Step Thirty Five to a Fortune:
Two Bags full are Better than One
This is the second part of the three part deal involving backpacks from a combined risk auction.
I won an auction of 4 bags. One of them was a very nice leather satchel which I intend to use for my laptop. I sold one, the other two bags I will sell next. I hope to make all my cash back plus a profit on these bags and keep the 4th bag free of expense. Again, this is an attempt to get richer by spending more. I believe this is possible so long as I can buy for less than I can sell.
The thirty-fifth step in the stairway overview assumes an investment of up to $21.09 aspiring for $23.20 or more. I would like to sell the second of three backpacks.
From $265.60 in available capital, I will invest up to $21.09 wishing to increase that to $23.20 or greater. This would be a gross profit of $2.11 or more. Besides the money profit, I'd like to acquire the leather satchel as a bonus.
Starting capital $265.60
Planned investment risk $21.09
Investment receipt goal $23.20 or better
If I can make a profit off 1 bag, it should be possible to make a profit off a second bag as well
I listed an ogio backpack on ebay. It sold for $10.50 plus $7.05 for postage and handling. The total receipt was $17.55. I made about $1.75
gross profit = $1.75
Was this really a good deal? I'm not making a lot of money on these backpacks, but I am getting a nice leather satchel out of the deal.
What did I learn from this deal? If I didn't have a nice surplus to keep me in investment funds, I'd have to group these into one, because I really didn't make as much as my plan calls for at this level. Because the real profit was hidden in the free leather bag, I did experience a profit in the expected range, although the reserve doesn't show it, my experience level does. Therefore, I decided to move on to the next level. A penny capitalist can make up his own rules so long as the profits keep building.
Remember the journey to a fortune is not a straight one. It weaves, waves, skips, and jumps all over the place.
I started with $265.60 in capital. I was looking to risk $19.17 looking for $21.09 or more. After the sale before tax and charitable deductions I had $1.75 to add to my treasury.
35% tax would reduce this to $1.14
Giving back to the system that enriched me, 10% or $.11 goes to someone or some cause in need. Now I have $1.13 in keepable gains.
We can't always depend on small gains like this to get us to wealth, but no one ever went broke making a small profit. We'll do better!
We have $266.73 to continue our experiments in penny capitalism