Questions

The product addresses a need in the market that is not currently being served, while remaining odorless and hypoallergenic. At the moment we have small batch production and no branding. We need a growth strategy.

In the final analysis you will need to prove that they can get a strong GMROII or Gross Margin Return on Investment Inventory. In simple turns the product should generate a level of margin and a rate of stock turn (earn x turn ratio) which means that for every $1 invested in your product the distributor gets the best rate of return. These days computerised stock management systems do this and they also handle the re-ordering. Sell the financials along with the Fs and Bs and meet the FD every time.


Answered 9 years ago

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