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His partners don't care that he uses their profits as play money, except for, Gerber notes, his father, who would like to see more profit distribution.
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The other views it as a right to profit from the distribution of copies.
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Typically about the business model, profit margins, distribution etc.
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When a portfolio company of the fund is sold or goes public (usually several years after the fund makes its investment) at a profit to the investors, a distribution of cash (or stock if the company goes public) takes place.
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Running Starbucks as a wholly owned private company within Apple would make sense when one considers the 10.5% profit margins coupled with the synergy of distribution in BRIC countries.
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Profit per unit is not as relevant if distribution is in the hundreds of millions.
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The 10-year deal will allow Walgreen to boost sales of its more expensive specialty drugs, negotiate better prices for low-profit, bulk prescriptions, and start daily distribution on most of its generics.
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After all, he reasons, they have the best people, a high profit flow, the largest customer based, and the broadest channels of distribution.
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French luxury-goods company Hermes International bucked the trend, adding 2.3% after posting a 41% rise in net profit for 2011 and saying it will continue to invest in its production and distribution network over 2012.
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They usually give a royalty of anywhere from 10-30% if you are interested in the profit option, (but AdvisorPress offers 60% and has alliances with other distribution sources.) You keep copyright if negotiated.
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