Home
>
Small Business
>
Increase Profits With a Small Investment of Time and No Money

Increase Profits With a Small Investment of Time and No Money

The less a business pays for goods and services the more profit that business generates. How does a small business with limited purchasing power get access to lower cost goods and services? The answer is simple. Pool the purchasing power of many small businesses to increase the purchasing power of each individual business. The implementation of forming a buying group can take lots of time, money and resources. Most small business owners have little of these buying group ingredients.

The concept of many small to mid-size businesses joining together to form buying groups has been around for a very long time. The implementation of the concept has only been available for a few years. Just about all of the national buying groups that have started operations in the past five years are no longer in business. I will tell you why many of these buying groups were not successful later in the article. Some of the few surviving buying groups have formed an alliance that offers their members access to greatly discounted pricing with a total of 37 national vendors. The Hospitality Buying Group was the first national buying group to offer a FREE lifetime membership to any business in any industry. This group recently started the Hospitality Buying Group Alliance which offers free lifetime memberships to all the national buying groups in the alliance. The only investment the business members make is the time to compare the prices of the alliance vendors against what they are currently paying.

By now you are thinking that all of this sounds too good to be true. If the Hospitality Buying Group Alliance gives away lifetime memberships then how do they make any money? If the members are not a revenue stream then the only other revenue source must be the vendors. The vendors pay the buying groups commissions on all purchases made by their members. There is no risk for the vendors because they only pay the commission after they have been paid by the buying group members. The commissions are very low so the maximum discounts can be offered to the business members.

Some credit card companies, like American Express, offers a small savings or a percent cash back reward to their customers for using vendors in their network. While saving 2 ? 5 percent with credit cards is good, a 10 ? 50 percent savings with buying groups is much better. Buying group members will only be contacted by the alliance vendors they select. As the buying groups get more established more vendors are interested in offering their services to group members.

If the concept of the buying group is so good then why do most buying groups fail? Most of the failed buying groups spent a few hundred thousand to over a million dollars just to get the buying group started. To make matters worse they have large operational expenses. This is going on at the beginning of the buying group's existence while the group has few vendors to offer potential members. To keep the group functioning they need to charge members $500.00 - $10,000.00 annually to join the group. With few vendors the members can only expect to save a few thousand dollars annually. Many small business owners are not willing to take the risk of purchasing a membership in a buying group that may not generate significant savings. This results in few buying group memberships sold. The buying group can't pay their operational expenses resulting in reducing the sales force. This results in decreased revenues and finally the buying group ceases to exist.

The successful national buying groups that make up the Hospitality Buying Group Alliance were all started with an initial investment of just a few thousand dollars and thousands of labor hours by just one or two individuals. Their operational expenses in the beginning were just a few hundred dollars a month plus lots of labor hours by the owners. As the buying groups grew the revenues were reinvested back into the buying group. The use of technology reduces the operational cost of the buying group. This approach results in a successful buying group with a positive cash flow. This information should put potential members at ease because they know the buying group will be around for a long time.

This is a very special time in the history of buying groups because this is the first time an alliance of buying groups has ever been formed. With the free lifetime membership, total freedom to select one or many alliance vendors and a growing alliance of buying groups makes this the best time to participate in the buying group alliance. You can which national vendors the Hospitality Buying Group Alliance offers by going to: http://www.hospitality-buying-group.com/.

Paul Buisson has been involved with buying groups for over 12 years. He has consulted with several buying groups to make them successful. He can be reached at 985-727-2992 for free advice.

post construction cleaning Deerfield ..

In The News:

OpenAI announced upgrades for its ChatGPT Images platform on Tuesday, saying the program can now make more precise edits and produce images more quickly.

Chrome for Android now turns web articles into AI-powered podcast conversations. Get hands-free browsing with Google Gemini's natural audio summaries.

LastPass faces $1.6 million fine from U.K. regulators after 2022 data breach exposed 1.6 million users. Password manager failed proper security controls.

Petco disclosed a data breach exposing customer Social Security numbers, financial account details, and driver's license information due to a software error.

Baseball teams can now analyze complete swing mechanics in normal training environments using Theia's markerless AI system that processes standard high-speed footage.

Smart home hacking fears overblown? Expert reveals real cybersecurity risks and simple protection tips to keep your connected devices safe from hackers.

MIT develops needle-free glucose monitor using light technology. Revolutionary device could replace painful finger pricks for diabetes management.

The ClickFix campaign disguises malware as legitimate Windows updates, using steganography to hide shellcode in PNG files and bypass security detection systems.

Researchers from Osaka Metropolitan University designed a 21-foot dome that combines aquaculture and hydroponics to create a self-sustaining urban food system.

The Fox News AI Newsletter gives readers the latest AI technology advancements, covering the challenges and opportunities AI presents.

ChatGPT data breach exposes personal info of users through partner Mixpanel. OpenAI confirms names, emails compromised in security incident.

Android rolls out Emergency Live Video for 911 calls, letting dispatchers see real-time scenes during emergencies. Great for holiday travel safety.

Malicious Chrome and Edge extensions collected browsing history, keystrokes and personal data from millions of users before Google and Microsoft removed them.

Google's new Call Reason feature lets Android users mark calls as urgent before dialing, displaying an urgent label to recipients using Phone by Google app.

Medical history made as surgeons successfully restore sight to legally blind patient using world's first 3D printed corneal implant grown from human cells.

Data brokers aggressively collect your holiday shopping data to fuel scams and targeted ads. Learn how to delete your digital profile before 2025 starts.

Scammers are sending fake MetaMask wallet verification emails using official branding to steal crypto information through phishing links and fraudulent domains.

Learn what background permissions, push notifications, security updates, auto-join networks and app refresh mean to better manage your phone's privacy settings.

Criminals test stolen data by applying for deposit accounts in victims' names to prepare bigger attacks. Learn why banks won't share fraud details.

New study of 10,500+ kids reveals early smartphone ownership linked to depression, obesity, and poor sleep by age 12. Earlier phones mean higher risks.

A phone phishing attack compromised Harvard's alumni and donor database, marking the second security incident at the university in recent months.

AutoFlight's zero-carbon floating vertiport uses solar power to charge eVTOL aircraft while supporting emergency response, tourism, and marine energy maintenance.

A new phone return scam targets recent buyers with fake carrier calls. Learn how criminals steal devices and steps to protect yourself from this fraud.

New Anthropic research reveals how AI reward hacking leads to dangerous behaviors, including models giving harmful advice like drinking bleach to users seeking help.

The Fox News AI Newsletter gives readers the latest AI technology advancements, covering the challenges and opportunities AI presents.

Increase Profits With a Small Investment of Time and No Money

Small Business