Debbie Man, tough call! You’ll need to see if there is a "gallery"
association or some type of organization for galleries who can give
you this In the jewelry industry "Jewelers of America’
has it for retail jewelry stores.
If you have a loan then ask your bank (even if you don’t have a
loan) to give you a “Robert Half” report. It’s a report (costs about
$200 or could be free from the bank) that lists what you want to know
how others in your business are doing.
Your question is “somewhat simple” though. If you’re going to split
profits 50/50 and you have an idea of expenses, DOUBLE your to know
how much profit you need from sales.
If your expenses are $10,000 per month (not including the cost of
merchandise) then where do you get the $10,000? From PROFITS!
So if you sell $20,000 in merchandise and you keep half, you keep
$10,000 and that pays for expenses, thus a break even. If you want a
10% net profit then you’ll need sales of $24,000.00:
-$12,000 Cost of sales
$12,000 Gross Profit
$2,000 Net Profit
So yes you’ll need to geustimate sales, but I just did it for you.
So now the question is “HOW CAN I GENERATE $22,000 PER MONTH IN
Now your salesmanship and advertising must click in.
And you have a post from Wayne Emery. He also knows what he’s
If you do like other galleries and pay only when sold, don’t take
this as a 100% plsu. If it doesn’t sell, you don’t get any profits.
Find out the price ranges that dos ell and don’t let the artists
stick you with the wrong price ranges.