I am selling my product in a store , what part of the profit do I share or do I ?

Question

I have been asked to place my home business products in a local store . We have not got into the details as of profit etc. This is all new to me and I dont know what to expect. I am excited but smart. Please help! I need the basics....Thank you

Answer 1

The easiest thing to do is sell your product to the store for a profit you are happy with.  Then let them worry about their own profit, after it is not your property

Answer 2

1. this is "On konsinement".  Store sho yer stuff.  If NE-thang sell, store get 10-15% av the kash.

For stuff the store oener dont no if it will sell...outta his line.

Answer 3

To make it easy for the store owner, you receive 20 cents (or $20) as a flat fee for every item of yours that they sell.  They are paying rent for the store and all the electricity.

If you are brave, offer to pay 1/6th of their rent and electric.  Then you keep all of the money you generate.  YOu have helped them to keep their costs down. /

Answer 4

Is the local store buying directly from you or are the putting the items on consignment?  If they are on consignment, what percentage are you receiving?  If they buy directly from you, figure out your cost per unit (item) and then add your profit to the total price. Make sure that you capture ALL of the costs associated with your product, parts, materials, expendables, and be sure to include paying yourself a good hourly wage. I normally have a higher profit margin for items on consignment as I don't get paid until 30 days after they sell.  

Some stores have an exclusivity clause.  That is an agreement between an you and the store. Where you would agree not to sell similar work to other stores within a specific geographic area.

I also picked up some good books at Amazon.com/Barnes and Noble.