FINANCE

TOP LINE REVENUE OF GROSS:

  • 25% COGS
  • 10% Finance (whoever grabs the bill for that first run ahead of sales, and for future financing)
  • 10% Marketing
  • 5% Direct Investment

______

Partnership Split on a 50K unit run (per product, so x's 2)

50% Waka Flocka Flame [Juaquin Malphurs] = $184,500 (x's 2 $369,000)

50% The Scientist [ Katy Miller] = $184,500 (x's 2 $369,000)

BREAKDOWN

Unit Cost AVG: $3

RETAIL: $12

GROSS AT 50K UNITS = $600,000

COGS = $150,000

10% FINANCE FEE for COGS AND MARKETING (either one of us can grab this piece) = $21,000

10% Marketing Investment (launch events, feature video in LA, influencers) = $60,000

5% Product Investment (outsourcing, scaling, investing) = $30,000 

 

**WHOLESALE (Walmart, Tattoo Shops in NYC + LA, Amazon FBA, Drop Ship) all would come at a 50% further split. Worth a discussion by that 2nd or 3rd run yah?**