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.
I will not name the products here because I do not want search engines
picking this thread 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.
A. New Partners may sell CCT's products direct through catalogs, retail
stores, in-person, on their own website and other websites.
1. CCT will also hand over all of its current business
relationships to the new Licensee Business Partner for their
particular state.
2. Licensee Business Partner gets our products at 10% over cost.
3. All CCT fees are based on solely on state population (More people
and business = More Opportunity)
48 Month Agreement with a Two year Renewable License Fee ($3,600. to $14,000.)
Monthly Fee ($45. to $3,000.) based on the individual states
Examples of the High & Low States:
Average USA State Population is 5,800,000
Low - 509,294 WY
High - 36,132,147 CA
CCT average Two year renewable fee is $5,247.00
Low - $3,600.00 WY
High - $14,000.00 CA
CCT average monthly fee is $490.00
Low - $45.00 WY
High - $3,045.00 CA
Your average two year investment is $17,000.00 (excluding their marketing costs)
Low - $4,680.00 WY
High - $87,080.00 CA
Average # units needed to sell per month @ $149.99 for break-even is 7.09
Low - 1.95 WY
High - 36.28 CA
B. 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 |
