Run the Numbers
Example below is using variable amounts entered in transaction amount, yearly sales, and average profit margin (highlighted). Enter your own numbers and give it a spin:
 
$   transaction amount (from sale of slow moving parts using DealerMine)
- $ total expense (transaction amount at 50% discount + estimated 3% for shipping + 5% fee)
$ net cash

Profit!

ROI!
 
$ net cash (reinvested in fast moving parts)
x $ yearly sales
$ gross sales (from reinvested cash)
 
$ gross sales
x % average profit margin*
$ gross profit
 
$ gross profit
- $ net loss (listed above)
$ net gain realized by using DealerMine!
 
$ net gain
÷ $ transaction amount (listed above)
net ROI using DealerMine to sell your slow moving parts
 
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* Calculations based on figures from Mike Nicholes “Professional Inventory Management” (2005)
© 2008 DealerMine Corporation (demo)