly when you are first starting out it is less than when you are established or growing?

The way I look at it (at THIS point in time), is that I am unemployed (I don't have a REAL job). So I could just sit around and watch soaps, game shows and talk shows (ha! which I do sometimes) and make absolutely NOTHING! But instead, I make soap and sell it at an indoor, year-round FM. So I have time in the making of the soap, ordering, wrapping, driving to and from the market, and BEING at the market 3 days per week. I use the time I'm doing nothing at the market to wrap soap, take inventory occassionally, or learn something. I'm able to make a car payment, buy stuff at the market, and am now at the point where it will pay for the goats. 

I treat it as a business, taxes and all that, separate checking, although it is operated as SP so it is Schedule C on our personal taxes.

What is so wrong with that (at least for now)?????


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## Dorit

I can't charge for labor, if I did I'd quit making soap. Also charging for labor assumes that if I were working somewhere I'd get paid for my time. Well that ain't happening. I keep getting fired because I can't keep my opinions to myself. LOL, but true. So for now I'm the only one who would hire me and I'd rather live the life I am living now, doing without, than at a 'real' job. So I think what's left is learning to make decisions that are wise, like buying FOs that are popular even if I don't like them, keeping good records but most of all making a good product and the rest should follow (God willing and the creek don't rise), Like so many others have said, I appreciate you all taking the time to answer posts and help us newbies so much :thankyou2


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## buckrun

Jeesh Stacey give us left brain folks a chance :biggrin


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## NubianSoaps.com

I started out charging $10 an hour, and I literally timed myself soaping, cutting soap, wrapping soap, and set a timer when ordering on the internet etc.. I don't charge for actual selling when someone is here or a buyer comes for a store although technically I should. I now charge more for my time.

It is the death of a business, not paying yourself first. It is also the difference between being successful and not...most do not put money away first before everything else is paid, they give God and themselves the leftovers, God demands the fat, we shouldn't deny outselves anything less than that. My Dad taught me that, God, yourself, your bills. My Dad was a very wealthy man 

If you can't figure it out on your own, do what I did, hire a kid to help you. Mine was a friend of the family who had a degree in business she wasn't using working at an Insurance company. I gave her all my info and she told me I was not charging enough for my soap, that I was spinning my wheels buying some of my butters and oils from soapers choice, that I would make more money paying someone else to wrap soap...she was/is a Godsend!


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## Dorit

Vicki, why do you think you are so successful? Is it how you choose FOs, the size and uniformity of your bars, your recipes, your wrapping, marketing, etc Im not asking for what you do in those areas, rather what do you do that you are proud of that makes you do so well?


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## hsmomof4

buckrun said:


> Jeesh Stacey give us left brain folks a chance :biggrin


:rofl It's the Asperger's talking. :biggrin But you've seen my soaps, so you know I'm not entirely right-brained.


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## 2Sticks

Dorit said:


> Vicki, why do you think you are so successful? Is it how you choose FOs, the size and uniformity of your bars, your recipes, your wrapping, marketing, etc Im not asking for what you do in those areas, rather what do you do that you are proud of that makes you do so well?


Very good question Dorit, and a topic I be very interested in hearing.


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## Anita Martin

Dorit, I think you are doing very well with your markets, especially for just starting out. I don't mind sharing my experience. I do one farmers market. When I first got in there I thought it would be very wonderful because it's a very busy market and I would make a lot of money. LOL. I'm in the "crafters gallery" section, which is open tues-sat. and people can shop there during those times. I am required to be there one weekday from 9-2. Sat. is optional, but since that is the biggest day I try to be there to meet my customers.

I normally sell absolutely nothing during the week because there simply are no customers coming in. The restaurants stay busy, but not the gallery. I pay $40 per month for this booth, plus a $50 per year (ouch) fee for bags, wrappings, etc. Everything that sells must go through the cashier. I am not allowed to take any money at all, not even on Sat. The market gets 20 percent commision. 

Last year, figuring in Christmas sales, I averaged about $250 per month in sales after they got their commision, but before I'd paid my booth fee. It takes me an hour to drive to this market.
The only reason I've stayed is because I've gotten a lot of exposure and got to talk to a lot of people/customers, etc. I am calling it my "education". 

I absoutely hate it when people come into my booth, pick out soaps and pull out their money and I have to tell them that they will need to go stand in line to make their purchase. It disrupts the flow of artist-to-consumer. I lost several sales over christmas due to the long lines at the cash register.  

Yep, I've got 2 and possible three other markets lined up for this market season. I've also re-opened my Etsy shop and have gotten sales there...not a lot, but it's something. 

I think you're doing a whole lot better than me! I do sell quite a bit of soap to my hoof care clients, especially around christmas time and I'm currently trading soap for some graphic design work. I've been making soap for around 5ish years now and I am the worlds worst when it comes to marketing. Of course, it's not my only form of income thank goodness, and it continues to grow. I just wish I had the guts some people have to take their soaps into stores and places like that. I'm just not that kind of person at this point. Maybe one day?


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## grandmajo

I considered doing henna on hair at one point in time. I had a mentor that I talked with and when I asked her how to figure out how much to charge, she said "Labor + Materials x 3". And she always stated it in that order when asked. 

Look at it this way, if you hired someone to make your soap, you'd have to pay them right? You are your own employee, so to speak.

In a traditional small business, the company figures cost of labor to produce a product. They also figure cost of repairs, cost of equipment replacement, depreciation, utility costs, etc. That is how they figure out what their profit margin needs to be and profit margin is what pays for all of that stuff.


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## tlcnubians

Rather than asking Vicki "why are you so successful?" maybe you should ask "how are you measuring your success?" That will get you a different answer from every person you ask. Some people might measure success as making enough money to allow them to work full-time as soapmakers and pay the bills they have with money left over. Others might measure success as producing products that people enjoy using or using their soapmaking as an outlet for their artistic creativity. Like Jennifer says in her post above, setting goals is an excellent way to start, and it lets you measure how you're doing and where you want to go. Marketing your product successfully requires finding a "hook" that you can use to draw customers in. PJ, for example, has an incredible marketing "hook" that appears to be working extremely well for her company. Another uber-successful businesswoman in the soaping world is Anne-Marie of Brambleberry.

It's my understanding that in order to consider a market worthwhile from a moneymaking standpoint, you need to make at least 10 times the booth fee in sales (for example, if your booth fee is $25, you need to sell $250 worth of product). If you're doing that, you're on the right track.


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## MF-Alpines

tlcnubians said:


> Rather than asking Vicki "why are you so successful?" maybe you should ask "how are you measuring your success?" That will get you a different answer from every person you ask. Some people might measure success as making enough money to allow them to work full-time as soapmakers and pay the bills they have with money left over. Others might measure success as producing products that people enjoy using or using their soapmaking as an outlet for their artistic creativity. Like Jennifer says in her post above, setting goals is an excellent way to start, and it lets you measure how you're doing and where you want to go. Marketing your product successfully requires finding a "hook" that you can use to draw customers in. PJ, for example, has an incredible marketing "hook" that appears to be working extremely well for her company. Another uber-successful businesswoman in the soaping world is Anne-Marie of Brambleberry.
> 
> It's my understanding that in order to consider a market worthwhile from a moneymaking standpoint, you need to make at least 10 times the booth fee in sales (for example, if your booth fee is $25, you need to sell $250 worth of product). If you're doing that, you're on the right track.


Excellent post, Caroline. THANK YOU!


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## Jenny M

Thank you all for your input. Lots to think about here. I'm trying to form a good plan & your comments help greatly.

I've gone back into hobby mode. But am doing pretty well in spite of that. It just seems that after years of trying to build my business it's taken on a life of it's own. As soon as I let go it takes off. Well, not taking off like some of your businesses but good for me & my circumstances. Still, I see there are ways for me to work smarter & make the most of my small time biz.


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## a4patch

Dorit, It seems to me you are off to a good start. Are the 6 markets DIFFERENT markets? or the same market 6x? If they are different markets, it seems like a lot of running around. Are you keeping track of mileage/ gas? I would definitely figure in your labor (you can estimate) You really do not know how much you are actually making if you do not consider this expense. 

I followed Vicki's advice and I am glad I did. My DH came on board when I showed him the numbers 

If you sold paintings at $500-$1500 a day...I would certainly find a way to bring that product/painting into my soap table at the Farmer's Market.

If nothing else, bring a project to work on in the lull times.


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## Dorit

The 4 markets are in the same place on Sat and the other 2 are the same also but at a different place. I did bring my paintings and my big display and even the $45 paintings got an "oh my" Its all in the venue, paintings only have perceived value, that's why I love selling something useful, and the economy is such that only well marketed and high priced paintings sell, ....the rich get richer, kind of thing. As long as I get financial support from my husband I can keep going with the goal of being self sufficient at some point. 
Can't thank you all enough for the expert and wise advise. I'll let you know when I consistently sell 10 times my booth fee, lol. Dorit


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## [email protected]

Vicki McGaugh Tx Nubians said:


> ...that I was spinning my wheels buying some of my butters and oils from soapers choice,...


Would you mind sharing which ones? I need to order coconut oil, lard, and stearic. If there's a cheaper place to purchase different items, I'm all for it.


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## Dorit

I contacted local restaurants to see if I could glom on when they order from their food suppliers like Sysco. But it would only be cost effective if I ordered a lot like 100lbs. For 50lbs it costs me $10 more and I get that big lump delivered to my door. BTW restaurants no longer use lard, they fry with soybean oil. Good luck, let me know if you find something. Its the shipping that's the killer not price of item, but I guess you know that.  Dorit


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## tlcnubians

Sometimes you can save on shipping if you place a big enough order with Soaper's Choice to have them use a carrier rather than UPS, but what I've found is that even though the total cost can be quite high (my last order from them, for example was over $700), the cost per ounce including shipping was around 13 cents. And I received everything in two days, which was pretty amazing to me since I'm in Texas and they're in Illinois.


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## Dorit

WOW, does that come in drums or boxes and plastic pails. If in drums how do you get to the bottom?


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## tlcnubians

Plastic pails, cubes (plastic bags inside cardboard boxes), and gallon jugs. If you ordered a drum you'd have to have some way to pour it out. I pay a bit more to get my liquid oils like olive, rice bran, almond, avocado, etc. in gallon jugs since they're much easier for me to measure out of. Keep in mind, if you're buying things like Palm Kernel, Babassu or Extra Virgin Coconut in 7 lb. containers, you'll either have to cut the container away from these solid at room temperature oils, or melt them in a hot water bath and pour them into a bucket. On the Palm Kernel, I always make sure I'm purchasing the flakes . . . much easier!


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## Dorit

thanks


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## NubianSoaps.com

I can purchase sunflower oil cheaper with my kroger card than I can get it from columbus foods, it also has nearly the same values as olive and makes a nice label appeal also. Coconut oil is cheaper here for me also and comes in 5 gallon buckets, set on a heating pad (well it's a whelping pad for pigs) they stay liquid. My shea comes in 33 gallon drums and I use a heat strip to keep it liquid and pump it out of the barrel with this oil pump for pumping grease, I put up a photo of it before, (just google.com grease gun for 5 gallon bucket and click images)and also use one in the 5 gallon bucket for the coconut oil. They run on batteries so they do all the work for you. With my lye coming in on pallets and a resturant supply place in Houston, going and picking things up every 4 months and not paying frieght has brought down my cost per bar by 10 cents and that is huge. I do not have a loading dock that I can use or I could bring my cost per bar further down than that. My husband has a forklift so we will have a loading dock up at the front, but it is way down on the list of things needing to be built.

But you have to figure labor also, I have to shlep over to my husbands shop right now and measure out all the butters and oils into my 3.5 gallon buckets and then take them back into the soap room....if I had to chip or scoop out stuff to then melt it there is no way it would be faster than simply putting walmarts coconut oil into the microwave for 3 mintues. So make sure as you get bigger, you can actually handle the bigger quantities....I don't have a husband helping me or soaping for me or help at all unless I pay more labor.

My first move bigger was simply to order my Louann coconut oil in cases from HEB and getting a discount...I still make the big run for sunflower oil hitting 4 Krogers in and around my area and literally buying every case they have in the back and bottle each store has. Vicki


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## tlcnubians

Have you ever figured out your gasoline cost for doing all that driving? The couple of times I came out to visit you it seemed like you were a long ways away from civilization;-)


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## NubianSoaps.com

It's 25 minutes to Humble to the Airport and another 30 minutes to Houston, it's just East to West that I live in nowhere East Texas  And I have a F150 now that diesel somehow in America is more expensive than gasoline, so my 3/4ton diesel is retired and living at another farm  So good gas mileage is great.


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## Dorit

Vicki, Thanks for sharing the invaluable information. What is HEB? We don't have Kroger's here :-( love K, but I will certainly check around. Sunflower oil has more appeal than Olive Oil? I get OO at Sam's for less than $2.50 a pound, I thought that is pretty good. But that too I will check out. BTW I went to school in East Texas, Commerce, Tx? My first job was in Marshall, Tx. 
Thanks Dorit


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## NubianSoaps.com

HEB is another grocery store, caterers more to the Latino market. I use a mixture of sunflower, safflower, olive and coconut oils......Shea and cocoa butter. The main percentage of oil though is sunflower, getting my Shea so cheap I am able to use a lot of it in my soap. Vicki


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## tmfinley

Wow, good job on the sunflower oil, Vicki. I can't get anywhere close to Columbus's price (including shipping) in stores around me. HEB's price for their little bottle of sunflower oil is insane.


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## jimandpj

I need to chime in on this one. 

First - are you doing this as a business or as a hobby. Because they are two completely different things.

If you are doing this as a hobby, do what feels good and what you enjoy. Because you're not doing it to make money, you're doing it to have fun. (Just don't undercut your local competitors - that's not nice).

But... if you are doing it as a business... then you MUST pay labor. We divide our labor up and different jobs have different labor costs depending on the skill level involved. The minimum that we pay is $15 an hour b/c (unless you're paying under the table) that's what it costs you when you figure in taxes and workers comp.

This will vary some, but is a really solid rule of thumb. For every $1000 in GROSS income you want to make, you have to sell $5000 worth of goods. So, if you want to make $20,000, you need to sell $100,000 annually in soap. So figure out how much you want to make and go from there. Again, this is for a business. Not a hobby. I'm assuming you are doing things legally - paying all your taxes and not avoiding them, having insurance, etc.

I know those numbers seem really high, but we've found them to be true. The better you are at penny pinching, you may be able to lower the ratio, but not by much if you're being legit.

And as for success, what I always tell people is that making great soap is critical but not sufficient. If you want to have a business making soap then you have to be a business owner first. You have to run your business and market your business and grow your business, all while keeping up your soap inventory of great soap.

Vicki is so successful not because she makes a great bar of soap, not because fights to keep her costs low, not because she chooses the right fo's, but because she is a great business woman. She has a plan for her business and she works it and she works it hard. 

I've said before that we have been in business for almost 4 years and we still run into people in our town that have never even heard of goat milk soap. The market is still open.

One of the first things my small business adviser told me to do was to raise my prices. Scared the heck out of me, but it was one of the best decisions we made.

Ok, enough rambling, I gotta head back out to check on a pregnant goat. 

PJ


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## hsmomof4

Thanks, PJ!


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## Jenny M

Probably, for the most part, a lot of us here are not going to acheive the success that PJ, Vickie & some of the others have. The stats just don't work out that way. But we will be succesful in a smaller way & that's ok, too. I don't have the brain power, drive & temperment to go big. But I take all your advice to heart & apply it to my hobby. At least I can make the most of it. Even a hobby needs to be a good use of your time.

Thanks for all the great input.


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## jimandpj

Jenny - you're exactly right! The goal is not to duplicate what somebody else is doing, but find what you're good at and what you enjoy and set your own goals. 

PJ


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## MF-Alpines

Jenny M said:


> Probably, for the most part, a lot of us here are not going to acheive the success that PJ, Vickie & some of the others have. The stats just don't work out that way. But we will be succesful in a smaller way & that's ok, too. I don't have the brain power, drive & temperment to go big. But I take all your advice to heart & apply it to my hobby. At least I can make the most of it. Even a hobby needs to be a good use of your time.
> 
> Thanks for all the great input.


Great post, Jenny!


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## MF-Alpines

jimandpj said:


> Jenny - you're exactly right! The goal is not to duplicate what somebody else is doing, but find what you're good at and what you enjoy and set your own goals.
> 
> PJ


And I think that what Lee was saying in another post, probably not on the soap thread.


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## NubianSoaps.com

All I could think when Jenny posted that was....I don't put that kind of thinking out into the world....if you really don't believe you could ever succeed you won't. Vicki


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## Jenny M

I'm just realistic. I know my strengths & weaknesses. My DH & I have been thru some major ordeals the last few years & have actually come thru them with a little different perspective than before. Serious & sometimes life threatening health problems, a legal situation that is beyond belief. Our finances are devastated and we'll never make it up at his late stage. BUT, our health is stable for the time being. We don't have kids to raise & we can live happily on next to nothing. I love my little soap biz (hobby) & make a little extra cash, meet people & get to go camping when we want to. Life is good!

I'm just saying, find your level place.


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## Kalne

What PJ said is very surprising to me:

**This will vary some, but is a really solid rule of thumb. For every $1000 in GROSS income you want to make, you have to sell $5000 worth of goods. So, if you want to make $20,000, you need to sell $100,000 annually in soap. So figure out how much you want to make and go from there. Again, this is for a business. Not a hobby. I'm assuming you are doing things legally - paying all your taxes and not avoiding them, having insurance, etc.**

Someone define *gross income* for me in this context. 

I want to take our business to the next level. But I honestly don't know how. I know I need to work harder at marketing. I'm just not sure what that entails.


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## jimandpj

We do it the following way. (Not saying it is 100% correct, but this is how we do it)

Gross income is everything the business brings in. Everything. Soap sales, shipping, goat sales, all of it.

Then we take out our COGS (cost of goods sold). This is everything that goes into manufacturing or purchasing what you sold. So if you didn't make another item or buy another item for resale, this would be zero. This includes oils, fats, packaging, colors, fragrances, goat milk.

So Gross sales - COGS = Gross Profit

Then figure out all your expenses. This is all the stuff that is required to do business, but is not required to make your product. This is advertising, insurance, utilities, equipment, supplies, business meals, accountant fees, lawyer fees, write offs, payroll (for employees, not you), postage, shipping supplies, computer equipment, office equipment, software, infrastructure, toner, paper, website hosting, credit card fees, paypal fees. All that sort of stuff. 

Gross Profit - Expenses = Gross Income (or net profit before tax).
You have to pay income tax on your gross income.

Remember I've said many times that it was amazing to me how fast my business sucked cash as it grew. I never would have believed the 5:1 rule myself unless I had lived it. 

Another thing to consider is that what you consider expenses the IRS does not necessarily consider expenses and you have to pay taxes on it. And it hurts. For example, we put a down payment on the new property for the business. I thought this was an expense. It's not. It's an investment, which counts as income. So, not only did I have to spend that money, but I had to pay taxes on it. Ouch!

But also remember that our business experienced rapid, rapid growth. If you grow more slowly, you may be able to do better than the 5:1. But it's a good rule of thumb. I have another friend with a completely unrelated business and she found this same rule to hold true for her business as well.

Taking your business to the next level is a lot of work. You need to start learning about marketing and running a business. It's very hard to do while still making soap. If I hadn't had Jim to take over the soapmaking, we'd be in a very different place right now. Plus I already knew a lot from college.

PJ


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## tlcnubians

On the plus side, all those expenses that the IRS recognizes are tax write-offs. And if your farm is a business rather than a hobby, you itemize your deductions and use a 1040 Form F (farm income and expense), there are a lot of items that can be deducted as legitimate expenses.


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## Dorit

PJ, what an absolutely clear and well defined explanation. Thank you. Dorit


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## jimandpj

Dorit - you're welcome!

PJ


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## Angelknitter12

This has been very interesting. I am paying way to much for what I make, and not getting enough for it. The recipe I use has me paying nearly $1 per ounce of soap I make. I decided to try the Walmart recipe and can't believe the cost savings. No more $15 for 7 oz of oils for me.


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## NubianSoaps.com

I think you will also be blown away by the quality of your finished soap Kami! Vicki


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## MF-Alpines

Angelknitter12 said:


> This has been very interesting. I am paying way to much for what I make, and not getting enough for it. The recipe I use has me paying nearly $1 per ounce of soap I make. I decided to try the Walmart recipe and can't believe the cost savings. No more $15 for 7 oz of oils for me.


Kami, so are you saying your COST is $1.00/oz?


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## Angelknitter12

Cindy, I am paying way to much for my oils, and after calculating what each batch cost me to me to make it was nearly $1 per ounce. So in order to break even on a 6oz bar if soap I would have to sell it for $6. I have been selling felted soaps since November and done well with them, but am not making a profit hardly at all. None if you look at the big picture. I am very new to this. I will fully admit that I have gone about things the wrong way. I am learning so much. I have been buying the really pricey, small bottles of oils from Albertsons. I am paying a lot of money for a very small amount of oil. I use a lot of sweet almond for example. I have been paying close to $2 an ounce for it. Some other oils I am paying $.50 an ounce. In the end it was about $1 an ounce. Soap making was very expensive. The information I have gotten through dgi has saved me a bundle.


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## feistymomma

I calculated last night, and my cost per 4 once bar is .77 cents. My main ingredients are palm and coconut oils, goats milk, and Shea butter. Grant it, I am only making natural bars with no fragrance and colorants (people seem to like that where I am). Once I begin to add fragrances and clays my price will go up probably a lot, but I am selling my bars for $4 a bar right. So right now, my profit margin seems to be good. Just thought I'd throw in what I am seeing right now.


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