YouTube video episode of 'The Margin is Right' featuring Tim Ussery (Tex Okie Jerky). Tim describes his home-produced beef jerky process (eye of round cut, dehydrator, wholesale restaurant supply purchases), staffing (no employees), yield loss during dehydration (~70–80%), and discusses pricing and estimated gross profit margin in an on-camera guessing game.
First episode of the Margin is Right. I'm going to ask this fine gentleman a bunch of questions about his business and try to guess what his profit margin percentage is. If I'm within 5%, he's going to give me free jerky. If I'm not, I'm going to buy jerky from him. Sounds like a plan. My name's Tim Ussery with Tex Okie Jerky. My mom got me a dehydrator for Christmas. A couple years ago, I started making jerky for friends. What type of cut do you use? I use eye of round. Are you buying your ingredients wholesale or from the grocery store? I buy them from a restaurant supply store. Do you have any employees? Nope. I'm going to have to guess on, like, a price per pound wholesale. Eight bucks a pound. Actually, don't answer because this is going in my mouth. Don't answer. No cheating. But then you got to dehydrate it. You're going to take like 80, 70% of the weight out. 4 ounces, $15. Probably going to be 16 to 20 ounces. Call it a pound. I'm going to say your gross profit margin, not including your time, packaging, meat, seasoning. Let's say 37% plus 45. Oh, not bad.
