How highly leveraged is the typical major dealer?
Longacre
Posts: 16,717 ✭✭✭
Does anyone know how highly leveraged the typical major dealer is? By that I mean the amount of debt that they incur in order to make purchases for inventory. I assume that all dealers do not work with cash; rather they must have a line of credit at a bank (or something similar) that they use to make purchases. Is there a target ratio that dealers strive to have? This question came into my mind when I read about the recent purchases of the Brasher coins. Can anyone provide any guidance or insight? I wonder if the answer changes if it's a national dealer versus a local or regional dealer (the numbers might be different, but I wonder if the relative amounts/ratios are similar. Thanks.
Always took candy from strangers
Didn't wanna get me no trade
Never want to be like papa
Working for the boss every night and day
--"Happy", by the Rolling Stones (1972)
Didn't wanna get me no trade
Never want to be like papa
Working for the boss every night and day
--"Happy", by the Rolling Stones (1972)
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