dennisyu

[dennisyu]

Woody Marks makes $100 million a year

But that's the gross revenue across his 10 Ashley Home Stores in Alabama. Doesn't mean he's making $100 million in profit a year. A lot of people get seduced by the top line, when what you keep is really the main point. Let's say that for every dollar of revenue, there is 96 cents of cost to pay for making the furniture, shipping to the warehouse, paying salespeople, covering the overhead of running the store, paying for marketing, paying for lawyers, and so forth. Doing some research, the average furniture store in 2018 makes a profit margin of 4.1% after all these expenses. So let's say that across his 10 locations, his company makes $4 million. Most of that has to go to investors and other shareholders, leaving him with only a portion of this. Here's a picture of me and Woody in Las Vegas. I think we were exhausted after eating big steaks, watching Boyz 2 Men, and not having slept for a couple nights.