I have two business ideas that I want to do. One is to host a dance, coaching and meditation studio with an organic café, in my own designed house, that I call Telluselle Living Center. The other plan, is to make a lei (a garland) of flowers similar to the ones in Hawaii (and in India and Indonesia), but made of bamboo, in my own design. Both requires a budget of course, and some counting.
Recently, as a comparison, when I ordered a T-shirt from the United States, I was reminded of all the costs to be included and considered, such as:
+ Product manufacturing (material and production)
+ Marketing (advertising, promotional letters, sale visits)
+ Salaries (my own, but also any needed accountants or collaborators', insurances)
+ Distribution (rent a warehouse and shipping)
And, in Sweden we also have a 25% VAT, that needs to be added into the price, as well as about 30% employer's taxes, and toll. And as if this wasn't enough, we also have to pay administrative fees. So, one must take all these factors into deliberation, to be able to decide upon a price. Then add, what is reasonable on the market. That means, we usually need to be aware of paying more than 50% in taxes, making our prices on any products generally at least 25% higher. How can this be sustainable?
The price of the T-shirt was 26.50 USD and 12.99 for S&H, and another 14 USD for toll and fee, making it a total of 53,89 USD, that is twice as much as the price! That feels completely unfair. This is why, I rather start my business elsewhere, such as in the United States.
Read more about my bamboo lei here.
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