KENYA · GUIDE 0450 · EDITION 4.7
Wooden planter making in Kenya: Pricing, Costing and Cash Flow Example
Editorial update: 28 October 2026 · Business planning reference · Review scope
Use one accepted sale unit throughout
Work through a fictional KSh 12,400.00 invoice against KSh 9,775.00 of selected cost lines; distinguish the invoice from collected cash.
This is a planning reference for wooden planter making. The order below is an invented teaching case. It is not a completed customer job, an operating approval or a prediction of demand or earnings.
The example offer and its boundary
Fictional sample order: Two outdoor wooden planter boxes, each approximately 600 × 300 × 300 mm, with approved liner/drainage and ground-supported placement. Use known material suited to intended plants; edible-crop contact requires specific evidence. Exclude treated/unknown reclaimed timber assumptions, structural balcony loads and waterproof guarantees.
Charging basis to confirm: planter. The rates and quantities below are teaching assumptions. Even a previously recorded listing is not adopted here as a current quotation or an earnings forecast.
Itemised arithmetic
| Selected input/activity | Quantity | Assumed unit rate | Selected cost |
|---|---|---|---|
| Timber allowance, cubic metres | 0.025 | KSh 55,000.00 | KSh 1,375.00 |
| Liners/drain sets | 2 | KSh 450.00 | KSh 900.00 |
| Fasteners | 1 | KSh 400.00 | KSh 400.00 |
| Maker hours | 12 | KSh 450.00 | KSh 5,400.00 |
| Exterior finish | 1 | KSh 1,100.00 | KSh 1,100.00 |
| Delivery | 1 | KSh 600.00 | KSh 600.00 |
| Calculation | Teaching result |
|---|---|
| Selected cost total | KSh 9,775.00 |
| Priced/accepted output | 2 example units |
| Assumed selling price | KSh 6,200.00 |
| Assumed invoice | KSh 12,400.00 |
| Difference before excluded costs and tax | KSh 2,625.00 |
Illustrative batch cost = 0.025 × 55000 + 2 × 450 + 1 × 400 + 12 × 450 + 1 × 1100 + 1 × 600 = KSh 9,775.00; cost per priced unit KSh 4,887.50. Revenue = 2 × KSh 6200 = KSh 12,400.00; pre-tax difference KSh 2,625.00. Timber quantity provisional from approved cut list, not a structural design. Soil/plants and balcony engineering are excluded. Tax, premises, finance and actual rework must be added where applicable; no guaranteed earnings.
Check cash timing and a weaker outcome
TRAINING-0450: a fictional order for the scoped offer in section 01, using 2 priced units at KSh 6,200.00 each. Buyer group: Balcony gardeners and plant retailers. No buyer was contacted and no order was completed.
Teaching invoice = 2 x KSh 6,200.00 = KSh 12,400.00. The selected input lines in section 06 total KSh 9,775.00; their difference from this assumed invoice is KSh 2,625.00 before excluded costs and tax.
For cash-timing practice only, suppose a buyer pays a 30% advance of KSh 3,720.00. The invoice balance is KSh 8,680.00. If the selected input bill is paid before the balance arrives, additional cash of KSh 6,055.00 is needed after applying the advance. The advance is counted once, not again at final collection.
On full collection, total receipts are KSh 12,400.00. Cash against the selected example bill is KSh 2,625.00 before other payments. If a hypothetical 10% increase in the largest selected line (Maker hours) adds KSh 540.00, the unchanged invoice leaves KSh 2,085.00 against that revised bill.
If the customer instead leaves 10% of the invoice unpaid, KSh 1,240.00 is a receivable. Cash collected is KSh 11,160.00 and collected cash less the selected bill is KSh 1,385.00. This differs from invoice margin; do not spend the unpaid amount as though it is already cash.
The scenario is complete only as a teaching record of the stated lines. Add actual excluded startup and operating costs using file 12, and replace every assumed rate before relying on a quote. Use measured accepted output for the actual invoice; unaccepted output is not automatically chargeable.
For an actual quote, add all relevant excluded costs, use measured accepted output, and compare amounts from the same period. An unpaid invoice balance is not available cash. A deposit held for an uncompleted obligation is not automatically earned income.
References and their limits
Wolman F&P exterior wood finish
Manufacturer exterior timber finish context; actual local product instructions, end use and cure govern. Reference check recorded 2026-10-26.
BESSEY furniture-making tools
Manufacturer workholding context only; does not validate a furniture design or joint strength. Reference check recorded 2026-10-26.
Recorded references support only the scope stated beside them. They do not prove current supplier stock, a local quotation, actual buyer demand, operator competence or the feasibility of this particular business. Later editorial changes do not refresh earlier source-check dates.
Prepared by Business Starter Guides using AI-assisted drafting and desk editorial checks. Independent operator trials and specialist certification are not claimed. See the editorial method for the review scope.
Editorial method and evidence limits