retail markup

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Well-Known Member
Jan 9, 2008
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Hello all,
I need your help. While I am enjoing all the fun part of starting up a business (experimenting with new recipies, flavors, lables, etc) I'm floundering a bit in on the business side. I believe in a diversified approach to selling (party, shows, retail, and internet) and I need to calculate projected profit by market channel... The missing component is that I have absolutely no idea what the standard retail markup is! I'm looking to get my products into small mercantiles and flower shops. What % markup do they usually charge?

Thanks so much!
Yopu may mark any item up as hight or as low as you choose, they are your items & it's your business, however..

The industry standard, in the US, for *most* handmade goods is as follows:

supplies + overhead + labor X 4 = retail

supplies + overhead + labor X 2 = wholesale

That way you can offer 50% off your retail price to your wholesale customers.

You will need to take your final numbers, compare them to who you consider your peers or competitors in your area/market & adjust as needed.
Thank you so much tabitha! I knew how to calculate the retail, but wholesale was a complete mystery to me!

BTW. This forum is so wonderful. I read on it a little every day but don't post much because I'm so new and don't really have much to say yet.

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