FMCG wholesaler/distributor margins

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January 08, 2024

by a searcher from University of Sydney in Sydney NSW, Australia

I'm looking at a FMCG wholesaler/distributor that acts as both a white label supplier to large retailers and has its own-branded products which are supplied to different retailers. The product gross margins appear relatively low (<30%) which is concerning however i don't have many benchmarks. The goods are not manufactured in-house but off-shored to low cost labour countries.

Keen to get any insight from other searchers/investors on comparable margins for non-perishable goods and industry standards/benchmarks.

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Reply by a searcher
from University of Tennessee in Nashville, TN, USA
A general rule of thumb for a healthy non-tech business is###-###-#### Gross Profit-SG&amp;A-Net Profit).

Try the IBISWorld and BVR sections within SearchFunder to extract the industry benchmarks.
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Reply by a searcher
from Vlerick Business School in Zürich, Switzerland
Looking at a similar business, curious where you got on this if you want to DM me to chat.
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