Increasing Your Profits Through Buying Groups – Strength In Numbers
Why Join a Buying Group?
Because wholesalers give pricing breaks to customers who buy in large volumes, small businesses are at a disadvantage. They usually cant afford to purchase in huge quantities like the larger vendors. So many small businesses are turning to buying groups to level the playing field and allow them to compete with bigger sellers.
Attorney Harry B. Ray, of http://BuyingGroups.com, explains, “A buying group is a group of businesses in the same industry who combine their purchasing power to negotiate better prices and terms from the vendors.” Buying groups can potentially do a lot for your small business:
Because youre buying in larger quantities, you get pricing breaks that enable you to be more competitive.
With the combined buying power of your group, you can meet enormous purchase minimums you could never afford on your own.
You get better payment and freight terms. With certain-sized orders, wholesalers will even waive the freight altogether.
How Do They Work?
There are different buying group models, but two are...
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