What is on a liquor store profit and loss statement?

I'm interested in purchasing an existing liquor store and have started talking with a broker. When I receive a P%26amp;L from them, what categories should I expect to see? Are there any hidden costs in a liquor store that someone starting out wouldn't know to check?


If there are any websites and books to read up on, I'd appreciate that info as well.|||The Profit and loss statement should show you everything you need to know,regarding the business.





You should have





Total Revenue


any sales returns


Opening stock value


Plus any purchases


Plus customs duty


Freight to get stock to the premises


less purchase returns


Less closing stock





This should give you your Gross Profit





Less operating costs





Advertising


freight outwards


sales wages


client refreshments


electricity


vehicle expenses


depreciation


telephone


insurance


admin wages


postage and stationery


rates


accountants fee


bad debts





The list goes on and on.





The trouble with alcohol is the commodity is attractive to those who will take it with out paying for it.





I suggest you have strong internal controls to eliminate any risk of theft, or fraud. Make sure your staff are trustworthy.





Good Luck