Usually it is 1x gross profit per case annually. If you sell 1000 cases a year and your GP was $4 per case then you would get $4000. Some are higher and some lower , however, industry avg is 1x Gross Profit.
Originally Posted by Racks
It can be a leagl wrangle though because of what I like to call VooDoo math. The accounting methods in the beverage business that include scan downs, bill backs, free goods, returns credits, sale price vs. retail price, the list goes on.
It is best to establish upfront obviously in a contract.
Whether you think can or think you can\'t, you\'re probably right!