maximum profits capped at 10%

[Deleted User]

heres an idea

what if all profits from BTL, selling homes, companies annual profits ect ect

if the max profit allowed to be made from selling anything was capped at 10% after costs, would the country be a better place

ie, a car, made for £5000 including labour and parts, cant be sold for any more than £5500

they still make profit, prices are fairer

Dithering_Dad

lol, ridiculous!

Old_Slaphead

How d'ya plan policing it?

Anyway many costs are intangible - goodwill, return on investment, provisions etc etc

Many companies dream of making a 10% return.

Graham_Devon

Let's get your idea into action.

But don't complain when you can't fill up with fuel to get to the local supermarket to buy your food. And don't complain when you walked to your supermarket and they have shut down.

Business works on success, they grow on success, they strive to suceed on success.

You would be taking away all the incentive to work, grow and prosper.

ILW

sky190176 wrote: »

heres an idea

what if all profits from BTL, selling homes, companies annual profits ect ect

if the max profit allowed to be made from selling anything was capped at 10% after costs, would the country be a better place

ie, a car, made for £5000 including labour and parts, cant be sold for any more than £5500

they still make profit, prices are fairer

And you could have your wages capped to 10% above your housing and food costs. Wonder what planet some people live on.

Reaper

Also the margins are (and need to be) different on different types of product. If something sells slowly (eg a fridge, Hi-Fi) then the margins are likely to be very different to something that sells fast (eg milk).

If you forced everybody to limit the markup to 10% a huge swathe of goods would vanish from the shops.

lostinrates

Dithering_Dad wrote: »

lol, ridiculous!

I think its a bit harsh. Although I agree with all other contributers on the lack of viabilty and disirabilty of such a plan to pour ridicule on someone's proposal, and I guess someone who has a novice's understanding of business and economy, is harsh on a board open to all. I hope OP understands why we all think the idea is unworkable now and is not discouraged from regular participation in the future.

penguine

This doesn't take into account how long someone has owned whatever they're selling. If, for example, someone bought a house in the 1930s for £500 when they died their family would have to sell it for £550...

Old_Slaphead

lostinrates wrote: »

I think its a bit harsh. Although I agree with all other contributers on the lack of viabilty and disirabilty of such a plan to pour ridicule on someone's proposal, and I guess someone who has a novice's understanding of business and economy, is harsh on a board open to all. I hope OP understands why we all think the idea is unworkable now and is not discouraged from regular participation in the future.

Just hope Mr Darling doesn't read these threads

ad44downey

sky190176 wrote: »

what if all profits from BTL,

Something has got to be done about it alright, donated to charity perhaps.

StevieJ

sky190176 wrote: »

heres an idea

what if all profits from BTL, selling homes, companies annual profits ect ect

if the max profit allowed to be made from selling anything was capped at 10% after costs, would the country be a better place

ie, a car, made for £5000 including labour and parts, cant be sold for any more than £5500

they still make profit, prices are fairer

What about the ones that make a loss, unless you are prepared to guarantee a profit