Cutting Board Time and Cost Results – PART 4 – Pricing the Work

Process A came in at $35 per square foot and Process B(thicker boards) was $45 per sq.ft. I came up with some charts and tables for pricing out cutting boards. I used $4.50 per bd.ft. for an average cost of material and then at the end, I added 15% marketing cost ($5 per sq.ft.) to cover the minimum cost of selling cutting boards, either on the side of the road, or with an online service like Ebay or Amazon. Retail store mark up would be 100%, so I don’t think there is enough room here for wholesale. The final pie chart shows how much relative time I spend doing each step. I expected to see a larger area for sanding, but I guess it just feels like it takes a long time. I spent way more time than expected milling lumber and selecting materials. I guess that is the fun part of making cutting boards… cutting up lots of hardwood. But it takes time. Final Result: cutting boards kind of suck in terms of business for a small shop like mine. It is a shippable item, but I could not wholesale them. The price table at the end of the video makes quick work of pricing out various sized boards. If I were to sell cutting boards, I would make them without the rubber feet and then sell the rubber feet separately for people who want to pay for them. Otherwise, it makes the selling price point even higher. My cutting boards were priced the same as other local vendors that put a lot more time and effort into their boards. It’s a tough market around here. It seems like anyone who cuts their own lumber would have a serious business advantage for making this kind of product.

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  1. David Gardner
    September 23, 2017

    It is real good to know your cost. I had a cabinet shop years ago and charged by the foot. Never knew my cost. Wish I had had a GoPro back then. Do you include your shop cost in your labor rate?

  2. Peter Compton
    September 24, 2017

    A lot of monotonous work Mitch, I know you have to do 'Bread and butter' work and get commissions in between, I hope you do get to sell them all at a good price.

  3. Richard Harris
    September 29, 2017

    Is this what you actually go by to price and item for the client ? The CODB model is very limiting.

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