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<p>[QUOTE="brassnautilus, post: 2353191, member: 74300"]To be honest 50% of retail value sounded insane for buying lots. </p><p>Sometimes I go to model and gun shows, buy people's entire table then list and sell them one by one online, I almost never pay more than 25% of what I think the retail value would be. </p><p>There are overheads, platform charges, paypal fees, labor paid to maintain my warehouse and online stores, let's say that all come to 25% of sales value, that leaves me 50% as margin, but only if all the items would be sold 100% retail - not likely. So I need to discount to get rid of stock (because otherwise they just lock down my cash and not generate income). </p><p>In order to really benefit from this ordeal, I need to drop my profit margin to 20-25%. You see, if a dealer pays you 50% retail, then he would make nothing out of it, why should he do that for you?[/QUOTE]</p><p><br /></p>
[QUOTE="brassnautilus, post: 2353191, member: 74300"]To be honest 50% of retail value sounded insane for buying lots. Sometimes I go to model and gun shows, buy people's entire table then list and sell them one by one online, I almost never pay more than 25% of what I think the retail value would be. There are overheads, platform charges, paypal fees, labor paid to maintain my warehouse and online stores, let's say that all come to 25% of sales value, that leaves me 50% as margin, but only if all the items would be sold 100% retail - not likely. So I need to discount to get rid of stock (because otherwise they just lock down my cash and not generate income). In order to really benefit from this ordeal, I need to drop my profit margin to 20-25%. You see, if a dealer pays you 50% retail, then he would make nothing out of it, why should he do that for you?[/QUOTE]
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