Steve B wrote:
"Edwin Pawlowski" wrote

Evidently, saying yes put them out of business, so saying no may have left
them better off. They may be a smaller business, but they would still be
there, making a profit and paying employees. Sorry, but they allowed
themselves to be pushed over the top. Maybe greed, maybe just inept
management, but in any case, NO was an alternative.

I was in business for ten years. I did good, and sold the business for a
good profit. Early on, I would take work just to keep the wheels rolling.
Basically swapping dollars to pay the help and pay the overhead.

Then one day, I just said no. I'm in business to make money not to break
even. If I'm just going to break even , I'll go back to my old job, work
only 40 hours a week, cut my Tylenol bill by 90%, and only think about work
eight hours a day. Paid vacation, uniforms, meals, health care, and
pension.

Then I started concentrating on "gravy jobs". *

* explanation of a gravy job -

I would make a metal gate from scratch for about $150 back then. My profit,
about $10 per hour worked - about 5 hours.

Then I got into service welding. I charged $75 per hour to go out and just
fix gates. (and other things)

Bottom line ........ I would work less hours and clear more money.

Vlasic should have made the decision to keep selling more quart and pint
jars for a better profit than making gallon jars. I read a lot of the
story, but can't remember what the profit for a gallon was vs. profit for a
quart.

One time, I was thinking of expanding my business. I had a backer for $250k
that was looking to shelter some shady money. When I crunched the numbers,
everything went up by 100 to 400% except my paycheck. The backer balked
when I demanded that my income should at least double.

Gross don't mean squat.

Net is where it's at.

Money comes in ..... money goes out ........ how much stays?

Yes, Ed, sometimes it is smart to just say NO!

Steve

It's like the old joke: we will make these for $10 and sell them for
$5. How will me make a profit? On volume!