Ways to calculate items for sale...

Ways to calculate items for sale...
1. A basic formula to start with is:
cost of goods x2= wholesale price
wholesale price x2= retail price

It's also important to factor in a fair wage for your time and creativity, so if the profit from the above formula is less than minimum wage, you should be increasing the cost to reflect a fair wage for you work.

2. Cost of Supplies + $10-$15 per Hour Time Spent = Price A.
Cost of Supplies x 3 = Price B.
Price A + Price B divided by 2 (to get the average between these
two prices) = Price C.
Compare Price C to your Market Research and adjust accordingly.
For example, it takes me 2 hours to spin $20 worth of fiber into yarn. $20 Fiber + $20 Time = $40 (Price A). $20 Fiber x 3 = $60 (Price B). $40 + $60 = $100. Divided by 2 = $50 (Price C)

3. Cost of materials plus $0.15 x number of yards = Cost of Hand Knit Items. (In quilting, it's triple the cost of materials.)

4. Blankets/afghans start at $80 for acrylic and go to $125-$150 for pure organic cotton or wool. Small throws start at $60-$70.

5. Etsy Fee Calculators (great place to start for any shop):
- http://www.gregledet.net/efcm.html
- https://craftybase.com/etsy/fee-calcu...
- http://salecalc.com/etsy?dp=4&q=1&c=0...
- http://www.feesnap.com/etsy.html

6. cost of materials x 3 +20% = wholesale price or
labor + materials + overhead + profit = wholesale price
then
wholesale price x 2 (at a minimum) = retail price

7. Product retails for $20 and the total cost of all materials used is $4 X 5 = $20. Now what about the time it costs to photograph, edit, list for sale + promote said item? Yup, you’ve got $16 left to cover all of those costs, not to mention have enough leftover to cover your monthly overhead expenses which remember, covers paying yourself!