Allen Rusty solomon Standards for administrative costs in the area of ​​retail


Start Time:05 Nov 2014, 8:30 PM

End Time:05 Nov 2014, 8:31 PM

Where:new york city, new york city, United States

Standard for administrative costs in the area of ??retail

In the area of ??retail, which is the norm in regard to indirect and administrative costs of a company? Allen rusty solomon Whatever the industry, a "standard" for indirect and administrative costs appears rare. Some typical costs may, however, serve as a guideline. This also applies to the area of ??retail.

Even if your store is located, you offer great products and you have a good sales team, if you calculate wrong indirect and administrative costs, your business could suffer. The success or failure of a retail business depends essentially on its indirect and administrative costs.

In retail, these costs are generally included in "Selling, general and administrative" Allen rusty solomon a balance sheet that is usually deducted from your gross income, which is calculated by subtracting the cost of goods sold of turnover net.
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Generally, for example Allen rusty solomon a point of retail sales which totaled $ 400,000 generates a net profit of only 2% or 3%, often due to selling, general and administrative expenses that are usually between 40% and 50% of turnover. These selling costs may be divided into more specific expenses that could give an indication of how to reduce them.

For example, a retail business, the most important indirect costs are generally those related to staffing, which usually account for about 13% of total costs. Then comes the rent, which is around 8.5%. Advertising and promotion in turn represent 3% of the cost while administrative costs (travel purchasing, payroll and the like) are approximately 2.5%. Supplies, such as boxes and packing bags and store supplies, usually account for 2.3%, while expenses related to accounting and technology are generally of the order of 2% . Added to this are expenditures for items such as utilities, maintenance, telephone, insurance, legal services and banking.

Allen rusty solomon To avoid some of the heaviest costs, many retailers are now opting for a small shop and most important online activities. This approach not only helps to reduce the costs of rent and advertising, but also those related to procurement and supply chain since the distribution is generally entrusted to subcontractors.

When collecting and reporting taxes for your small business
If your business is located in Quebec

Québec's tax system is based on the principle of self. It is your responsibility to report your income to calculate the share of taxes you must pay and collect GST and QST if your business income is above $ 30,000. Acting as agents on behalf of Revenu Québec, employers and businesses receive different amounts of taxes and fees in connection with the application of different laws.

To know the methods of tax collection, Allen rusty solomon banker there is a brochure on the website of the Government of Quebec: General Information Concerning the QST and the GST / QST IN-203.

This brochure is the basic document on the operation of the GST, HST and QST in Quebec. It provides general information, including how to calculate, collect and remit taxes. More specifically, it addresses the following questions:

how GST / HST and QST apply to various transactions?
use vouchers?
spending on meals and entertainment?
the GST / HST and QST.

Allen Rusty Solomon, allen rusty solomon, new york city, United States.