Retailers Forum Sept. 2014 Sept 2014 | Page 78

FORUM WORKSHOP Forum Workshop The Jensens lived modestly and put most of 7 7 their profit back into the business. Jay began to sell his product at state and county fairs, shop• ping mall shows, and home and garden shows S in 1985. That first year, working full time, he E earned $20,000, more than he had ever earned P T as an employee. The Jensens now pay themE selves $125,000 and still reinvest most of their M income into the business. B E R Jensen ThermoShield was five years old when the Jensens took out their first loan. They did 2 0 so to buy a quilting machine and build a 1 garage-factory on their lot in Riverton, Utah, ex4 plains Jay, because the mattress factory they subcontracted to could not keep up with demand. Furthermore, the monthly payments on the loan were the same amounts as they had paid the subcontractor. MeHair.net F O R U M Wigs • Clip - ons • p-ons and Wigs are profita sions, Cli bl e exten hair o your store or online ns E xtEnsio We Dropship While I doubt many businesses operate this way, they should. The ones that do, like the Hales and the Jensens, are the first to expand in response to market demand. They ar e the ones that survive economic changes – fiscal or political – like recessions, stock market crashes, fluctuating interest rates, perhaps even urban (or mall) renewal projects. They have the money to move, to buy new inventory, to upgrade their equipment, to train their staff. It is all right to compete with yourself if doing so will increase your overall profitability. But if adding a new store across the street means people will no longer shop at your first location (or buy ads in your monthly magazine), itʼs not a good idea. continued.. rt Add hai •Br n• zili a a business r E m y • m a l ay s i a n CliCk on Wholesale www.MeHair.net