saving money by ordering in bulk

juniorc82

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I am thinking about using last years numbers to estimate projections for this years chemicals, I think that between the small discount for bulk ordering , and picking up the product my self all at once to eliminate shipping costs I could probly save my business close to 2 grand this year. I want to try and order my best guess for a years worth of chemicals at once. It would also be nice to have the working capitol availble and not have to order supplies in the middle of big jobs where labor is also at its highest cost. Does anybody here try this to save money if so how much annualy do you save?
 

John Watson

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Use to do that when I was in Alaska, Cause it was needed, Habit carried over when moved down here.. You should see the juice I got left over, Switch products and damn, can't give throw that other stuff away. Sheesh, Guess thats why I don't clean any more but still have 2 10x30 storage units chuck full andlots of it is all different kinds of juice.. Back in 94-95 Tim Wessels from McDowels saw what I had and made the coment that I had more stock on my shelvws than they hadon ther
 

Ken Snow

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That is a great idea as long as you have storage space for whatever it is.

We order a few of our consumable in some kind of bulk (6-36 months) including.

Workorders
Invoice paper
Magnets
Brochures
Scotchgard
Disinfectant
Rug washing detergent

Probably more but I can't think of it.
 

Desk Jockey

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We do just the opposite, we stock as little as we have to.

I prefer my distributor stock the main solutions and supplies for me, we just a couple of weeks supplies on hand at a time.
 

Art Kelley

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When a distributor I use is having a stock-up sale day I try to buy what I need for the year at that time, that saves 25-30% which is a good return on your money. I usually buy Scotchgard from JonDon and they have different quantity discounts. I will usually buy the minimum that brings a discount I can use. For instance a case of four gallons is 190.05 Buy: 3 = $156.98| Buy: 5 = $140.26| Buy: 10 = $137.22 . I will probably order five cases although it will take me two years to use it. At $35 a gallon you can stay profitable selling it whereas at $47.50/gal you might not.
 

Chris A

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Art Kelley said:
When a distributor I use is having a stock-up sale day I try to buy what I need for the year at that time, that saves 25-30% which is a good return on your money. I usually buy Scotchgard from JonDon and they have different quantity discounts. I will usually buy the minimum that brings a discount I can use. For instance a case of four gallons is 190.05 Buy: 3 = $156.98| Buy: 5 = $140.26| Buy: 10 = $137.22 . I will probably order five cases although it will take me two years to use it. At $35 a gallon you can stay profitable selling it whereas at $47.50/gal you might not.

Maximum scotchgard cost on a 150 square foot room is $7.12, so unless your charging less than $10 per room, yer probably ok. I'm all for more profit though...
 

dan mabes

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Buying in bulk makes a lot of sense. Money markets or savings accounts are paying less than 1/2%, so better to have inventory on your shelf that you can save anywhere from 10% to 20%+ on and probably get free shipping too.
 

ruff

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I agree with Art.
I found out that the best discounts are when the local supplier has their yearly client appreciation days.
I don't know Jon's operation, but most O/O should not have much problem stocking for a year. It does not take that much space.
 

juniorc82

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My problem is not properly preparing for a job and getting raped on shipping because I had to order a small quanity on short notice. This is especialy true on floor pads, a couple months ago I ordered 2 cases of cimex pads from jon don which came to $48.00 with tax but after shipping I paid $71.00 . I can think of several other situations where this has happened. I have also given thought to paying insurance and advertisers in advance as they also give discounts for upfront payment.
I think buying in bulk could also save money because I feel like I would be less vulnarable to shopping around and nickel and diming my self on fad chemicals.
 
G

greentech

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juniorc82 said:
I am thinking about using last years numbers to estimate projections for this years chemicals, I think that between the small discount for bulk ordering , and picking up the product my self all at once to eliminate shipping costs I could probly save my business close to 2 grand this year. I want to try and order my best guess for a years worth of chemicals at once. It would also be nice to have the working capitol availble and not have to order supplies in the middle of big jobs where labor is also at its highest cost. Does anybody here try this to save money if so how much annualy do you save?

If you are going to do it, I would do it sooner rather then later.

With the cost of fuel, shipping prices are going to go up on everything.
 

juniorc82

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greentech said:
juniorc82 said:
I am thinking about using last years numbers to estimate projections for this years chemicals, I think that between the small discount for bulk ordering , and picking up the product my self all at once to eliminate shipping costs I could probly save my business close to 2 grand this year. I want to try and order my best guess for a years worth of chemicals at once. It would also be nice to have the working capitol availble and not have to order supplies in the middle of big jobs where labor is also at its highest cost. Does anybody here try this to save money if so how much annualy do you save?

If you are going to do it, I would do it sooner rather then later.

With the cost of fuel, shipping prices are going to go up on everything.
That would be the plan. Once some of last months recievables roll in I plan on making a big order towards the end or middle of feb
 

GeneMiller

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i used to place a big order at the end of every year. my supplier would give me a nice discount and add it to his order and he would save. win win he doesn't offer it any more and he is close so i just buy in 5 gal. and cases to save money.

gene
 

J Scott W

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For those considering bulk purchases -
Interlink offers a 10% discount off the single gallon price when you buy a case; 20% discount when you buy 4 cases and a 30% discount when you buy a pallet (typically 36 cases).
 

ruff

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scottw said:
For those considering bulk purchases -
Interlink offers a 10% discount off the single gallon price when you buy a case; 20% discount when you buy 4 cases and a 30% discount when you buy a pallet (typically 36 cases).
Just curious, how many here order a pallet?
 

J Scott W

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Ofer Kolton said:
scottw said:
For those considering bulk purchases -
Interlink offers a 10% discount off the single gallon price when you buy a case; 20% discount when you buy 4 cases and a 30% discount when you buy a pallet (typically 36 cases).
Just curious, how many here order a pallet?

It differs for some products, but most times 36 cases for the gallon sized products.
 

Desk Jockey

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We've bought by the pallet, even ordered 55's of All Fiber, Deodorant.

I've just found that it's tough to use inventory for payroll or to pay my bills. Not to mention the unexpected truck or TM repair. :p

I've found I sleep much more comfortable paying a little more per gallon and have the cash reserves for when I need it. 8)
 

Willy P

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Broadway Joe said:
We've bought by the pallet, even ordered 55's of All Fiber, Deodorant.

I've just found that it's tough to use inventory for payroll or to pay my bills. Not to mention the unexpected truck or TM repair. :p

I've found I sleep much more comfortable paying a little more per gallon and have the cash reserves for when I need it. 8)


Richard at his office....... shiteatinggrin

29xzo2c.jpg
 

Ken Snow

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Re: Re: saving money by ordering in bulk

Ofer Kolton said:
scottw said:
For those considering bulk purchases -
Interlink offers a 10% discount off the single gallon price when you buy a case; 20% discount when you buy 4 cases and a 30% discount when you buy a pallet (typically 36 cases).
Just curious, how many here order a pallet?
There are a few things we order by the pallet and SG buy 13 pallets at a time.

Sent from my DROIDX using Tapatalk
 

Hoody

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Re: Re: saving money by ordering in bulk

Ken Snow said:
[quote="Ofer Kolton":ammgv45e]
scottw said:
For those considering bulk purchases -
Interlink offers a 10% discount off the single gallon price when you buy a case; 20% discount when you buy 4 cases and a 30% discount when you buy a pallet (typically 36 cases).
Just curious, how many here order a pallet?
There are a few things we order by the pallet and SG buy 13 pallets at a time.

Sent from my DROIDX using Tapatalk[/quote:ammgv45e]

Bet they use that up in a month :lol:
 

idreadnought

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Honestly I order months of carpet cleaning chemicals at a time. First it saves money and second it saves time. Who has the time to go to the supplier every week? also 90% of my stuff is delivered. Time is money and I can make more money knocking on commercial doors than I could ever save by going to my distributor.
 

Larry Cobb

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Ordering in bulk can save you money . . .

just be sure it is the best product for the job.

We quote our large customers & franchises ~ once a year.

Custom formulation is another advantage for large orders.
(George gets one of our new fragrances in his Ultraseal protector.)

Free freight is another big discount for large orders.

Larry
 

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