The Food Innovation and Business Hub with Iowa State University Extension and Outreach will host a new webinar, “Know Your Costs, Keep Your Profit,” on May 28 from 11:00 am to noon.

Designed to help food entrepreneurs take the guesswork out of pricing, the webinar will walk participants through calculating the real cost of their products and using that information to make better pricing decisions.

“For many food businesses, pricing products can feel like a guessing game,” said Alex Van Alstyne, food business extension specialist at ISU. “Producers often base their prices on what others are charging or what ‘feels right,’ only to find that despite steady sales, there’s little money left at the end of the day. The problem isn’t always the price, but understanding the true cost behind it.”

The webinar will break down pricing factors and concepts into simple, practical steps that participants can apply to their business. Participants will also learn how to calculate direct costs, identify hidden indirect expenses, account for labor and allocate overhead across their products. The session will also cover how to apply margin correctly and evaluate whether a price is too high or too low.

In addition to cost and pricing, the webinar will introduce basic forecasting concepts to help participants determine how much product to bring to market. 

“Bringing too little can result in missed sales, while bringing too much can increase waste and raise the true cost per item sold,” Van Alstyne added.

Farmers market vendors, cottage food producers, home food processing establishments and small-scale food entrepreneurs looking to improve profitability and gain confidence in their pricing are encouraged to attend the webinar by registering online. 

For more information, contact Van Alstyne at alexv@iastate.edu.