Resale

In The Personal MBA a resale is based on purchasing an asset from another business to sell it later at a higher price. It is one of the Twelve standard Forms of Value (Form of Value #5 of 12). Resellers are valuable because they help wholesalers sell products without having to find individual buyers. The core competences for a reseller need to be:

• Sourcing good products at low prices
• Managing inventory levels

Key Points:

• Resale is, basically, purchasing an asset from another business to sell it later at a higher price.
• The keys to do this effectively are:
  • Purchase a product as inexpensively as possible, usually in bulk.
  • Keep the product in good condition until sale.
  • Find purchasers of the product quickly to lower inventory costs.
  • Sell the product for as high a markup as possible.
• Resale value lies in helping wholesalers sell without having to find individual customers.

Questions for Consideration:

• Does delivering value as a resale make sense for your business idea?
• If so, what do you need to plan for to make it successful?

Source: http://book.personalmba.com/resale/