I don't have time to do 50 shows a year or money to buy a huge inventory and rent a shop, but it'd be nice to make a few bucks on the side off my hobby. Those of you who consider yourselves dealers: how did you get started? What advice would you give (besides the usual "buy low, sell high," and "learn everything you can about the market and the coins you sell")?
@Paul M. One thing I could mention is that a Coin Shop dealer should have the right attitude towards their customers. There is a Coin Shop located in NYC that I only visit about once a year. The first time I went in about 6 years ago they treated me very bad! I walked out with all of my money and not 1 coin from the undesirable shop. And the only reason I go once a year is to see if they would ever decide to treat me better. Has never happened yet.
Like many successful businesses, customer service is imperative. you can a tremendous inventory and fair prices, but if you are not friendly and accommodating people will back away. This hobby for me is for enjoyment, and during my leisure time I do not want to be around undesirables.
It seems like there are 3 types of coin shop owners. First, the 'We Buy Gold' peoples who generally don't have any numismatic background. Then you have the people who don't really need the money. They generally own the store because they love coins and use it as an excuse to expand their collection. They see a customer as an inconvenience who is taking away time from their numismatic pursuits. Finally, the great rarity, the coin shop owner who both loves coins and loves customers. They know what they are talking about and they will spend the time to help a genuinely curious individual learn more. (I've never been to NYC, but I'm pretty sure I know which coin shop you are talking about from reading the online reviews)
Hedging lol. And then you pay a fee when you buy AND when you sell. The person wants to BE the dealer, not PAY the dealer : (. Hedge by not selling any silver or gold below what you buy it for. Simple as that. No fees involved, you may need to hold onto inventory for awhile sometimes, but the gold/silver you take in while the price is low will cost avg your whole inventory down. Don't buy ins either, or if you must, I have a bridge I can sell you for real cheap.
I didn't have a healthy bankroll or a shop or anything. I loved coins and swore I would never sell a single one until one day..... I was showing off some gold I had bought with money I had saved by recycling aluminum cans. I was bartending for $3.00/hour at my parents restaurant and a a guy at the bar kept insisting that I sell him my gold coins. I politely refused---a dozen times and finally I said yes and doubled the price I paid for them hoping he'd go away. To my surprise, he whipped out a wad of hundreds and walked off with my coins. I went back to the same coin show where I bought them the very next day and replaced them. A bell went off in my head! It was a very slow process of learning as I went. I lost my job one winter and for Christmas money, I bought 100 1992 American silver Eagles and went from business to business, almost door-to-door selling them in snap lock holders for $7.95 each. I made $2 each and sold almost 2000 of them. My first coin show occurred when my coin club lost a dealer and asked if I would take the table to save the club money and make the show look full. I made some money but I made some serious mistakes that cost me money over the years. I was told buy Brian Greer that "If you aren't making mistake then you aren't buying enough coins". Good advise, that. I think the biggest thing is to look at as many coins as you can and get really good at collecting. Know your coins. join a club. Go to auctions and sign up for some dealer platform to learn the market. This way you will know the current market value of coins rather than just an outdate book or pricelist. What ever you do, God bless and good luck.
