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Q: Moving from direct sales to a licensing model. Will this work? ( No Answer,   0 Comments )
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Subject: Moving from direct sales to a licensing model. Will this work?
Category: Business and Money > Small Businesses
Asked by: jdon-ga
List Price: $10.00
Posted: 19 Jul 2006 10:52 PDT
Expires: 19 Jul 2006 10:57 PDT
Question ID: 747790
Will my new buisness model work?

Since we started selling our main product in September of 2003, we
have grown steadily each year in the six figures. We are now ready for
our next phase of growth, a serious ramp up.

We were considering using an Angel investor to help us ramp up, and
were going to hire a direct sales force, but we quickly realized this
was not the path. Also, we did not want to sell the company or give up
a % of what we have worked so hard for.

Consequently, we have decided to grow with other small professional
businesses. We have proven that our products are great, as we get a
good amount of repeat business.

CCT currently sells its products direct through catalogs, retail
stores and many other websites.

CCT's new business model will allow us to only sell through the
Licensee Business Partner network. This network will sell direct to
the various markets in their respective states only.

New Partners may sell CCT's products direct through catalogs, retail
stores, in-person, on their own website and other websites.

Additionally, CCT will also hand over all of its current business
relationships to the new Licensee Business Partner for their
particular state.

In Exchange They Will Receive:

1. The exclusive distribution rights to your state for 48 months (all
wholesale & retail sales)

2. The right to develop a Sub-License network for your state only 

3. The right to purchase our products at 10% over actual cost 

4. We will dropship products direct to your customers (or you may
carry inventory) AK & HI will need to purchase inventory for
distribution

5. You may copy our websites for your own use  

6. You will also take over our existing customers in your state 
Retail stores 
Catalogs 
Websites 

This is not an advertisement.  I want opinions and clarity.

To understand more you'll need to review our corporate site. www.corp.toobeez.com
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