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In business, you make money when you spend it!

Is it possible to make money when you spend it?  Purchasing decisions are tough! They always have been and they always will be. But somebody has to make those decisions. Somebody has to take the time to evaluate an offer to see if it holds the sort of profitability that will sustain and advance the company.


There is an old saying, “You don’t make money when you sell merchandise, you make money when you buy it.” If the purchased merchandise was bought at a price point that is too high, you will either sit on it forever, or you will have to lower your price to a level that will make somebody want to buy it. Sometimes this means selling merchandise at cost or even below.


It stands to reason that you want to make sure you buy merchandise at the best possible price up front! One of the sure fire ways to do this is to find a good liquidation company that has a diverse mix of products that are being sold well below the wholesale value. It’s really quite interesting the way this works actually. Customer returns general merchandise, for example, is not sold based on a percentage “off” of wholesale it is sold based on a percentage “of” wholesale. Conceivably, you could purchase quality general merchandise returns for 15% – 20% of the wholesale value (15-20 cents on the wholesale dollar)! Contrast this with a purchase made from typical general merchandise wholesale company where the price point paid is 4-5 times higher!


Like I said, you make your money when you buy, not when you sell the products. If you buy the merchandise at the lowest possible price point, the profit margins grow exponentially!


Here’s a good question to ask when you are talking to a liquidator, “Do you have a manifest for the load you are telling me about?” A manifest is going to give you a complete itemized list of the items you are getting on your load. There is a margin of error with all manifests, but it definitely improves your chances of maximizing your profits! Bulk truckloads, loads sold without a manifest, are also a good way to make money, but manifested truckloads by far are the best way to go! Most legitimate liquidation companies can send a manifest to you via email as a pdf file or excel file.