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If you do the math regarding your ROI (return on investment), you will see how this proven, cost effective method can help you build your business. Put your business on a solid growth plan right away. We propose four simple assumptions for this formula which our research with existing clients has provided us. Here are the four assumptions.
* Please see new rates on FAQ page - rates shown in Do The Math are from 2007. Thank you!
- Your cost per appointment will be between $68 and $85. We sell 5 appointments for $429, 10 appointments for $759, and 20 appointment blocks for $1,440, with discounts available for larger orders.
- On average, you will gain one new account for every 4 to 5 appointments that you purchase.
- On average, the monthly billing of each account you will close is $450.
- Gross profit, after labor and associated performance costs (employees or subcontractors) should be a minimum of 30% or $135 for each account, each month. ($450 x .30 = $135). Remember this assumes you are not doing the work, but are paying someone else to perform it.
- Please note our pricing has changed over the years and the figures used below represent old pricing, however the outcome still results in this marketing method being hands down the smartest most cost effective model used in the industry.
Take a look at the results if you utilize this as part of your ongoing marketing program over 12 months. After just a few months the profit can pay for your marketing for the rest of the year.
*Results can vary based on your individual ability, pricing policy, and market.
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This spreadsheet is based on a closing rate of 1 in 4, spending $319 per month.
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Marketing Month
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Total Cost
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New Contract Value
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New Contract Profit
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Total New Contract Value
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Total New Contract Profit
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Monthly Profit After Marketing
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Accumulated Profit After Marketing
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#1
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$319
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$450
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$135
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$450
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$135
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-$184
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-$184
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#2
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$638
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$450
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$135
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$900
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$270
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-$49
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-$233
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#3
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$957
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$450
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$135
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$1,350
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$405
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$86
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-$147
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#4
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$1,276
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$450
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$135
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$1,800
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$540
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$221
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$74
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#5
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$1,595
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$450
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$135
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$2,250
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$675
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$356
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$430
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#6
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$1,914
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$450
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$135
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$2,700
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$810
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$491
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$921
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#7
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$2,223
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$450
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$135
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$3,150
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$945
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$626
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$1,547
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#8
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$2,552
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$450
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$135
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$3,600
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$1,080
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$761
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$2,308
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#9
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$2,871
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$450
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$135
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$4,050
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$1,215
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$896
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$3,204
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#10
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$3,190
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$450
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$135
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$4,500
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$1,350
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$1,031
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$4,235
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#11
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$3,509
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$450
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$135
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$4,950
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$1,485
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$1,166
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$5,401
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#12
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$3,828
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$450
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$135
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$5,400
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$1,620
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$1,301
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$6,702
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| Totals |
$3,828
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$5,400
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This spreadsheet is based on a 1 in 5 closing rate, spending $649 per month. At this rate you will close 2 new accounts each month if you are ordering 10 per month. On average this would equate with at least $900 per month in new accounts. |
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Marketing Month
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Total Cost
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New Contract Value
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New Contract Profit
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Total New Contract Value
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Total New Contract Profit
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Monthly Profit After Marketing
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Accumulated Profit After Marketing
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#1
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$649
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$900
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$270
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$900
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$270
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-$379
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-$379
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#2
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$1,298
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$900
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$270
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$1,800
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$540
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-$109
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-$488
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#3
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$1,947
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$900
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$270
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$2,700
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$810
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$161
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-$327
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#4
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$2,596
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$900
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$270
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$3,600
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$1,080
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$431
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$104
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#5
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$3,245
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$900
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$270
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$4,500
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$1,350
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$701
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$805
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#6
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$3,894
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$900
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$270
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$5,400
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$1,620
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$971
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$1,776
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#7
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$4,543
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$900
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$270
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$6,300
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$1,890
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$1,241
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$3,017
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#8
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$5,192
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$900
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$270
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$7,200
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$2,160
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$1,511
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$4,528
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#9
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$5,841
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$900
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$270
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$8,100
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$2,430
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$1,781
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$6,309
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#10
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$6,490
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$900
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$270
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$9,000
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$2,700
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$2,051
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$8,360
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#11
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$7,139
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$900
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$270
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$9,900
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$2,970
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$2,321
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$10,681
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#12
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$7,788
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$900
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$270
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$10,800
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$3,240
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$2,591
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$13,272
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| Totals |
$7,788
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$10,800
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$3,240
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$10,800
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$21,060
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Ok, so what are you waiting for? If you understand the data on the sheets shown above, you are anxious to get started.... If you need some help, or still have questions, let us explain how this really is a no-brainer if you want to build your business. Either way, write to us by clicking on the "contact us" tab at the top of this page.
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