Introducing
Your new presentation assistant.
Refine, enhance, and tailor your content, source relevant images, and edit visuals quicker than ever before.
Trending searches
Rameco Distribution
Fundrising Market
Pros & Cons
Status Quo VS Hiring distributor
Pros
- Start immediately
- No time consuming
- Save on car expenses
- 3X expected sales
- No travel expenses
Cons
- Distribution commission -15%
- $5K start up fee
- $750 monthly fee
- Relatively low costs = Higher margins for charities
- According to Miller's research there were 1,382 primary schools and 325 secondary
- Popular fundrising products are chocolate
margin 30%~50%
Easy for children to carry and sell
- They can return unsold chocolate bars to the company
OPORTUNITY: Childhood obisity and diabetes makes Schools and fundrising boards to look more healthier fundrasing options.
Pros
- Maintain Larger Margins – 15%
- Have Direct Control of Entire Process
Cons
- Time consuming
- Travels
- Car expenses
- $10K x 2 used cars
- $1.2K fuel
- $200 Maintenance
- $100 Promotion
- $800 Cell phones
- Cost to meet 5x/year
- Would have to hire staff
Hire the distributor
for at least 3 years
"Companies recognize that beyond short-term
improvements. Longer-term changes are necessary to achieve sustainable cash flow optimization"
Promotional items industry
CONCLUSION
Cost Structure
Status Quo 3-Year Net Income - $14,062
Hiring Distributor 3-Year Net Income - $19,300
- Another potential market for RAMECO's pens
- Customers look for products to
give away = brand awarness
- Principal competitors leading the market Vistaprint and Talbot promotions
- Smaller firms focused on client relations and on networking to sell to small and mid business in specific region
Alternatives
Select a Market
Monthly Cash Budget Project
Projected Income
First Round
Line of credit VS Adding a partner
- Could borrow up to $3,000
- 5% interest / year
- Payable 15th each month.
- Receive $5,162 cash for equity
- 5% interest / year
- No funds withdrawn until the loan was repaid in full
Several of the project members' parents had shown interest in investing
Rameco Distribution
RAMECO
- What is RAMECO Distribution?
- Who are the partners?
- What does RAMECO sell?
- Rameco History
Questions?
Fairfield University
AC-500 Dr. Poli
By: Grace, Jaime, Sharath
Thank you!
References:
- Unclog the Cash Flow
John Alarcon; Dawn Richman-DeAncona
- RAMECO Distribution
Alexander Miller. Richard Ivey School of Business