Bookers Books Limited is taking their company public. Under this firm commitment offering, Bookers Books will receive $16.67 from the Underwriter for each of the 1,500,000 shares that will be issued. The shares will be offered for sale in the market at $19.00 each. Additional legal fees of $500,000 and indirect costs of $125,000 have been incurred. What are the flotation costs as a percentage of the total funds raised?