Re: [CH] Is their work in the "heat" business?
Mark Barringer (mdogdrum@earthlink.net)
Wed, 6 Aug 2003 20:43:37 -0400
Putting out fires and saving lives is a second job? My God man, you are
more noble than I thought.
May the great Spirit--or whatever higher power you subscribe to--be good to
you.
Thanks for the info. I guess I will leave the business to the experts, and
try and find my way banging the drum, eating stuff with your chipotle powder
(great on corn on the cob), and writing my essays.
----- Original Message -----
From: <jim@wildpepper.com>
To: "Mark Barringer" <mdogdrum@earthlink.net>
Cc: "Chile Head Mailing List" <Chile-Heads@globalgarden.com>
Sent: Wednesday, August 06, 2003 8:40 PM
Subject: Re: [CH] Is their work in the "heat" business?
> The only problem is that the margins in the food business are VERY
> tight, unless you're on the retail end of it. For example:
>
> Manufacturing cost + 15% = Distributor cost
> Distributor cost + 10% = Wholesale cost
> Wholesale cost + 50% = Retail price.
>
> These are general guidelines. If the manufacturing cost of a case of
> sauce is $20, then the distributor is trying to live off of $3/case.
> That's ALOT of cases to try and move to make any kind of living.
>
> The wholesaler is trying to live off of about the same or less margin
> ($2.30/case).
>
> The retailer requires the lions' share of the mark up because of the
> tremendous costs involved with maintaining inventory, sales staff, etc.
>
> If you need any further proof, take a look around ;-) ALL of us, except
> for a very few giants, all work second jobs to pay for the fiery foods
> stuff.
>
> -Jim C
> Mild to Wild(R)