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    0 Replies Latest reply on Jan 15, 2009 7:24 PM by gr8tfuldaddy

    Bringing a New Product to Market

    gr8tfuldaddy Newbie
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      First, thank you for taking the time to
      read my questions and providing insightful and informative
      alternatives. My background is from the financial services industry
      which has included some lending to consumers and small business
      owners. I have recently started a retail/wholesale business that has
      a target market in the Jamband community. If you are not familiar
      with the Jamband community, it was started with the music of the
      Grateful Dead and expanded into a whole genre of music. A few
      specific about me and the company.

      1) Company is an LLC that
      formed in Sept 2008 in the State of NJ
      2) One managing member,
      3) No accounts receivable to speak of since the company is
      4 months old
      4) Fico score about 650
      5) No equity in my home
      since I just purchased 6 months ago, this is my second home

      have come across an opportunity to manufacture a product overseas in
      China that costs $1.00 to manufacture. This product has a retail
      value of $5.00 in the previously mentioned target market. The
      manufacturer is requiring us to purchase150K units and in return we
      will be giving an exclusivity from the license holder and the
      manufacturer for a period of one year from the manufacturing date. We
      have put together a marketing and business plan that cover all
      important aspects of the endeavor, including but not limited to a target market exceeding 1.5 million. Estimated completion of
      distribution of the inventory is to be completed prior to December
      2009, if not much sooner. In addition, we have setup whole agreements
      if we are unable to sell out of the inventory by December 2009.
      Given our circumstances, what are our options?