Example of the 5% "issue":
Service Revenues $1000.00
Cost of Services 950.00 (95%)
-----------------------
Gross profit $50.00
But let me add something. Even though the profit margin is low, the overhead is low. The operations of
Oronoco runs virtually on automatic. So we could increase sales to $1 million per month (or more) and the
business can easily be managed by 2-3 people who would handle billing and customer service matters. That's
why we are trying to ramp up the sales as quicky as possible. Something else: one of the best measures of
the efficiency of a business is Return On Investment (ROI). As soon as we can ramp sales to about $300,000 per
month, Oronoco can hit an ROI of about 30%. Not many businesses can make this statement.