Gross Margin
Buy it for a dollar
Mark it up 50%
Sell it for a dollar fifty
Keep the fifty cents
Congrats
You made 33%
Not 50% ?
No, Not 50%
That’s gross margin buddy
Not the same as markup
Gross profit is what’s left
After you pay the cost of goods
And a 50% markup
Is a 33% margin
Damn
Hard to make a buck
I know right
But we’re not done
Don’t forget the overhead
Call it ten percent
Then I keep what’s left?
No
That’s the EBITDA
You’re not done writing checks
Interest taxes depreciation
Amortization
Uncle Sam wants a piece
Of his most beautiful creation
Don’t forget state and local
Put on your bifocals
When all that’s paid
You can take a distribution
Ok
Finally getting paid
But did you take a wage?
No
Forgot payroll taxes
Social security and Medicaid
Pay a little more
Keep the rest of what you made
I love business
God bless America
All about that gross margin
Good job I’m proud of ya


finally someone who explains it enough for me to understand!
I don't want to say lovely. It stung. Very lovely!