With prices on the rise for goods and gasoline, many small businesses are struggling.
every step of the baking process now costs more and then you look at your cost of goods sold in your life. Whoa! Almost eight years ago, Kasha and Henry, Adelaide started cupcakery in East point Georgia. They’re baking business almost a bus during pandemic shutdowns. So that first two weeks was probably the scariest time of my life period because we just didn’t know. But cupcakery has kept baking and surviving. The president, touting booming job growth nationwide, wages up unemployment down Georgia Commissioner of Labor. Mark Butler says the state’s an example of record breaking bounce back. We take a look right now in Georgia, we have, you know, been breaking records in a lot of different sectors, like, you know, we’re talking about professional services, health care. Uh, you know, warehouse and transportation and so we’re doing really good all the way around. But inflation plagues the economy, deliveries carried cupcakery through Covid, But now skyrocketing. Gas prices sour the sweet treats, gas prices are ridiculous. Um, so we had to, you know, increase our delivery costs for the first time ever. And baking staples double the cost for each cupcake at this point in 2019, cupcakery would pay about $ 18 per 15 dozen eggs. Now they are $ 55, 15 dozen cream cheese, about $ 6 per £ 3 loaf now, $ 11 per loaf. So almost double the price of that. Their bottom line just didn’t add up last year, we actually had our busiest year ever, in our lowest profit margin ever as well, how does that happen, just everything is going up like tenfold, 39 81. So for the first time cupcake Aries cupcakes now costs 5 to 10% more If you want a cupcake we have to, we’ve got to charge the cost of making banana pudding red velvet customers. Take note I did frequent another bakery where their cakes are, they’re nice but the prices are excessive. So again, another reason for me to come and have the opportunity to try something different at a cost that I feel is inviting. A recent US Chamber of Commerce survey shows most small business owners have raised their prices due to inflation while also making big changes to attract a strong workforce. I still think we’re ways off to figuring out what the landscape is gonna look like because there’s been so many resets when it comes to the cost of goods, the cost of doing business and wages with baby number two. On the way, the Adalius fight to open a second cupcake relocation despite their challenges. Some days you can’t sleep at night when you see the numbers. But we’re a business and we know we have to stay in business. Nadia Romero. CNN east point Georgia.