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The Cost of Doing Business: Is It Worth It?

Approximate Monthly Overhead for a Typical Rental Department Effectively Managing 300+ Accounts (Not including cost of inventory, finance charges or management expenses)

Employee Title
Job Description
Monthly Income per 40hr week
Data Entry
Posting payments, recording & filing rentals,
sales, returns, exchanges & upgrades
$8 per hour
10 hours weekly
$320 gross monthly
Accounting
Recording purchases & payables, payroll, sales tax reporting,
prepares financial statements and assists with data entry
$20 per hour
10 hours weekly
$800 gross monthly
Collections
10, 15, 30, 60 & 90-day phone & written late notices,
certified letters, credit bureau reporting & reposessions
$8 per hour
15 hours weekly
$480 gross monthly
Repair Tech
Servicing all rental & billable repairs, recycling rental returns
and provides repair estimates
$28 per hour
20 hours weekly
$2240 gross monthly
Marketing
Coordinates all advertising & promotional activities,
updates rental pricing, shopping competitors, creates and/or
maintains print & web content
$15 per hour
20 hours weekly
$1200 gross monthly
Inventory Control
Recording new inventory, conducts quarterly
physical inventory audits resolves discrepancies
$8 per hour
10 hours weekly
$320 gross monthly

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Do The Math: Outsourcing Make Sense

Typical Monthly Commission Totals for VIR Affiliates at Various Rental Volumes (Average base rent of $20/mo with $5 per-new-contract bonus over one-year period)

Example Store
Total Active Rentals
Total Monthly Commission
Collections Recourse
Affiliate A
150
$650/mo
$0
Affiliate B
500
$2200/mo
$0
Affiliate C
1000
$4400/mo
$0

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Additional Resources For Consideration