| |
Note:
All
examples listed below are actual transactions taken
from GSS records. All Broker names have been abbreviated
to protect privacy.
GSS
Certified Broker "Alan" has a client that
owns a clothing store. Alan E-mails a PID (Product
Information Disclosure) for a liquidation
of brand name major label blue jeans that he found
listed in the GSS Product Locator.
| |
Broker
Alan Sells @
|
$7.00
|
per
unit |
| |
GSS
Broker Cost @
|
$3.85 |
per
unit |
| |
Broker
Alan's Profit @
|
$3.15 |
per
unit |
| |
Broker
Alan's customer orders
|
x
250 |
units |
| |
Broker
Alan's total profit:
|
$787.50 |
|
From
the GSS lead referral, GSS Certified Broker "George"
receives a request for 200 metric tons of Parboiled
Rice (less than 5% broken) at $175 US per metric ton
packaged as 50 kg per bag. George immediately posts
this request to the GSS Product Locator and receives
a number of responses. After several phone calls and
E-mails, George is able to negotiate a firm price of
$157.60 US/MT (metric ton).
| |
Broker
George Sells @
|
$175.00
|
per
metric ton |
| |
Supplier
Cost @
|
$157.60 |
per
metric ton |
| |
Broker
George's Profit @
|
$17.40 |
per
metric ton |
| |
Broker
George's customer orders
|
x 200 |
metric
tons |
| |
Broker
George's total profit:
|
$3,480. |
|
After
George successfully filled this order, the next month
the client placed a buy order for 500 MT of Parboiled
Rice and has since renewed that order on a regular basis.
GSS
Certified Broker "Valerie" has a regional
sporting goods chain store in her client list. After
a poor snow season the chain has a large quantity of
ski boots left in stock that they have to liquidate
immediately. They ask Valerie for a solution. Valerie
sends a complete description of the inventory to a GSS
Dealmaker who returns a purchase proposal to her. Valerie
sends the proposal on her company letterhead and arranges
the deal. GSS purchases the ski boots and then lists
in the GSS Product Locator. This is a Shared Equity
deal with GSS and below is how Valerie is paid.
| |
GSS
purchases 1800 pairs of ski boots @ $34.50 pair
=
|
$62,100. |
|
| |
GSS
sells @ $38.00 pair =
|
$68,400. |
|
| |
GSS
& Valerie's Shared Equity Profit
|
$6300. |
|
| |
GSS
& Valerie split profit 50/50
|
÷ 2 |
|
| |
Broker
Valerie's total profit:
|
$3,150. |
|
Note:
In a Shared Equity Transaction GSS puts up all capital,
takes physical inventory of the product and assumes
all risks. The Broker who brings the deal to GSS, in
this case, Valerie, receives 50% of GSS' profit no matter
who sells the merchandise. This seasonal merchandise
was sold to 2 separate retail stores, one in South America,
the other in New Zealand, both in the Southern Hemisphere
where the seasons are reversed.
GSS
Certified Broker "Alejandro's" client requests
a line of vitamins and supplements made to their specifications
with their store name on the label. Alejandro uses the
GSS Manufacturer Locator to submit his client's specs
and receives several pricing proposals. He marks up
the proposals 8% and submits the figures to his buyer.
The buyer negotiates the price down to yield a 6.5%
profit margin and places an initial order of $31,300.
Alejandro
earns $2034.50 (6.5%X$31,300 = $2034.50)
GSS
Certified Broker "Yuan" has a client requesting
warehouse space in the United Arab Emirates to use as
a Distribution Center for their products. Yuan posts
the request (with his company as the contact) finds
a suitable space and arranges the lease transaction.
| |
Total
Rental Contract
(12
months x $4500=$54,000)
|
$54,000. |
| |
|
x
5% (standard
broker fee) |
| |
Yuan's
Profit
|
$2,700. |
The
transactions listed represent a very small fraction
of the number and types of transactions that occur on
a daily basis. Please contact your GSS Information Specialist
if you have additional questions. If you do not have
a GSS Information Specialist, please click here
to arrange contact. |
|
