Hurleys Maestros

[Guest]

Just noticed that these are now £40 + vat on the website. Views plz

[Guest]

They were too dear at £38

I do not buy them

[Guest]

Put two rows of mini eggs in, better seller and better value or Toblerones branded and better value and better sellers

[Guest]

I still use them, but then I claim VAT back on them. They are expensive, but as I said to another operator recently when he saw I stocked six branded products, I would rather sell 40 branded products a month in a site than sell 10 non branded products, you still make more money on a smaller margin!
Obviously some sites sell well with anything, and we would all like the big margin lines to sell, but if the branded lines sell two-to-one over the cheap lines it's a no brainer really!!

[Guest]

I still use them, but then I claim VAT back on them. They are expensive, but as I said to another operator recently when he saw I stocked six branded products, I would rather sell 40 branded products a month in a site than sell 10 non branded products, you still make more money on a smaller margin!
Obviously some sites sell well with anything, and we would all like the big margin lines to sell, but if the branded lines sell two-to-one over the cheap lines it's a no brainer really!!

I assume that you have to be vat registered, due to your turnover. If not, you are a fool, as the vat element comes right out of your profit. If you are on the flat rate scheme and cant reclaim the input vat ( cost of vat on your product), then you are still paying 3-4% out of your profit ( not sure what the current rate is) + the vat you have paid to the supplier for your product (input Vat), which totals up to around 8p in every pound vended going to the vat man.

If you are on the other scheme, where you claim back your input vat, you may be worse off than on the flat rate scheme, as the vat on the £1 vend,( 18p) less the vat on your product is still higher than on the flat rate scheme. (In the case of Maestros at £40 for 96, that is .05 p per pot.)Therefore, vat paid on a £1 sale is around 18p- your 5p and you are still paying the vat man 13p in every pound.

Getting back to Maestros price. It is way too high and Hurleys don't let us know that prices are rising.

[Guest]

which companies do tell you about price rises? I don't know many

[Guest]

I assume that you have to be vat registered, due to your turnover. If not, you are a fool, as the vat element comes right out of your profit. If you are on the flat rate scheme and cant reclaim the input vat ( cost of vat on your product), then you are still paying 3-4% out of your profit ( not sure what the current rate is) + the vat you have paid to the supplier for your product (input Vat), which totals up to around 8p in every pound vended going to the vat man.

If you are on the other scheme, where you claim back your input vat, you may be worse off than on the flat rate scheme, as the vat on the £1 vend,( 18p) less the vat on your product is still higher than on the flat rate scheme. (In the case of Maestros at £40 for 96, that is .05 p per pot.)Therefore, vat paid on a £1 sale is around 18p- your 5p and you are still paying the vat man 13p in every pound.

Getting back to Maestros price. It is way too high and Hurleys don't let us know that prices are rising.

I have two limited companies. One company owns 1x tower and 1x pringle tower and buys all the stock from Hurleys and Booker, and is Vat registered. The other company is not VAT registered and owns the rest of the sweet and pringle towers. I buy the stock through the first company, under the pretense that it is buying stock for the two machines it owns, and reclaim the VAT on the stock. I then sell the stock to the other company for a nominal sum (usually £1), which is then sold vat free in the rest of the machines.
According to my source (who is an accountant) claiming that you bought too much stock for your 2 machines, and had to sell it on at a loss, is a perfectly legal way of moving profits around and limiting tax liabilities called 'transfer pricing'. It's quite similar to the way Starbucks buys it's stock above market value from it's other company in Switzerland.

[Guest]

But that method is only good until you reach the vat threshold for 2nd company I presume?

[Guest]

then you add a third I guess? how many machines are you owning through the 2nd company?

[Guest]

Difference between us and starbucks is they have millions to spare on accountants and solicitors, may be a bit different if the vat man comes knocking on your door.