Antiques business

Researching a product is expensive, but necessary when starting a new antique business. Established dealers must also research new products they intend to add to the antiques they carry.

A product is of no use to a dealer if that item is in short supply or pricey. Enough of the product must be on the market to allow a dealer to replace sold items. In addition, the average cost of the product must be low enough to allow a dealer to make a profit after all expenses.

Six years ago, I decided to add pewter to the line of antiques I carry. I purchased nine books on the subject; two books were very expensive and had to be ordered from Europe. I took a trip to England to visit the Victoria and Albert Museum that has one of the best collections of pewter in the world. I bought a museum catalog of this collection. While in London, I visited two advanced pewter dealers. I also visited several shows and many antique shops that sold pewter.

Here in the United States, I visited several dealers who advertise extensively in trade papers. I budgeted $10,000 to buy my start-up stock of pewter. I did not expect to make money selling my start-up stock of pewter. I hoped to break even. Most people do not make money on their start up stock. What they gain is experience handling the product. A dealer must learn first hand what sells and which items never to buy again.

I spent two years researching pewter, including selling my start-up stock. I discovered that there is not enough desirable pewter on the antique marketplace today to support a new business in pewter. Established dealers probably do well. However, not one of the pewter dealers with whom I spoke would reveal his or her cash flow ratio. In my opinion, all desirable pewter is overpriced. Even the junk pewter is overpriced.