April 14, 2008

Buying and Selling

Posted in extra income at 12:22 am by kimsan23

Back in 1998, bottled water was the fad in my office. Everyone went downstairs to the Jollyjeep to buy bottled water. It was so popular that our water fountain at work was pulled out. At that time, it was a luxury to have a water dispenser, so my co-workers just bought water by the bottle. I recall that it was P10 per 500 ml bottle.

I was then trying to pay for some car repairs I needed badly, so I was doing all sorts of buying and selling at really tiny profits. I wanted to spend money that wasn’t part of my monthly salary, which was only 5k per month then.

I noticed the bottled water boom and decided to check out the suppliers. So I called a supplier and asked for how much it was to order 10 boxes of bottled water. That was 24 bottles in a box, I was buying 240 bottles. He mentioned that each bottle was priced at P5.00, that was a total of P120 per box. For 10 boxes, it was 1,200. Interestingly enough, he told me that their promotion was that, at the first time of wholesale purchase, they gave a twofer (two for one). I was like “No way!” But this was a perfectly legit beverage company and I soon found out that they weren’t kidding. I faxed in my order for 10 boxes and when the delivery guy came, I got 20.

I started mobilizing my own delivery schedule. At the office, I was able to sell water at P7.50 per bottle, that was a huge profit. I even sold a few boxes to the Jollyjeeps at the same price. I didn’t have to invest extra in gas since I did go to work everyday. The Jollyjeep guys would pick up from my office every Monday. All I had to do was load the boxes into my car every Monday. I loaded 4 boxes a week. After 5 weeks, I had been able to earn back my 1,200 as well as a profit of 2,400. And yes, I got to fix my car.

After that whole bottled water thing, I stopped, because my goal then was not to save, it was really to just get my car fixed. I used to always think of some sort of buy and sell scheme whenever I needed money for something. It never occurred to me that saving would spare me the trouble of having to worry about incidental or emergency expenses. Of course now, I know better than that and every time I have a chance to buy and sell, I do it — but how I do it will be another entry.

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2 Comments »

  1. Good story, if you only continue the buy and sell of the bottled water you should have reach your 1 million faster.

  2. kimsan23 said,

    Maybe not a million yet since that office finally installed a water dispenser. But I could’ve made more.

    It’s never too late to get into more business!


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