 | Quote: |  | | |  |
Originally Posted by Scrnprntmom |  | | | | | | | | | ... How in the heck do I come up with a fee that is fair for both sides??? | |  | |  | |
I wouldn't even consider fair on both sides.
Business 101 Lesson 1: Charge the highest possible price for your product.
Business 101 Lesson 2: Set your price just low enough to keep your competition out.
Given that, you should look at your cost and figure a profit margin that you want. Typical raw markups are anywhere from 2 times to 5 times raw cost. If your designer is charging you $100 then you would charge between $200 and $500.
However, a bigger point is what is the value of your product? Is it $1000 or is it $50?
One more thing to consider is to share risk. You do this by taking a % of actual retail sales. So on every shirt they sell for $30 you get 50c or $1 or something like that. By doing this you limit your downside (cost of your product to you) but you have unlimited upside.