Showing posts with label retail. Show all posts
Showing posts with label retail. Show all posts

Monday, October 10, 2011

Where is my money?

Me: What's going on with product sales? We are spending about $2,000 per month on products and I'm only seeing about $1,200 in revenue. Logic would indicate that if we are spending $2,000 then we would at least have $2,000 in revenue and that's only if we were selling items at cost. Revenue should really be around $2,300??
Purchaser: I don't know??!!
Me: Ok... Then, I'm going to order from now on.
Purchaser: But I like this job...
Me: Well, if I'm losing money and you cannot explain why, then your not really doing a good job. Sorry, but I'm taking over.

One week later...
Me: Ah Hah! Do you realize that you are selling items below wholesale cost from a price book that is almost two years old??

I didn't think I would have to say this... DO NOT SELL PRODUCTS BELOW COST!!!!!!