For some businesses COS is easy to establish – they buy an item then on-sell it with a markup however most businesses have to do something to that item or incur costs related to that item before being able to on sell it even if it is just time – there is still a value that needs to be placed on that time

There are two types of costs included in COS: Direct and Indirect:
Direct Costs are costs related to production or purchase of the product
Indirect Costs are costs related to warehousing, facilities, equipment and labour

As the business owner you should be monitoring these costs for pricing and a whole lot more – Contact the Rise Team today for a complimentary 90 minute Profit and Costs Analysis today 0800 747 323

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