Your best return on investment for the new year

ROI ImageWelcome to the new year!

As you consider both personal and professional things you can do to make 2014 better than 2013, improving your return on investment on corporate assets may be on that list.

An annualized ROI of 20 percent is usually considered very good, but using the GAAP-approved principles of Corporate Trade, you can increase that return to 100 percent or more. Here’s how.

As an example, say you have a $1MM wholesale value excess inventory of a discontinued product with a cost of goods of $300,000. Your customers are willing to take it for about $250,000. You have also tested out the liquidation market and received offers of about $150,000. Given the prospect of receiving less than cost for what is still good product, the inventory sits in your stores and warehouse.

Evergreen Trading will buy the inventory in this example for $750,000. The actual amount we can pay you is determined by several factors including the market value for the product and your company’s marketing objectives, but for this example where the product can be sold for about $250,000, we can probably pay you $750,000.

Before you think that this is too good to be true, understand that there is an exchange to be made, hence the “trade” in Corporate Trade. In return for our high payment to you, we will ask that you place a small portion of your normal advertising through us – just as your advertising agency would place it. No compormises. To learn more about how we place your advertising, watch our short video on what we do and how we do it.

Consider the basic return on investment you’ve received for this inventory. In this case, the prospect of selling inventory for less than your cost makes any price over cost attractive, but look at the result of a sale to Evergreen Trading. We’ve ammortized the return over two years because it would be normal in this case for you to place the necessary portion of your advertising over a two year period. Realize, however, that we would pay you the $750,000 at the outset of our relationship.

 

As you contemplate the fate of your corporate assets – product, real estate, or equipment – consider Corporate Trade with Evergreen Trading as an alternative that provides you with the highest return on your investment. One that is scaleable, repeatable and measurable.

 

About Mike Lake

Mike is the Senior Vice President of Marketing for Evergreen Trading. When not playing jazz trombone he is probably obsessing about writing content that will capture the attention and interest of business people and fellow learning junkies everywhere.

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