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What happens when you buy a ChatChat necklace for 40€? - 18€ goes to the supplier and 8€ is the sustainable development margin.
The remaining 14€ is divided between taxes (7€ for the VAT and 4€ for the customs) and Art[E]tiQ’s modest fixed costs (3€). For more details:
| | Ezaghan Earring
| Tcherot Necklace
| Facom Knife
| Raw material
| 1,5€
| 8€
| 30€
| Work force (1)
| 4,5€
| 22€
| 30€
| Local purchase price (W/O VAT)
| 6€ | 30€
| 60€
| | Customs (import/export) | 1€ | 5€
| 11€
| Packaging and transport
| 0,5€
| 2€
| 3€
| Fixed costs Art[E]tiq (2)
| 1,5€ | 6€
| 12€
| ’At Cost’ price
| 3€ | 13€
| 26€
| The Sustainable Development Margin (3)
| 4€ | 13€
| 17€ | Selling price W/O VAT (w/o freight)
| 13€ | 56€
| 104€ |
(1) The cost of workforce is based on the time and the difficulty of the work performed. (2) Art[E]tiQ’s fixed costs: - Bank charges, Internet fees.
- Advertisment and communication.
(3) Sustainable development margin:
100% of this is re-invested in sustainable development projects or in funding new orders. We have defined 3 different margins (applicable to the ‘At Cost’ price): - Tuareg Silver and wood : 20%.
- Pure silver (sterling 925), middle sized objects : 30%
- Small silver pieces and unique pieces : 50%.
OBS: a 50% margin on the ‘At Cost’ prize = 25% of the final VAT price. |
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