NET PROFIT

“Yeah”, shouted everyone in front of the “Sukhwinder Kirana”, after “Sukhwinder” hit the coconut in the ground. This man opened up this shop beside a grocery shop, “Birju Stores”.

Birju: - Arey baah, sukhwinder, khol liya apna dukaan. Badiya hai…

Sukhwinder: - Dhanyabaad, Birju.

Birju: - I will also see, how much profit you can do. If you are in loss, just consult me, as I know, how to make profits.

In the first month of operation, there was hardly any customer for the “Sukhwinder Stores”. Then he targeted small kids, by keeping good toys, pictures and other necessary school stationeries. Not only that, if anyone buys any book or copies worth Rs.50/-, that person will get a “Reynolds” or “Cello” pen for free of cost.On the other hand, “Birju” is very clever and fools the people with this weighing machine. For every 100 gm, he saves at least 10 gm. That is if you are buying rice of 1 kg, then actually you are buying 900 gm. So, if the price of the rice is Rs.30/- per Kg, and Birju is buying it at Rs. 24/- from a local market, then there is a profit of Rs.6/- plus the price of extra 100 gm that he is saving by fooling the customer.

After 6 months, both “Sukhwinder” and “Birju” sat together in the “Maharaja” Bar, to have some drinks.Birju: - So, what is your net profit per month, from that kirana shop.

Sukhwinder: - Well, it is at least Rs. 8000/- per month.

Birju: - I am having at least a profit of Rs.15, 000/- per month.

Sukhwinder: - I think, you have not understood the real term of “Net Profit”, you are only talking about the Earnings by Profit, but you are ignoring the indirect commissions or taxes.

Birju: - Arey babah, mein tax deduct kar ke hi bol raha hoon.

Sukhwinder: - I am not talking about the government tax. He he he, I am talking about the hidden taxes of a fraud businessman like you.

Birju: - Ei, I am not a fraud. To do business, you have to do some tactics, to earn more money. Now, tell me in straight words, what you are trying to tell me.

Sukhwinder: - after paying all the taxes, you have profit of Rs.15, 000/-, but as you are using the erroneous weighing machine, so, you have to pay around Rs.5, 000/- per month to the Market Supervisor. The local Police Inspector knows everything and always hungry for your gift packet of Rs.3, 000/- per month. Not only that, I also know that, you also provide some more money to your employees, to keep their mouth shut, about your faulty machine and ghaplabaaji. So, let me consider, that is only around Rs.500/- per month.

Birju: - Ya, that is true, but how you got this information. I think, now I have to pay you some money also.

Sukhwinder: - Have you calculated your net profit per month. It is coming around Rs. 6,500/- per month, which is less than my net profit of Rs. 8,000/- per month.

Birju: - I understood what you are trying to say. In India, to do a long term business with huge net profit, you need to have the honesty in business. You are a “Sardar”, but your brain is sharper than a “Marwari”.