Sales Costs

Question 1

What are the sales costs?

Answer 1

-property
-labour
-equipment and materials
-storage costs
-delivery costs-margin at the point of sale

Question 2

What are the property costs?

Answer 2

-buying property= signif capital costs, or property loan/mortgage
-lease= cheaper initially- but rent and other expenses, and when lease ends may have to move out
-decorating and furnishing

Question 3

What are the running property costs?

Answer 3

-maintenance, security, water, energy, insurance, commercial property tax, waste disposal x

Question 4

What margin do specialist wine retailers usually look for?

Answer 4

30-50%

Question 5

What margin do bars and restaurants look for?

Answer 5

66.6%
-covers high operation costs
-margins higher on wines BTG- risk of spoilage and pouring away