Never Fall in Love…. With your inventory

I learned from another wise man in the business, this sage advice. You may think your item is fantastic. You may think it’s worth a gob of money. Sure, you bought it right. It was cheap. The item is worth a hundred times what you paid! Problem is, you may never get what it is worth. You might get what could be considered a fair offer. You are tempted to hold out for more. If you wait, or negotiate too high, you will likely lose the sale, and never get a chance to find a willing buyer again…ever!

I had an cranky boss at a place I used to work. They had an old tired mainframe computer that they replaced. I’ll just put some random numbers here, as it was a long time ago. They got the new computer, and the computer salesman said, “we’ll give you $5000 for your old one, refurbish it, and sell to another company”. The boss was angry! “I paid $50,000 for it, you are crazy, I’m holding on to it”. The salesman came back in six months, “We’ll give you $1000 for it, I think we have a sale”. The boss got real mad. “You said $5000”. They explained that was six months ago, and that customer is gone. Six months later, the boss asked us to call the salesman, and get the $1000 for it. He didn’t know who to sell it to. They said, sorry, in order to remove it and dispose of it properly, We will need to charge you $250. He went ballistic. An employee finally gave him $25, to take it. He wanted to take it home for his teenage son to take apart, and learn something about computers. Do not fall in love with stuff. Take the good profit, buy something else and make an additional profit, then again, and again. This is what is called “the law of turnover”. Turn over the money four or five times in a short while, and you’ll make more dollars than you wanted in the first place for that original item!

This entry was posted in Uncategorized and tagged , , , . Bookmark the permalink.

Leave a Reply

Your email address will not be published. Required fields are marked *