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Thread ID: 101106 2009-07-01 22:56:00 Question about Work Cato (6936) PC World Chat
Post ID Timestamp Content User
788072 2009-07-02 06:23:00 Company I work for put anything from 25% to 100% markup, sometimes even more. And even at that price we're still cheaper than someone coming off the street.

BTW Its not computer parts...
hueybot3000 (3646)
788073 2009-07-02 09:07:00 Example - Say you purchase a Switch ASUS GX1108N ,for $85 add in the gst, + postage, + 25% ( BTW $85.00 IS the price from one of my vendors)

$85.00 + gst =$95.62, + postage lets say $6.00 so far your cost = $101.62 + 25% = $127.02, you make a total of $25.40.


Postage is Plus GST too.
So, claim the GST on your purchase. Pay the GST on your sale. You are left with not $25.40 but more like $20.14.

And you still didn't make $20.14 after taking GST into account.
That's Gross Profit, not Net.

Sigh.........depressing isn't it? Who the hell would bother selling IT stuff.........
pctek (84)
788074 2009-07-02 09:18:00 Sigh.........depressing isn't it? Who the hell would bother selling IT stuff. You said it -- and couldn't be more correct.

And people still complain -- "Gee thats expensive, must be a big mark up"
wainuitech (129)
788075 2009-07-02 13:06:00 I tend to just see what price Ascent is selling the item for and charge slightly less. Their pricing still leaves plenty of room for markup - around 15% or so usually, sometimes more for cheaper items.

In your case I would definitely sell the goods to the company. If you need extra credit and your suppliers won't let you have it, one alternative option to a bank loan is using a credit card. If you have assets, you can probably get a card with a limit of $15,000 or so, which might be enough to fund these purchases. Then, you have 30-55 days to pay, interest free.

This of course is assuming your suppliers accept credit cards for payment. Most I deal with do. The cost of interest is almost irrelevant. Eg, 8%pa for a loan is only 0.67% per month, and even 22% for a credit card is under 2%, where your markup might be 10-25%.
george12 (7)
788076 2009-07-02 22:49:00 One more thing for you to beware is that you have ample of each item, and can return unused items for a credit.

For instance, you don't want the job completion stalled while you order in more gear, but neither do you want to be left with $500 of gear that ends up not being needed.

Surprises might occur - you might think you've got a total count on networked computers, and then be told that there's a bank of other gear (like printers using a network interface) that also have to be added into the mix.

Then there's the staff that want wireless and mobility, the non-counted laptops that get carried between home and work.

From what I've heard, typically the CEO wants access to everything, and is the greatest weak point in the security.

You do need to investigate liability re breakdown, or write an exclusion into the deal so that you are not held liable for lost work / earnings as a consequence of any delays or equipment failure.

Of greater concern than the hardware, is the software setup for the networking, and all the security concerns that go with it. I assume you're not involved in that side of the job.
Paul.Cov (425)
788077 2009-07-02 23:46:00 25% mark up?.....LOL, Rob99, you sir are a thief, if you have a shop, I'll forgive you though. SolMiester (139)
788078 2009-07-03 01:07:00 I don't plan on burning anything down, but I am more worried about some sort of failure that may arise after the system is up and running, shutting them down. Lost earnings, etc.
You would be silly not to take out limited liability insurance as without it you could loose everything.
mikebartnz (21)
788079 2009-07-03 05:09:00 25% mark up?.....LOL, Rob99, you sir are a thief, if you have a shop, I'll forgive you though.

I may be a thief, not a poor one though!!

I can remember making over $1000 on a computer that would have cost less than $1200 to build. That one was around 80% mark-up. Deals like these don't come around very often though.
Rob99 (151)
788080 2009-07-03 05:33:00 Unless you can get the goods at Trade/wholesale pricing-on a one off purchase; best not to supply.

You will have to put up with the stress when gear gets dumped back on your lap to sort out any 'issues' or warranty. The customer will expect a very fast warranty turnaround, you will be at the mercy of the local repair agent/local spare parts supply.
I have seen a few warranty repairs take over 3 months after being sent to the warranty repair agent (yes, big name brand, NOT parallel import)-
YOU will be ultimately responsible for this as you sold to them & may end up refunding in full (& wearing the cost/loss yourself)
All for 5% : bah forget it.

And dont get into haggling the price, be firm & definite with quote on hardware.
You may also need to be gst registered- check with the tax dept.
Put a disclaimer on the quote & invoice.
sroby (11519)
788081 2009-07-03 05:49:00 ..From what I've heard, typically the CEO wants access to everything, and is the greatest weak point in the security.


Sounds like where I used to work.
Boss Wanted complete network security, PC's fully Locked down, but full access to every Porn site imaginable on his PC & porn site access
on all the workstations for staff use. Luckily I werent responsible for IT.
sroby (11519)
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