Seeking Expert Advice: A Viable Business Model Facing Taxation Challenges
I am planning to start a business with a unique advantage in product pricing. I can procure items at ₹88 per unit—₹5-6 cheaper than the average market price—and sell them at ₹94 per unit. This gives me a competitive edge and attracts buyers due to the affordable pricing.
However, despite this pricing advantage, I’m facing a critical challenge: taxation. With a 30% tax on my profits, I find my business becoming unviable. For instance, if I purchase 1 lakh units for ₹88 each (₹88,00,000 in total) and sell them for ₹94 each (₹1,06,00,000 in total), the profit margin shrinks drastically after tax deductions. This leaves little to no room for growth or sustainability.
My business model primarily involves cash purchases and bank account transactions for sales. I aim to streamline this process while ensuring compliance with financial regulations. However, I need expert advice on optimizing my operations, managing taxes, and making the business profitable.
I am seeking the guidance of an experienced Chartered Accountant (CA) who can help me structure my business model effectively. Additionally, I am open to forming a revenue-sharing partnership, offering 1% of my earnings in exchange for expert consultation and support.
If you’re a CA with a deep understanding of taxation and business optimization, I’d love to connect with you. Together, we can create a sustainable and profitable enterprise.