They send back $1000, have to buy $2000
Have to? Good luck with that.
Some people are in business to move merchandise, so in replenishing
stock it might not be an issue to buy $2000, or $20,000.
Any jewelry retailer with any experience finds out the terms for
trade out before a purchase.
We had a gold and diamond company that would memo to us, we had to
purchase the inventory by the end of the memo period, which was a
year. They would trade out with a re-inventory, we paid the memo
monthly for what was sold and end of year trade out stock that did
not move as long as we took enough new inventory.
We basically got a long term loan for $30,000-40,000. Worked for us
I would not recommend this to others, but it worked for us. We were
invited every year to the JCK show every year with comp hotel
There are a lot of different ways retailers can work with
A little bit off topic, but if people are not experience in retail,
it might be wise to know that some wholesalers will give terms if
asked for 30, 60, 90 days. Write checks for the dates to be
deposited. We have done this over 22 years of retail with
success…and those times we could not cover the check, we called and
they waited till we told them it would clear.
Did anyone cash a check ahead of time, heck yea, were we hot about
it, yea! If it was someone we had worked with before and it was a
mistake we lived with it. If it was someone new, we never did
business with them again unless we could cover it at the time of the
I am a bit surprised when people do not know the different ways this
business works. Perhaps that is why we have been here for 22 years,
and a lot of other people folded up their tent, and are working for
someone as an employee. Nothing wrong with that. I am just not quite
ready for that again, and I think the last time I did that I was in
my 30’s, and I am 65 in June.
Richard Hart G.G.