Side bets in APA

[SBC]

Well, at least you tried a different insult this time.

Ponzi scheme
[ˈpänzē ˌskēm]

NOUN

1. a form of fraud in which belief in the success of a nonexistent enterprise is fostered by the payment of quick returns to the first investors from money invested by later investors.
   "a classic Ponzi scheme built on treachery and lies"

The enterprise exists, the only investors are franchise owners (so the LO would be the only victim of the "fraud", plus I get none of the other LO's investment), and the customer gets what they pay for before they ever pay for it. It's just a franchise business model, like McDonalds. How much you make depends on your ability to give the customer what they want.

I like Coke, but I don't try to tear down Pepsi just because it's not for me. That does me no good, hurts those who prefer Pepsi, and if I was successful it would raise the price of Coke. I'd have to be stupid to do that.

Keep selling buddy.
Love the anologies.

 

[CocoboloCowboy]

When you say it like that, it does sound pitiful, but you are misleading the reader. Intentionally I bet (how's that for tying it in with the title of the OP?). You quote a revenue number hoping the reader will interpret it as profit. But more importantly, you lead the reader to infer (incorrectly) that for every $54 they put in, $1 is paid back. But you make no mention of what is paid back locally.

I'll use my area as an example, and I'll use 2019 as the example year so I'm not using Covid-reduced numbers. In 2019, my revenue was $382,660. I paid my players in cash (not trophies and patches) $157,825. So in addition to that $1 from Corporate (closer to $3, but that's irrelevant) they got back $22.27 in cash from me. For every $54 they put in, they actually got about $25 back in cash.

Throw in the trophies, patches, and other non-monetary player benefits, and my members got back half my revenue. No secret about that, it's in my bylaws. From the other half, subtract expenses which includes my part of the $54 million APA makes in revenue. Even if I had a healthy 20% profit margin that gives me $76,532 in profit, or income. Don't forget that money gets taxed and that tax includes full SSA taxes, not half like the guy who has a boss. At the end of the month I have less than $5,000 to pay my mortgage, utilities, health insurance, and other stuff not included in my business expenses. And I have one of the larger franchises. Tell me again how we're all swimming in money?

Well sound like a 60k per year income. This is you full time job? That full SSA RATE IS ABOUT 17%, that is a chunk of change.

In Arizona you would be in upper end of income earners.

Teachers, Cops, and Firefighter don’t make 60k unless many years on job.

 

[SBC]

Well sound like a 60k per year income. This is you full time job? That full SSA RATE IS ABOUT 17%, that is a chunk of change.

In Arizona you would be in upper end of income earners.

Teachers, Cops, and Firefighter don’t make 60k unless many years on job.

Sir, people may think you are crazy, but I'm starting to think you are a genius.

Pool is almost done except for a few areas....won't be long.

 

[JazzyJeff87]

Nothing wrong with a kickball tournament I love that game. I haven’t played in years but now I’ve got a goal.

I make like 65k or so a year. But I’m basically a pauper in the DMV.

 

[CocoboloCowboy]

Sir, people may think you are crazy, but I'm starting to think you are a genius.

Pool is almost done except for a few areas....won't be long.

Well I think Pool needs to follow same business model as other sports.

One governing body, one set of rules, if this was the case.

IMHO Pool could attract more sponsors, more support would be good thing.

Years ago the was AFL, NFL they became one league, and it work better than two leagues.

 

[APA Operator]

Well sound like a 60k per year income. This is you full time job? That full SSA RATE IS ABOUT 17%, that is a chunk of change.

In Arizona you would be in upper end of income earners.

Teachers, Cops, and Firefighter don’t make 60k unless many years on job.

Like more than 25? I didn't make that until I was on the job more than 25 years either. And that was income for 2, so more like $30K. There's enough work to keep 2 people busy, too, so it's not like 2 part-time jobs. I gave up a six-figure job in 2005 to make much less running the franchise. I valued the freedom more than I did the money.

But Teachers, cops, and firefighters get paid by taxes. They get some of my income, too. They would get that regardless of my job. And they get pensions too when they retire. When I retire I get to live off what I've built/saved. Not to diminish their contribution, I think they are underpaid too, but I'm not to blame for that. The fatcat politicians are.

That was also 2019. Covid shut us down for over a year. Zero revenue, non-zero expenses. Now we have about 70% of what we had in 2019, so the $60K becomes $42K. For 2 people.

Keep digging, you'll have me below the poverty line in no time.

 

[CocoboloCowboy]

Like more than 25? I didn't make that until I was on the job more than 25 years either. And that was income for 2, so more like $30K. There's enough work to keep 2 people busy, too, so it's not like 2 part-time jobs. I gave up a six-figure job in 2005 to make much less running the franchise. I valued the freedom more than I did the money.

But Teachers, cops, and firefighters get paid by taxes. They get some of my income, too. They would get that regardless of my job. And they get pensions too when they retire. When I retire I get to live off what I've built/saved. Not to diminish their contribution, I think they are underpaid too, but I'm not to blame for that. The fatcat politicians are.

That was also 2019. Covid shut us down for over a year. Zero revenue, non-zero expenses. Now we have about 70% of what we had in 2019, so the $60K becomes $42K. For 2 people.

Keep digging, you'll have me below the poverty line in no time.

Well Covid hurt many people, and closed many small businesses.

So trust me I get it, friend lot his business because Covid, and is back to working for someone else.