iCre8solutions

Everyone's talking about PE and VC. But do you really know the difference? Here's the truth: They're both about investing in companies. But that's where the similarities end. Let's break it down: 1. What they actually do: PE: Buys established companies VC: Funds early-stage startups 2. Risk appetite: PE: "Let's make this good company great." VC: "This could be the next unicorn... or total bust." 3. Ownership mindset: PE: "We're taking the wheel." VC: "We're along for the ride." 4. Investment size: PE: Dropping $100M+ like it's nothing VC: Starting small, maybe $1M-$10M 5. Return timeline: PE: "See you in 3-7 years." VC: "Talk to you in a decade... maybe." 6. Exit strategy: PE: IPO, sell, or reshuffle the deck VC: IPO or get bought out 7. Day-to-day involvement: PE: "We're basically running this place." VC: "Call us if you need advice." 8. Industry focus: PE: "We'll buy anything that makes money." VC: "Tech, innovation, disruption. That's our jam." Here's the kicker: PE is like buying a fixer-upper house. VC is like betting on a racehorse. Both can make you rich. Both can lose it all. But remember: PE plays it (slightly) safer. VC swings for the fences. Which would you choose? P.S. Next time someone confuses PE and VC, send them this. You're welcome. 😉 P.P.S Check out my Newsletter for Founders to Raise Capital and Grow Revenues Here: https://lnkd.in/ejecDs9Z #BrainDumps | BrainDump #97

Continuing with #pricing - Let’s dig a bit deeper into #supplychain costs When it comes to figuring out how much a product costs, supply chain costs are super important. These costs include things like keeping track of inventory, storing it in warehouses, picking and packing it, getting it from one place to another, and finally delivering it to customers. Each of these things has its own costs, and they can all add up to a lot. - #Inventory management costs include things like storing and keeping track of inventory, as well as making sure you have the right amount of stuff on hand.  - #Warehousing costs include things like renting or owning a warehouse, as well as paying for workers and equipment.  - #Pickingandpacking costs include things like labor and materials used to get orders ready to be shipped.  - #Logistics costs include things like transporting goods from one place to another.  - #Distribution costs includes all of the above along with established sales channels or retailer relationships The number of times a product is handled during the supply chain process also affects its cost. The more times a product is touched, the higher the cost. That's because every time a product is touched, there's a chance it could get damaged or lost. Plus, each time a product is touched, it adds to the overall time the product is in the supply chain vs in a customer's hands. While the supply chain may incur costs and be seen as an expense, its proper management can lead to #increasedprofits. An effective and efficient supply chain results in #stockedshelves & #happycustomers, leading to repeat business and long-term loyalty. #cannabis #hemp #supplychain #logistics #distribution #pricing #strategy

Let’s talk product pricing for hemp & cannabis (but really for any product) My team and I engage with companies across the entire hemp and cannabis ecosystem, spanning from farmers and retailers to researchers and consumers, we #see and #hear it all. This allows us to gain invaluable insights and establish meaningful relationships that benefit our clients from pricing knowledge to sourcing raw materials or manufacturing resources. Those relationships are then used to ensure our clients stay revenue positive and ultimately achieve profitability in such a tough industry. While many companies struggle with profitability, the complexity of the cannabis & hemp space is difficult to navigate especially when companies make strategic decisions to operate at break-even or at a loss to simply gain market share. Not that those are good or bad strategies, but the ripple effect across the industry makes it challenging to compete and easy to make poor pricing decisions. When initially pricing a product, these questions are typically at the core of it:  -Who is buying the product, where do they live and what are they willing to spend? -Who are my competitors and what is their price point? -What are my direct and indirect expenses? Can I compete? These questions just begin to scratch the surface, however the most important one is the last one. Does a company have a true understanding of direct and indirect expenses. This is where the saying ‘the devil is in the details’ must have originated, because those expenses are sneakyAF. The vast majority of our clients and those who seek help with product distribution specifically, do not take into consideration just how quickly the indirect expenses can add up, turning your revenue positive product into a loss before it hits the inventory shelf. Since speed is of the essence and time is money, #iCre8solutions created a pricing tool that uses our customer's data along with our supply chain knowledge to model optimal pricing strategies for both cannabis and hemp products across e-commerce and brick and mortar stores. This tool expedites pricing strategy discussions and enables our clients to make fact based data driven decisions to ensure products stay revenue positive.  A company's primary focus is on developing the most amazing products (and rightfully so), but tend to fall short when it comes to go-to-market planning because it's "later on down the road". When you finally get there, a lot of resources (if not almost all resources) are exhausted and there's no way to simply just go back in time to reallocate them. Limited resources require all the puzzle pieces to be in position and our pricing tool ensures our clients have a clear path to be revenue positive out the gates. The cannabis & hemp industry is without a doubt #complexAF, but there are big rewards if you know which levers to pull and when. Which ones are right for your business? #cannabis #hemp #pricingstrategies #financialmodeling #revenue