I'm glad so many people know so little
topstuf
Posts: 14,803 ✭✭✭✭✭
About REALLY running a coin business.
Otherwise there would have been so many I would have never been able to retire.
Interesting tidbit: When we opened our first shop, there was a stereo store next door. We became friends with the folks who owned it. The guy was an analytical "typical" businessman. Kept charts and stuff. One day early in our relationship he asked me what the "failure rate" was for coin businesses.
I was taken aback. I'd never really thought of it along those lines.
After considering his question, I even surprising myself, answered "ZERO."
Which, on reflection, is true.
Properly run and not speculating on bullion and keeping ones word no matter what, I can't think of one that ..FAILED.
I do know my dad told me how uncomfortable he would be operating a business that didn't have mfr suggested prices.
Strange.
Comments
I know of one coin shop failure in my neck of the woods. He wasn't in business but just a few years. Ended up having health issues and not supervising the help. Long story short, by the time he became aware it was too late to make it all up. Just closed the doors one day.
I liked him and he was up front and honest as the day is long. Had a lot of nice conversations and remember him kindly.
bob
@topstuf I don't know of too many that have closed up either. One that comes to mind is Rust coins in Salt Lake City that was a subject of another thread. But I guess they don't come within your definition of "Properly run and not speculating on bullion and keeping ones word no matter what..."
Many small business don't go bust exactly, but the owner ends up working long hours for very little pay.
I know the former owner of a well known local coin shop that did four years in jail for stealing client's money. He was big into bullion, and around 1980, took people's money, told them he'd get the gold bullion coins they asked for and lock in the price at that particular day's close. He never delivered the goods, guessed wrong, and went BK.
The guy was dishonest from the get go. Always doing unethical stuff, like charging full retail for a proof set in a Capital Plastic Holder with a wiped Franklin Half, or a huge carbon spot on the Lincoln Cent.
"Seu cabra da peste,
"Sou Mangueira......."
I know a lot about running a business, but nothing about running a coin shop. I have no doubt some principles remain the same...However, coins are not the same as a manufacturing business. I have seen coin shops close, but in the instances where I was familiar with them, it was due to retirement. Cheers, RickO