That question has stumped me also...but as Ryzie pointed out in his great post if a customer agrees to a contract with FCC they get a $12,000 line of credit.
From here, just what package they choose doesn't actually change BIG's revenue...they are receiving $9,120 (12k minus FCC 24%).
So even if a customer chooses say the silver package at a total yearly cost of $795, BIG's takes home $9,120!!
This is a win/win for all concerned???
FCC get their cut, BIG take home over 9k for a package worth under 1k and the customer gets their video package and a free line of credit with whatever is leftover to use as they see fit.
Am I reading this correctly?
If so, this is a genius setup for BIG...I have heard many being critical of the 24% fee that FCC take. But from the above example BIG are receiving an extra $8,325 purely due to the customer wanting a free line of credit.
If correct, the 24% commission fee doesn't seem so steep!
- Forums
- ASX - By Stock
- BIG
- How FC financing works for BIG
How FC financing works for BIG, page-57
-
- There are more pages in this discussion • 385 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add BIG (ASX) to my watchlist
Currently unlisted public company.
The Watchlist
CCO
THE CALMER CO INTERNATIONAL LIMITED
Anthony Noble, CEO
Anthony Noble
CEO
SPONSORED BY The Market Online