A little Business Venture

Hello guys, I hope you're all good. So yesterday was a really good day for for, yes I made some losses but it was the effort I made that gives me much joy and I know for sure that I'll soon start making some profits as I plan to continue this.

So what am I talking about? A few days back I visited the school animal farm and I was really amazed by what I saw and they also had lots of offers on show for me too.

What caught my interest the most was the Poultry section, and the eggs to be precise. Why? Well an Idea struck my mind that instant. I immediately thought of how I could become a supplier of eggs to the local markets and small shops or even individuals in my area, by buying directly from the farm and selling to them. Brilliant right?

I asked of how much the sold the eggs there in the farm, they said it depends on the sizes, the medium size was #1700, while bigger ones were #1800 etc. So I went on to make some enquiry from my targeted market on how much they bought and sold eggs there.

The shop owners sold a single egg for #70 which means they'll make a total of #2100 per crate (70 x 30 pcs in a crate). While they also sold at #2000 if you want to buy the whole crate at once, although this price was up for a bargain and could be beaten down to #1900. I felt I didn't get enough information and this cost me, I'll explain down the lines.

I figured that I'll make more gain selling in retail but it will stay longer with me if I don't get enough customers immediately so i decided to become the wholesaler and sell to the shops. This will mean more liquidity but lesser gain for me, I still gave it a trial.

I went back to the farm somedays later(yesterday) and asked to get two crates( I no be O.B.O lol). They agreed to give me but could only get me one as they've sold a few earlier. I took it at the price of #1650. On my way home, a few broke, about three of them, hmm na wa oo.

At the shop owner's shop, I tried to make a bargain, long story short, he said he'll buy at #1650 which is my cost price( excluding transportation cost cos I went on foot). He gave me the cash minus the price of the broken 3 pieces so I got #1485. This means that even though I initially sold at the cost price without a loss, I still made a loss because of the broken eggs. I made a loss of about #165. Ouch.

Better luck next time for me, I hope to do better today. And would it still be profitable had I bought more than one crate? I'll try that today. I hope to get make a profit today.