Selling and marketing
Mini Donuts Wholesale: Cost per Dozen and Your Margin
A clear way to price mini donuts for wholesale orders so you keep a fair margin.
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What to remember
- Cost the whole batch, not just the flour.
- Your wholesale price needs to cover your time and overhead.
- Get a deposit before you bake a large order.
- Check your state’s cottage food rules for wholesale.
Selling mini donuts wholesale can bring steady income from a single order. But a low price can turn that order into unpaid work. This guide shows you how to cost a batch and set a price that pays you. For more on selling baked goods, visit our selling hub.
How to Cost a Batch of Mini Donuts
Start with the cost of one full batch. This includes every ingredient, the power for your oven or fryer, and the packaging for the finished donuts. Do not forget the cost of toppings like glaze or sprinkles.
List every ingredient
Write down the price and amount used for flour, sugar, yeast, oil, milk, and any flavorings or toppings.
Add packaging and power
Include the cost of boxes, liners, or bags. Estimate the cost of electricity or gas for baking or frying.
Find your batch cost
Add the ingredient total to your packaging and power costs. This is your total batch cost.
Divide by the dozen
Divide your batch cost by the number of dozens the batch makes. This is your raw cost per dozen.
Set Your Wholesale Price Per Dozen
Your wholesale price is your cost per dozen plus your margin. The margin must pay for your labor and a share of your kitchen overhead. A common margin for wholesale is 50% to 100% above your total cost.
Here is a worked example for one batch. Assume your batch makes 8 dozen mini donuts.
Ingredients: $12. Packaging: $3. Power: $1. Total batch cost: $16. Cost per dozen: $16 / 8 = $2. Your labor for the batch is 2 hours at $20 per hour, or $40. That adds $5 to each dozen ($40 / 8). Your overhead (kitchen supplies, insurance) is $2 per dozen. Your total cost per dozen is now $2 + $5 + $2 = $9. A 50% margin adds $4.50. Your final wholesale price per dozen is $13.50.
Three Mistakes That Cut Your Profit
Wholesale has hidden costs. Watch for these three common errors.
Not getting a deposit
A large order uses your cash for ingredients. Ask for a 50% deposit when they order. This covers your costs before you bake.
Forgetting delivery
Driving across town costs gas and time. Either add a delivery fee or set a minimum order for free delivery.
Ignoring cottage food rules
Many states limit wholesale under a cottage food license. Some ban it entirely. Check your state’s rules before you promise a wholesale order.
How to Structure Your Wholesale Agreement
A clear agreement protects you and your customer. It sets expectations for price, quantity, and delivery. A simple written agreement prevents misunderstandings later.
Include the price per dozen, the total order size, and the required deposit amount. State the delivery day and any fees. Specify payment terms for the balance, such as on delivery. Note your policy for last minute changes or cancellations.
This document does not need to be complex. An email confirming all details can serve as your agreement. Keeping a record is the most important step.
How to Find Wholesale Customers
Start with local coffee shops, office cafeterias, or small grocery stores. Bring a sample box with your price clearly listed. Be ready to explain your ingredients and any allergens.
Offer a first-order discount to get your foot in the door. But make sure your discounted price still covers all your costs. For more on getting your first order, read How to Sell Mini Donuts: 5 Steps to Your First Order (2026).
Scaling Up from a Trial Order
A successful trial order often leads to larger weekly requests. Scaling up requires planning. You must ensure your kitchen capacity and ingredient supply can handle the increase.
Review your batch costing for larger volumes. You may get better prices on ingredients or packaging. Your labor time per dozen may decrease with practice. Update your cost calculations with these new numbers.
Communicate any price changes to your customer before the next order. Explain if a volume discount applies or if costs have shifted. Transparency builds a strong wholesale relationship.
Packaging and Delivery for Wholesale
Wholesale boxes need to stack neatly and protect the donuts. Plain white bakery boxes are a standard choice. Label each box with the product name, your business name, and a date.
Set a delivery day and time you can keep every week. Reliability matters more than speed for most wholesale customers. For more on packaging costs, see Donuts Boxes Wholesale: Cost per Box and Your Margin.
A Detailed Worked Example with Full Costs
This example builds on the earlier one. It includes all cost categories to find a true profit margin. A batch makes 8 dozen cinnamon sugar mini donuts.
Ingredient cost is $12. Packaging for 8 dozen is $3. Electricity for frying is $1. The total direct batch cost is $16. The direct cost per dozen is $2.
Labor is 2 hours at a rate of $20 per hour, totaling $40. This adds $5 of labor cost to each dozen. Monthly overhead is $160 for kitchen supplies, insurance, and licenses.
If you sell 20 dozen per month, overhead is $8 per dozen ($160 / 20). Your total cost per dozen is $2 + $5 + $8 = $15. A 50% margin on cost is $7.50. Your final wholesale price is $22.50 per dozen.
This price covers ingredients, paid labor, and all overhead. The profit margin is built on top of these real costs. It shows why knowing your full costs is essential.
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Common questions
What is a fair wholesale price for mini donuts?
A fair price covers your ingredient cost, your labor, your overhead, and leaves a profit. For many home bakers, this ends up between $10 and $16 per dozen, depending on toppings and local ingredient prices.
Can I sell mini donuts wholesale under my cottage food license?
It depends on your state. Some states allow wholesale to certain retailers, while others do not. You must check your own state's cottage food law. Selling wholesale without permission can risk your license.
How many dozen should I make for a wholesale trial order?
Start with a small, manageable order, like 4 to 6 dozen. This lets you test your process without a huge time commitment. It also lets the customer test sales before ordering more.
Should I offer a discount for repeat weekly orders?
A small discount for a standing weekly order can secure steady income. But first ensure your regular price is profitable. Then a 5-10% discount for consistency can be worth it.
How do I calculate my hourly labor rate?
Decide on a fair wage for your skilled work. Research what local bakery jobs pay. Your rate should reflect your expertise, not just minimum wage. The same guide on pricing your food product can help.
What if a shop asks for a price I cannot meet?
Explain your pricing covers ingredients, labor, and business costs. Offer a smaller order size or a simpler product. Walking away is better than losing money on every dozen you sell.
Sources
General information, not legal or tax advice. Check your local and state regulations for wholesale food sales.