One key metric that Wholesale/Distribution companies should be familiar with is their Return on Total Assets (ROTA).  To find ROTA,  divide profits after taxes by total assets.  The percentage calculated is Return on Total Assets (ROTA).   For local distributors in the Greater/Cincinnati area, the average ROTA for the past four years is:

Return on total assets (ROTA)The average ROTA (Return on Total Assets) is 9.5% (up from 7.5% in our 2010 study).  For companies with more than 50 employees, the ROTA was 9.7% and for companies with less than 50 employees, the ROTA was 9.2%.

As you can see, you can benchmark your company further by the “Under 50 Employees” and “Over 50 Employees” catagories, as there are differences over the four-year period.  Participants in the study receive a complimentary, customized report including anonymous raw data for further detailed benchmarking.

This survey was published by Barnes Dennig and USI Insurance. Click here to request a copy of the report and to ensure you’re on the list to participate in the 2014 edition.