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I have two offline clients that have sold products for me for a profit share... but now that I am looking into investing the big bucks to purchase bulk... I don't think profit sharing is going to work for me anymore. I would much rather rent space and keep all the profit.


Has anyone worked a deal like this?


I'm guessing it would be a lot like claiming office space as a tax break. For example, my office is the downstiars den which is 10% of the total sq. footage of our home. Therefore, I am entitled to write off 10% of our rent (now mortgage) annual payments.


Is that how it works?


TIA,

Anyone sell oflline at all?





Peggy

I'm afraid I don't sell offline in a store setting - just face to face sales. Sorry!

Peggy:


I think it would depend because if you're getting shelf space - are you there doing the selling? If not, then you would be selling on consignment and that is a different type of write off... In either case, you would write it off but would classify the write off differently. Does that make sense?

I'd be providing my own displays and they would be sold B2B (ie salon or spa) like:


http://www.southernercandle.citymax.com/i/displays/callie_ashton_display.jpghttp://www.southernercandle.citymax.com/i/displays/tres_display.jpg


I just need to rent space.


I'm not familiar with consignment... isn't that like "profit sharing?" I've heard about it at re-sell shops... or maybe you meant a flea (sp?) market? If so, it's not a good match for my new hand poured and hand made lines. They are upper scale.


Also, what do you mean by write off? To me, it means you lost money or made a charitable contribution. smileys/smiley5.gif


TIA,





PeggyEdited by: PeggyR

PS, Sandy,


I've seen your username many of times. It's very nice to have a "face to go with the name!"


Nice to see you!





Peggysmileys/smiley1.gif

Peggy,


I sell offline more than online. I do shows/fairs of course. I also have a fleamarket booth and I rent booth space at indoor fleamarkets. At both of these I sell the more upscale high dollar candles and B&B products plus some other retail fashion accessories like jewelry and purses. I do VERY well. I think I do so well because I am the only vendor at those places that sell new high quality items. You would be suprised what customers will purchase at the fleamarkets. Plus, you never know unless you try.


Also, I use to rent a space for a display at a well frequent flower shop in Oklahoma when I stayed there. It was not consignment I paid rent every month and received the money I made about everymonth. The owner would take the tags off the items I sold and put them in an envelope and pay me from that. I kept track of the inventory on the shelf of course. I never had a problem. Well, that is all the pitiful advice I have for now.


Good Luck,


Venessa L

Vanessa,


That's great advice! How did you negotiate the rent space at the floral shop? Was it per sq. footage or simply a number that both of you were happy with?


TIA,





Peggy smileys/smiley1.gif

Peggy,


At the floral shop it was just a price we were both happy with. To give you an idea I paid $50 a month for a space that would fit 2 displays like you are showing plus a small rack like shelves. Mine were by the counter so I got a lot of sales from customers who wanted to give more than just flowers and also some customers would purchase my items and have the floral shop make a basketwith them.


HTH,


Venessa L


www.venessal.com (http://www.venessal.com)

That's extremely helpful! I appreciate your time in sharing your experience.





Best regards,





Peggy

PS, Sandy,


I've seen your username many of times. It's very nice to have a "face to go with the name!"


Nice to see you!





Peggysmileys/smiley1.gif





Thanks Peggy smileys/smiley9.gif Yea, that's my mug over there <---


I've not followed this threadmuch (as you can tell by my late reply smileys/smiley36.gif)

Hey PeggyR,


Just checking if you have an update.


Venessa L

I have to be careful and "not over do" too much, especially with the summer months because heat destroys myelin health and provokes new MS attacks (just found out I'm currently experiencing a new MS exacerbation (since January and no one bother to tell me *roll eyes*) so I need to really think about this.


However, I am very fortunate to personally know quite a few local business owners with brick and mortars that I trust... I just need more time for planning. Plus, I am so far behind on my messy click and mortar it isn't even funny! smileys/smiley26.gifOnce the "dust settles," I hope to have more time to carefully place displays in key locations in my community and call the owners to check inventory levels for re-order and work out a monthly plan, like keep 50 bucks/per month from my sales and mail the check in pre-stamped evelopes that I will provide to my home address or the new UPS STE# addressthat forwards mail for a small fee.


Fortunately, even with the eCommerce mess that I currently callFUBAR smileys/smiley36.gifI am happy to announce that I just hit a record breaking profitable month (better than Christmas season!) smileys/smiley32.gif


Thanks for asking! I'm glad this topic was brought back up because I know MIL & DH's office spends a LOT at a local floral shop and I think it's a great idea! I need some type of a non-competition agreement where they will be the only place in town that carries a particular collection to sweeten the deal.


Things that make ya go, Hmmmm!


Peggy