The lowest wholesale unit price does not always produce the best buying decision. A retailer needs to know the landed cost: the amount required to get saleable stock into the shop.
1 · Check the inputs2 · Compare terms3 · Keep evidence
Build a comparable wholesale quote
- Write one product specification: brand or grade, pack size, quantity, delivery PIN code and required date.
- Ask every supplier for the same commercial fields: unit price, taxes, freight, packing, minimum order and payment schedule.
- Check replacement rules for damaged or incorrect goods and the evidence window after delivery.
- Compare the total payable and expected sellable units, then calculate margin against a realistic selling price.
A practical example
Illustrative example: Quote A is ₹100 per unit plus ₹12 freight; Quote B is ₹106 delivered. If tax treatment and quality are the same, B has a lower landed cost. If A offers a better replacement policy, price alone still cannot settle the choice.
Before you act
The calculation is a buying aid, not a tax invoice or guarantee of margin. Confirm GST treatment with your accountant and terms with the supplier.
Official or primary reference: GST Portal. Check the latest terms at source before making a financial decision.
