Would you buy your favorite local coin shop, if available? Why or Why not?
SethChandler
Posts: 1,705 ✭✭✭✭
I wanna know what move you’d make.
If no, why?
If yes, why? What would you do to make it better?
Collecting since 1976.
2
Comments
Was the boxes for the bricks that much??
No - coin shop fixed overhead costs a lot.
To make it in coin business strong margins plus super buying it right execution critical. In a shop due to its fixed oh costs these factors critical. The higher the fixed overhead costs the higher markup needed. Bowers discusses the keystone markup / 100 pct or cost x2 in his book about coin dealing. However many areas today a tighter markup over cost goal of 35 pct (under$100), 30pct 101-999, 25 pct 1000-9999 needed what many call, lean, mean make it based on numerous financial consultants studying the business. Not far from the industry average - 40 pct. Markup from various audits I had my acctg students do (Dealer sell ads / CDN Bid). We concluded 40 pct over bid the industry average. Keystone can be achieved on certain material like currency, junk box coins, supplies, publications. But big ticket material margins much thinner. Even if just 5 pct over cost want move big ticket…will take narrow spread just get decent cash flow even knowing overhead costs put that in red. Even without a shop a dealer has advertising , grading costs, meals, travel, table fees, auto expenses, taxes, tolls, supplies, employees, office expense, insurance, Entertainment, advertising. It all ads up. Everybody knows 5c on the dollar does not cut it in the coin biz.
Considered opening a shop two decades ago. Passed as the crime stats were overwhelming for retail in my town.
Ditto on buying my favorite shop, though I enjoy shopping there.
Had the offer a few years ago but didnt like the terms.
Oh my goodness no. Love it as a hobby. Would hate it as a job.
My local shop is near the city, and I don’t like cities.
Type collector, mainly into Seated. -formerly Ownerofawheatiehorde. Good BST transactions with: mirabela, OKCC, MICHAELDIXON, Gerard
My "local" coin shop is 1700 miles away. So, the answer is no.
End Systemic Elitism - It Takes All Of Us
_ My "local" coin shop is 1700 miles away. So, the answer is no._
Wow, that’s a long haul, do you live in the Northwest Territories?
Heck no. It’s way too dangerous.
No, because I am not smart enough to run a coin shop. It’s fun to think about though.
Never was any interest. Overhead a concern among other previously mentioned reasons posted above.
The overhead would eat me up and fear of robbery would take a toll. I don’t see how they do it. Shows / car trouble your a sitting duck.
I’m trying to figure out how to do that know. Pricing is way off tho. So, how does one change that? Especially if it is just for the name….
No.
I don't need, nor want a 10th job.
Not enough time in a day, why add to the workload.
An electrician bought a shop in a good location, probably the most "successful" shop in the state. It took many years to achieve real profits, from 2005 to the economic situation in 2007-2010 to other bubbles and busts, etc.. He's clearly a millionaire but lots of worries and stress. Be careful to not become a victim of your own success.
A younger fellow bought a shop I do a lot of business with last year; owner had made out well, some very good years others were slow. I believe he would have done better as an employee/proprietor.
No.
I had the chance but we could not come to terms. It was a nice shop with a great location. The owner had a great setup. He owned the building with 3 attached rental spaces that made good money. These spaces would have covered the overhead but the dealer would not sell me the whole building. He wanted to keep the rental income. I can't blame him.
My local shop has been for sale for a long time. I think the local guy wants too much.
As another person said, overhead costs are high, and risk of robbery is too great.
No, because...........
The above comic says it well, besides I have a real job.
Yes, I already did because there were no barber shops available and I heard a coin shop would give a good haircut. This is not "hairsay"
HELL no
no
The local coin shop here closed some years ago
https://www.omnicoin.com/security/users/login
No, because I live in the Bay Area and could not compete with Witter Coin.
Tim
I think people think it is more exciting than it is. 98% of what comes in is the same junk silver and bulk coins (wheats, dateless buffs, etc).
No, if I ever want to sell coins I’d do so online or get a table at a local coin show rather than buy an actual coin store. A lot of times it seems the coin stores make more money buying coins from people who inherit them or from people selling bullion than from selling the coins in the store
Mr_Spud
No, I wouldn't want to pay the jerk who owns it.
God bless all who believe in him. Do unto others what you expect to be done to you. Dubbed a "Committee Secret Agent" by @mr1931S on 7/23/24. Founding member of CU Anti-Troll League since 9/24/24.
Your favorite shop is owned by a jerk?
Doggedly collecting coins of the Central American Republic.
Visit the Society of US Pattern Collectors at USPatterns.com.
NO - almost all the coin shops I have gone to have close. It was too expensive for them to operate, and the crime is out of control. I started buying on the forum almost 3 years ago and haven't looked back. I do go to coin shows and like the personal contact that the dealers provide. I would never go into business in a brick and motor store or on Ebay either.
USN & USAF retired 1971-1993
Successful Transactions with more than 100 Members
No, I'm not a people friendly person.
My Collection of Old Holders
Never a slave to one plastic brand will I ever be.
Emphatically, NO. I have known staff from 2 brick-and-mortar stores, one of whom was murdered in his store in Watertown, NY and the second whose business partner was the victim of an attempted murder in Manatee County, FL.
In the first case the murder went unsolved for years until the suspect (a serial killer and prolific burglar), was finally apprehended & confessed to the murder. In the second case the gun jammed, whereupon the would-be-victim shot and seriously wounded the robber.
The story behind the perpetrator of the Watertown murder is enough to make anyone think twice about selling valuables in a public setting.
https://murderpedia.org/male.E/e/evans-gary-charles.htm
It is hard to have a better favorite when I only have two and both of them are owned by some shady/sneaky people who don't do what they say.
God bless all who believe in him. Do unto others what you expect to be done to you. Dubbed a "Committee Secret Agent" by @mr1931S on 7/23/24. Founding member of CU Anti-Troll League since 9/24/24.
Very interesting thread…. I’ve always dreamed of owning my own shop, but never really realized all the pitfalls that come with it.
As a young Sgt at Ft Bragg in the early 80s, I worked for a few store around Fayetteville NC building coin cases. And I hung out in one store making good friends with the owner. I loved picking up the knowledge and working for random type coins. I’ve never been able to find the guy ever again. Anthony Kloepell (Heritage Coins), if anyone has run across him, I’d love to know.
I asked the coin and bullion shop locally if I could work there and sadly they are not hiring.
I wouldn’t mind setting up at a flea market, but not sure dealers even do this anymore. Do they or has flea bay replaced them? Still run the risk of robbery though, which is scary being alone and a senior citizen. And probably only sell low value items, I’m not sure.
WTB: Barber Quarters XF
No.
Overhead.
Crime.
The only way you can make money is by doing bulk volume on the spread of bullion and junk silver, and hope you can find a numismatic coin here and there which you can buy right and make a profit. There's too much competition on the internet for numismatic material.
There's a shop not far from me that I wouldn't even want to enter, as they try to sell generic Unc. gold, Morgans and Walkers as investments to the most gullible customers.
"Seu cabra da peste,
"Sou Mangueira......."
No I have no interest in dealing with Canadian coins. If it was a Latin American coin shop that would be cool but would fail up here in Canada just not enough people up here collect them. Maybe one day that will change or maybe not.
I'd happily volunteer/work for a coin dealer, but I wouldn't want to be the principal owner.
I'm too "nice".
To be a successful coin dealer, you can't be listening to every sob story that walks in with great aunt Matilda's coin collection, and giving everybody "good deals" that are actual good deals. You'll quickly go broke doing that.
I also imagine it to be quite disheartening to explain that Aunt Tilly's coins would have been worth much, much more if cousin Joey hadn't gone and scrubbed them up with steel wool first to make them look all nice and shiny.
Or that, no, the coin you just saw on last night's news being sold for $500,000 is not the same as this coin that you've just brought in, despite the superficial similarity.
This is on top of the whole security issue, and my general lack of business acumen and affinity for paperwork needed to run any small business these days.
Roman emperor Marcus Aurelius, "Meditations"
Apparently I have been awarded one DPOTD.
Depends if I had windfall money and wanted to give back to something I truly loved as a new purpose for a new phase in my life.
As it is now I have had a few chances to get into the game and it would be hard to deal at the level necessary to replace my current income without stripping away the joy the hobby brings me. I rather run a B&B at a sleepy beach personally and keep coins as a pure hobby if I needed to break away from my career.
11.5$ Southern Dollars, The little “Big Easy” set
I’ve pondered this repeatedly the last few months. While the old school part of me says hell yes, the reality part of me says I just don’t know if it’s doable. To clarify I wouldn’t be buying a shop as there’s only a straight bullion only guy anywhere around. I’d have to start one from scratch. I believe I could get the capital and acquire enough startup material in short order.
As others have said the risk is quite high, even in Florida. I knew a guy about 10 years ago that opened a shop. I was so excited to have that shop and he had great material. Within a month he had a high 4 figure cc charge back he took a bath on. Then he was beat to a pulp in a very violent robbery about a month later. He refused to carry a sidearm. I would do otherwise but I’m not keen on killing a guy or two over some coins - no matter how much they might deserve it.
If I could have it work the way I’d like there’d be a local show every Sunday. That way I’m not choosing between waiting for the one monthly opportunity or putting hundreds of miles on my vehicle.
Having fun while switching things up and focusing on a next level PCGS slabbed 1950+ type set, while still looking for great examples for the 7070.
"If yes, why? What would you do to make it better?"
Probably the real question that the OP would like an answer to.
Nothing I would change though. Current owner made several positive improvements when he took over a decade ago.
Great location. Educated and friendly staff. Tight spreads when buying and selling. Nice, fresh bid board. Decent website. Nice selection of coins and he buys you a slushy if you ask nicely!
I wouldn't want any part of operating my own B&M coin store. The owner of my favorite store and his few employees are cynical, suspicious people. The owner's wife, who works in the store from time to time, tells me she would rather be at home than working at the store but she is required to help at the store. Coin/bullion business not a fun business is what I see.
Reflecting on my observations of coin store people going back 50 years or so ago, I see much cynicism and unhappiness. I would rather be broke and happy than rich and unhappy.
Great spirits have always encountered violent opposition from mediocre minds.-Albert Einstein
I was in discussions to purchase a store where I used to work. The terms of the store’s lease were problematic and I passed. Opened my own office instead, which is by appointment only. No walk-ins. And it’s just a buying office, so there is minimal safety concerns. I can sort out who is worth an appointment ahead of time.
Dealing in Canadian and American coins and historical medals.
I would, but the woman that creates leaded glass and has a shop in the other half of the building is already married.
With all the doom and gloom mentioned above, I'm surprised there are any B & M stores left.
In my experience, most are.
My previous LCS person had zero online presence and was suggesting that I get together with likeminded folks to take over his store since he was wanting to retire after six decades in the business.
Though the thought was very appealing, politely declined because after my wife's passing and own health issues galore, was not too sure as to where my own hobby was headed. Plus I had to relocate a thousand miles away since then to be closer to my kid.
https://www.pcgs.com/setregistry/u-s-coins/quarters/PCGS-2020-quarter-quest/album/247091
I actually would buy, if I could. Spent many years helping out there and made a "home" for myself there in that time. I became acutely aware of the do's and don'ts, the how-to and what to watch out for.
Custom album maker and numismatic photographer.
Need a personalized album made? Design it on the website below and I'll build it for you.
https://www.donahuenumismatics.com/.
Brick and Morter coin shops are dead. I wish it weren't so. Would love to visit CompUSA or Circuit City, or Service Merchandise too, etc.., those are gone now. We reminisce and move on.
https://www.ebay.com/mys/active
No, just a historical hobby; not worth the risk of robbery and serious injury, as Clint Eastwood famously intoned as the outlaw, Josey Wales, “ Dying ain’t much of a living, boy.”
>
Completely agree. The coin shop i'd go by in college with a really nice older fellow who'd talk to you for as long as you wanted about the hobby, got shot in the face and killed a few years back during a robbery. Different times.
https://www.ebay.com/mys/active
No! Been there done that X2
Thanksgiving National Battlefield Coin Show is November 29-30, 2024 at the Eisenhower Allstar Sportsplex, Gettysburg, PA. Tables are available. WWW.AmericasCoinShows.com
Now why would I want to get into a business that has to deal with people like me?
USAF (Ret) 1974 - 1994 - The inherent vice of capitalism is the unequal sharing of blessings; the inherent virtue of socialism is the equal sharing of miseries. Remembering RickO, a brother in arms.