SEE More Profits!
Why you get more Cash Profits When Trading With Trade Credits
The Tables below show the increase in cash profits that a business can achieve by introducing an additional 10% growth through the use of Trade Credit sales to offset cash against expenditures.
Please Note:
There are primarily two classification sold through the exchange these are known as Soft and Hard Goods each have different trading characteristics which can be seen below.
SOFT GOODS
SOFT GOODS: CANNOT be sold twice or the next day and are usually sold on 100% Trade Credits at normal prices
Soft Goods such as: Hotel Rooms, Restaurants, Advertising, Professional Service, Rental / Hire Services, Excess / Surplus / Redundant Products, Travel Services.
Selling Soft Goods
The Tables show the increase in profit that a business selling Soft Goods with a 90% Gross Profit Margin (10% Cost Of Goods Sold - COGS).
HARD GOODS
HARD GOODS: CAN be sold twice or the next day and are usually sold on a blend of PART CASH & PART Trade Credits at normal prices
Hard Goods such as: Vehicles, Computers, Machinery, Printing, Property, Electrical Goods, Equipment, Furniture, etc.
Selling Hard Goods
The Tables show the increase in profit that a business selling Hard Goods with a 50% Gross Profit Margin (50% Cost Of Goods Sold - COGS).
PROFITS WITH SOFT GOODS
CASH ONLY
WITH TRADE CREDITS
HARD GOODS
CASH ONLY
WITH TRADE CREDITS
