What's percent or fees for doing a service on other people's coins...

Hello, I have some people asking me to sell their coins and they don't want to do the hassle with ebay or TGPs. They would like me to do the job for them. I wonder what's fair fees or percent to charge them for doing a business with their coins? Do you have experience in that area and know what's fair?

 

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I think most professional ebay listers charge 20-50% depending on the cost of the item. Includes photographing, listing, and mailing.

 

I would talk to your tax preparer or your CPA first. You are providing a service for a fee and that makes you self employed and opens a hole new can of worms with the IRS and maybe legal issues also. Better to be safe than sorry! Jim

 

onecoinpony: Thank you for suggestion.

Boxeldercoin: Yes, bookkeeping is a must for this dealing. I already being a self employed as repair computer and build a website for other people. It will be an extra hat to my current self employed.

 

Don't forget to tell your friends how long it took you to list your very first item. They are also paying for having the item listed with your perfect feedback, instead of their zero F/B, which may stop some from bidding.

 

That seems extremely high. I don't know how anyone could possibly sell a coin of any value like that. Further, 20 to 50 % is a huge spread.

I would think it's more appropriate to do it on a "per item" basis. Determine how
long it takes to do an item, decide what your time is worth, and price it that way.

 

onecoinpony: Correct and my ebay feedback isn't bad as it's 2,100+.

 

900fine: Suppose someone asking you to sell their coins and you process coins then listed them in eBay. Some of them may go to TGP for extra profit. What would you charge them for your service?

 

For the level of detail you are asking in this thread, I think it appropriate that I charge you a consultant's fee for answering.

 

PM me for bill. I will use the information that I paid and post here for free.

 

Just remember, when you get free information on a forum like this, there is no recourse if it's wrong or inaccurate. You are not necessarily getting hard information, your getting our opinion. For professional guidance, seek a professional who makes a strong living in his field.

 

I have heard 10 to 15%.

 

You mean on top of E-Bay and S&H fees, right?

 

Yes.

 

I've been selling coins (and a few antiques) for friends, family, and co-workers for about a year now. About $10K in total sales. I charge 10-15% of what they would take-home (after all Ebay,Paypal, shipping fees are subtracted). This ensures that I keep costs low for them. Yes, it hurts my take-home, but I consider this just 'fun-money' to help fund my coin collecting 'problem'. I am hoping the IRS does not catch me. To be safe though, I am keeping detailed records to the penny just in case I get hit (receipts, copies of checks paid to owners, receipts of my own purchases). I'm $450 in the hole so far, so my new 'business' is not doing too well. Any friendly advice?

 

I don't understand how you can be $450 in the red if the clients are supplying the coins, paying the ebay and PayPal fees as well as shipping expenses and you are receiving 10% of their net. How could that possibly happen?

 

Good question. I've been buying coins myself to resell (or for my own collection).

 

My request for friendly advice was more targeted at how to avoid a tax-hit. Other than the obvious. thanks.

 

One thing to keep in mind when you're listing coins for other people is where the ownership and liability lines are.

When they hand you a coin to sell, is it still theirs until you sell it?

When you sell a coin and the buyer claims it's significantly not as advertised, who takes the blame? You for possibly not listing it accurately, or your friend?

When you ship a coin and the buyer states it never arrived, who takes the hit?

With any luck, you'll never have to deal with these issues, but they do happen...