• January 27, 2008

Here are some photos of the newly cut Red Lychee Tea soap. I’m very happy with how the batch turned out, especially the dark vibrant blue.

Colors used:

Non-Bleeding Pink Pigment (liquid) 
Non-Bleeding Blue Pigment (liquid) 
Non-Bleeding Purple Pigment (liquid)
Sparkle Gold Mica

I roughly sketched out the Profit & Loss of this loaf on the back of a napkin. The rough economics behind this loaf of soap look like this:

COG (cost of good sold) – the price you pay for the raw materials

4 pounds soap = $7.40
2 ounces fragrance = $3.00
color = $1.30

total: $11.70 for materials

Mold: suggested retail around $30; if the old is used 30 times, this works out to $1 per use

The soap loaf makes approximately 12 bars of soap. At $5 per bar, that works out to $60-$70 retail value.

Gross profit for the loaf, sold at retail, is approximately $53. Gross profit is the retail price less the COGS (materials). Afte

If fixed costs are taken out of the Gross Profit number, such as the cost of the mold ($1), wrapping ($1), overhead ($3) and labor ($15), the net profit works out to about $33.

That’s a pretty good return for such a wondrous creative outlet of expression.

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