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barncat

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Guest EMercier

Are you kidding me? :grin2: Who is this for if you don't mind me asking, or should I say, what store should it be going in? That's such a dream of mine. That's a lot of candles. I'm happy for you.

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So you get $2.50 for a $26 retail candle? Isn't that kinda low? I am just asking that's all.

How come you are not getting like $5-$8 per candle?

I am just asking to learn from pro candle makers about the biz side of it.

Hope you don't take offense. Just want to learn the right way to deal with retail stores.

thanks

J

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So you get $2.50 for a $26 retail candle? Isn't that kinda low? I am just asking that's all.

How come you are not getting like $5-$8 per candle?

I am just asking to learn from pro candle makers about the biz side of it.

Hope you don't take offense. Just want to learn the right way to deal with retail stores.

thanks

J

I look at it this way, I'm making just the template, then they do stuff to it, put it in fancy boxes. I actually make a nice profit for what it is.

My cost 1.50 including overhead

Their cost from me $2.50 plus .50 shipping =3.00

Work they do to it plus packaging $3.00=$6.00

Price they sell to customer $12 plus add $1 for shipping =$26

Its just contract manufacuring. I never see the customer. I make 100's of one scent at a time, and don't have to worry how it looks in the end, plus they have to account for all the screw ups they make to it. I don;t have to worry about selling it either.

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This is great for you, but I don't think I'm seeing much profit here at all....if you do the numbers here's what I am coming up with..Lets say you pour 300 candles a day, that's $750.00 you will get paid, now take out your cost of 1.50 per candle, that's 450.00 leaving you 300.00. Now say you pay 2 workers $6.50 and hour and they work 8 hours a day to wick and pour this many candles, that is 104.00 a day, and this doesn't include payroll liabilities yet either. So far you are at 196.00 a day. Take your time into account here also, even at 12.00 and hour, that is another 96.00, thus leaving you 100.00. Now I am sure you are going to be doing this the 'legit' way with the IRS, and all the government stuff a business has to do especially when you have employees...which includes having to pay unemployment insurance on them along with all of those payroll liabilities, etc...And as for the low wage of 6.50 and hour, I don't really know to many people that would actually do this for that amount, unless they are teens. Anyway, this is what I am coming up with, but if my numbers are wrong, please correct me! I wish you all the luck in the world, what a great oppurtunity...I just hope you are actually going to be getting something out of this, and not seeing yourself busting your arse, and watching the retail company rake in huge profits on these! Good luck!

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