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NOARD INC ( formerly Northern Ohio Amateur Radio Depot ) no longer |
What is CASH-FLOW?
In any retail business, a steady flow of retail-sales are needed, in order to
address the "on-going" overhead cost of running the business (such as:
rent,
lights, heat, insurance, advertising, etc..). While the main objective
is to provide products to its retail consumers, a retail store depends on
a steady flow of customers to purchase existing inventory. This allows
the store to adjust its inventory, by being able to bring in additional products,
while paying the associated cost with the operation of the retail store.
If that flow of customers purchases happen to fall below anticipated
levels, even though the retail store may have significant levels of inventory
"on-hand", the needed on going monies, to cover the operating overhead,
affect the ability of the retail store to bring in additional products. In other
words, the inventory "on-hand", which has consumed the available monies
that the retail store had, has limited the stores ability to obtain additional
inventories, and meet (in a timely manner), the on-going overhead cost of
maintaining the overhead operating obligations of the retail store. This
situation can be only cleared up by the consumers purchasing enough
of the existing inventory, to bring back into the business, those needed
monies to provide the operating capital for overhead obligations, and the
additional new products, that are desired, for resale, to its customers.
The slower the activity is, in selling the existing inventory, the more
serious the "cash-flow" situation becomes.
That is exactly the situation that we are in now. What comes first, the
chicken or the egg? Our inventory is up! However, we are not seeing
as many customers as we need to see (in the local store) who are making
purchases of existing inventory. This has caused our capital to be "locked-up"
making it very difficult to bring in the additional products that we would like to
provide. We must "unlock" some of our current capital, by selling existing
inventories "on-hand". This is why we have been offering additional EXTRA
DISCOUNTS for "In-Store" purchases. We offer the Extra Discounts only
to "In-Store/In-Stock" consumers only. Why? Well, its like this, often times
(with the additional discounts), many items will be sold at/or near cost, and
I don't really have the time to package up many boxes each day when there
is loses involved, or minimal profits. There is only one employee, Rick Wells.
I cannot hire anyone to assist me at this time, since most weeks I cannot even
pay myself. If you think that the Amateur Radio Retail business is extremely
profitable, ask yourself, why there are only about 65 stores in the U.S.A.?
Keep in mind, our operating overhead (rent, utilities, insurance, advertising,
etc.) remain an obligation every month, whether customers come into the
retail store, or not. The less "in-store" customers, the more "cash-flow"
problems are created. Local customers need to support local retailers.
We desperately need, many additional Northern Ohio customers to come
directly into our store, and find something that they could use. We need
many more Northern Ohio customers to encourage other potential new
customers, to come in and make some purchases. Only by this happening,
can we recover from our current "Cash-Flow" situation.
We greatly appreciate your help.
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NOARD INC ( formerly Northern Ohio Amateur Radio Depot ) no longer |
HOME - Northern Ohio Amateur Radio Development
www.noard.com
Northern Ohio Amateur Radio Development - Rick Wells, K8SCI
PH: (330) 225-7373
The above Phone-Nunber is "Toll-Free" from the Cuyahoga County Area.
E-Mail
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Brunswick, Ohio is 20 Miles Southwest of Cleveland, Ohio
Updated 08/04/2006
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