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Groesbeck Hurricane Groesbeck Hurricane is offline
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Join Date: Feb 2001
Location: USA
Posts: 3,238
Can you work with your sales rep where you are stocking their inventory? In this scheme you would pay them the shipping costs to get inventory to you, provide them updates (weekly, bi-monthly, monthly) on their inventory situation, and pay them N3D0 every time you sell their inventory.

IF they would go for this type of scheme how long would it take before you could afford to buy their product directly? You should be using profits from the sales of their items to start saving to buy their items directly. Add one quarter to your estimate, show how you will transition from their assistance to standing on your own, and work with your representative to grow.

Pluses for them (YOUR sales pitch):

They can show inventory as shipped pending sale booking they have no storage costs associated

They do not pay for the shipping to get inventory to you

They have a local inventory source in your area (YOU) who can provide a point of sale to any inquiries

They get paid within three days at zero discount everytime you make a sale (you lose on this one)

They are helping a small business owner establish their mark in the local area and provide a good turn to the customer

Distributor loyalty and good faith

They can better control production on their end as they have direct view of your inventory situation


My suggestion is a similar scheme to Monkey's but makes the actual producer of the product your investor and partner. You could end up being a dumping ground or they might want to use you to store material in a specific location for other people like you. It would be a touchy relationship and would have to include a lot of trust. And yes, I am putting on a flame suit now. But you never know until you ask! I've seen stranger things done for the right person/situation.
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Old 05-10-2012, 11:29 AM
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