Starting a gun shop

[GEM]

Good point about no easily visible price. Also, about the guns on the lowest level of the display. A couple of places, if they had the room had nice vertical displays starting at waist level up or horizontal normal table height trays.

About police, emt, etc. discounts. Many companies run programs for certified members of such. Blue Label Glocks, Sig has a program. So a store would have to know how to compete with those substantial discounts or get into the program. For Glock, most places who do that, also have a trained Glock armorer. 5% off is trivial compared to the programs.

Archery is big around here. Been thinking about it but I have a ruined shoulder, so that's that.

 

[Mauser fan]

TomJ
I can empathize with exactly what you are talking about. Being one of those customers that has walked out of many a business for those reasons and more without purchasing a thing and never returning to more than a few. It never ceases to amaze me that more business owners haven't caught on to that as an issue and how it drives business away.
Unfortunately some of the business's that I have walked out of without purchasing a thing the owners have been the ones spouting off their rhetoric and lost a couple of Benjamin's because of it. So the moral of the story is just don't do it. Fire the employees who do it and refuse business to those customers who often innate the topics of controversial conversation.
I have had to tell more than few strangers and even some family members who I vote for and what my party affiliation is none of their damn business and that usually works.

If I could label the problem. I will call it diarrhea of the mouth.

 

[GEM]

Amen to that. Don't need a business to push politics or religion in my face.

 

[Speedo66]

Big tip: try and cultivate customers like @Mark_Mark, he seems to buy to anything and everything, all across the price scale. lol

 

[12Bravo20]

Big tip: try and cultivate customers like @Mark_Mark, he seems to buy to anything and everything, all across the price scale. lol

Mark_Mark is the Life Cereal Mikey of the gun world

 

[shafter]

People have very short attention spans. If you can't help them within a few minutes they're going to walk out. The problem with that is you also need to be able to speak with your customers and be attentive to what they need so you'll need more staff than just yourself. That costs money.

In an internet age I just don't see how a gun shop can be successful in the long term unless they are really sharp and on their game. Those guys are out there but they're becoming fewer and fewer. So many people including myself would rather pay less and have the item shipped right to my door. Have an issue? Youtube has a better chance of helping me fix it than a store employee.

Best of luck to you.

 

[Sniper66]

If you are not in a hurry to do this, it would be wise to get a job in a gun shop and learn what it is like to be in the business. I've seen a number of them come and go, two in the last 3-4 years. The first went belly-up because the service sucked badly and they had no products. DUH! The second because he counted on the shooting range which didn't go well. "I just can't get people in.", he told me. Also, this city hates gun stores and had no desire to help him succeed and every desire that he fail. So you must know your area. Mine is a very anti-gun community. Starting a gun store here is just suicidal.

 

[silicosys4]

Don't advertise a service, then complain when people utilize it, .i.e. transfers.
Don't get pissy when customers want guns that you don't have in your shop and have to be ordered in.
Don't guess when customers ask you questions about guns. Be honest and say you don't know. "Is this the original finish?" "I don't know"
When a customer points out an obvious screwup done by you or one of your staff which causes them to return a gun they bought from you, don't get pissy about it. Apologize. Offer a refund in full.

 

[PzGren]

Everyone is using this thread as a chance to say their shopping preferences instead of how to manage a store. It’s a funny waste of time.

Of all the 83 posts this is the one that makes most sense. I wonder why people without business management experience or the willingness, or funds to start a business feel so obliged to give advice on something they have really no experience in.

 

[12Bravo20]

I got out of the business years ago because I was tired of working hard with no time for myself. A pawn broker is a little different since I dealt with all kinds of merchandise. The firearms side of the business could be a pain in the neck just like regular gun shops can be. I had to be on the look out for stolen firearms more that a regular gun shop would be.

I agree that a lot of posts are about what customers want instead of information on actually running a business.

 

[SterlingBullet]

…..a lot of posts are about what customers want instead of information on actually running a business….

This is the definition of business. Find a demand for products and services, satisfy that demand. All aspects of operating a business are conducted to provide a platform that meets the needs of customers to make a profit above expenses.

Most of the advice posted shares how to make customers happy, the rest of the answers discuss business fundamentals that balance making profits and expenses.

Some of the advice has been THR members complaints about retailers. But these complaints shows more paths to make money if you can make their pet peeve go away.

THR people need to keep providing advice; just don’t disparage other comments if you don’t agree.

 

[PzGren]

…..a lot of posts are about what customers want instead of information on actually running a business….

This is the definition of business. Find a demand for products and services, satisfy that demand. All aspects of operating a business are conducted to provide a platform that meets the needs of customers to make a profit above expenses.

Most of the advice posted shares how to make customers happy, the balance of the answers discuss business fundamentals that balance making profits and expenses.

Some of the advice has been THR member complaints about retailers. But it shows more ways to make money if you can make their pet peeve go away.

THR people keep providing advice; just don’t disparage other comments if you don’t agree.

For a business to be profitable it takes a little bit more than seeing one side of the coin. I am sure that the OP has been a customer and gun buyer for as long as the average guy on this board. So the posts I make, whether you think that they might disparage people from making their comments should not infringe on my rights on making comments.

In my case that would be as a successful FFL with well over a quarter million investment in my business - which I still consider more of a hobby than a business - and also decades of being a part of the firearms and shooting community.

 

[dartor]

I expect a $400 profit on a 1000 dollar sale.

I've read all four pages of this post and I still can't get my head around this. If you hold firm to this thought you'll never make it. Profit margins are no where near that high on a new gun.

 

[dogtown tom]

I've read all four pages of this post and I still can't get my head around this. If you hold firm to this thought you'll never make it. Profit margins are no where near that high on a new gun.

You read all four pages?
From the OP's first post:

What I don't understand is how to tell some one a $1200 Smith and wesson 29-2 can't be sold to me for $1200, without sounding like I am trying to take advantage of them. I expect a $400 profit on a 1000 dollar sale.

OP is talking about buying a used 29-2, not a new one.
He's hoping to pay $600 for that 29-2, then sell it for $1000.........$600 profit.

 

[tarosean]

Everyone is using this thread as a chance to say their shopping preferences instead of how to manage a store. It’s a funny waste of time.

Those shopping preferences are coming from a repeat customer base so they are somewhat valuable data points. Course we are also the hardest to please as we are looking for specific things.


Good luck OP

 

[dogtown tom]

Those shopping preferences are coming from a repeat customer base so they are somewhat valuable data points....

OP doesn't have an FFL, doesn't have a gun shop and has zero cistomers.........how in the world would anyone in this thread be considered a customer, much less a repeat customer?

Gun forum threads are likely the least valuable data points.

 

[tarosean]

Gun forum threads are likely the least valuable data points.

fair enough as I am only a customer. Does the majority of your transfer business come from repeats or one offs?

 

[CapnMac]

Well, customer service is a critical aspect of any customer-facing business.
It's a very specific skill set.
Sadly, that skill set is imagined to be greater than it actually is.
And in that misapprehension much misery lies, along with spoilt dreams, lost businesses and the like.

An LGS owner does not have to have "people skills" if they have ability to hire those who do have them. Many of the complaints above could have been prevented by that seemingly simple thing.

This is complicated in actual practice. You can't ignore customers, but, you also have to be able to "leave them alone" if that's what they desire. And, you need to be able to judge the range in between those extremes, too. That's far, far easier to write than it is to do. And it shows out there in the real, brick-n-mortar world.

It's also complicated by the fact that the counter person(s) may have spent all the time since the "lunch rush" with nothing to do but wipe off fingerprints and dust the shelves, and might be feeling "over-due" for human conversation. The same thing will also apply to customers, too. They will have spent their day at work, and now, suddenly, they are neck-deep in their "passion," in the company of presumably like-minded folks.

That latter is what used to spawn that clump of "old regulars" camped around the old iron stove, jaw jacking away. Stores no longer have old stove in them so much, so, the "Counter hangers" will clump up by the register, for lack of any other location. A smart person might leave some stools scattered around the store, on both sides of the counter, to help keep such conversations away from the register. Maybe. Perhaps.

It's complicated stuff.

 

[dogtown tom]

fair enough as I am only a customer. Does the majority of your transfer business come from repeats or one offs?

Repeaters.
I would guestimate that one out of every hundred I'll never see again, or at least not for another year. But once they start using me for transfers they just keep coming back.
I think about 10% are here at least once a month and I have at least twenty that are picking up a gun every other week.

Silencer sales sees first time buyers become repeat buyers within a year.

 

[dogtown tom]

That latter is what used to spawn that clump of "old regulars" camped around the old iron stove, jaw jacking away. Stores no longer have old stove in them so much, so, the "Counter hangers" will clump up by the register, for lack of any other location. A smart person might leave some stools scattered around the store, on both sides of the counter, to help keep such conversations away from the register.

Absolutely.
A good salesman should know how to disengage from a conversation with a coworker or the "counter hangers" to attend to the customer that just walked in.
It's not impossible to be social and businesslike, but you have to try.

 

[KY DAN]

Update

July 10th 2023 is my inspection date with the Paducah Kentucky atf field office.

Dream is getting ready to come true.

We have an actual store front that I own out right free and clear, so my monthly over head will be minimal compared to other businesses.

As has been mentioned and questioned my goal is to purchase used firearms and make a 40% profit on them.

 

[243winxb]

my goal is to purchase used firearms and make a 40% profit on them.

Cash for guns works well. People need a few extra dollors to pay bills, at times. But then there is the customer that wants "Blue Book Price". They will be keeping their firearms.

Buying guns that need minor repairs are the biggest money makers. Stock refinishing, cracked stocks. Bag guns. Even glass bedding gone wrong. A $5 ejector spring can make an old Win 1897 work again.
Seen a forearm swivel stud hitting & pushing barrel to left. Customer said no accuracy. Bought the Sako Forester cheap. Fixed in 10 minutes. 200% profit.

One lady gave me a sob story. I Felt sorry. Paid to much. Gun never worked. Sold as parts.

When a customer wants to sell you a collection of say 5 guns. Make the offer on All 5. Because customer has a buddy that will pay him top dollar for the one Rem 700 rifle. Your buying all or none. Do not itemize each gun. (No Cherry-Pick)

Customer pays for Appraisal of firarms, is not free, for insurance purposes. You buy guns at 20% to 40% below appraised value.




Just beware of the person that already has a gun & wants "your" cash. Keep you gun hidden on your person & another gun some where in the shop. They come at night. Good security is a must.

Good luck.

 

[Beach Bum]

The lawyers and the lawsuits .
The federales
Insurance premiums .......I don't believe the odds are in your favor..

But if I did go for it , I would have a indoor range a nice one , that would be your money maker , and the ability to make your own ammo through automation , at least the main common calibers .
LAX as a business model .
As a gun store owner you not be flying under the radar..........

 

[Basura Blanca]

No offense meant to the OP, but they're asking the wrong questions.
Specialty retail shops rank right below restaurants in terms of likelihood of business failure. Specialty products are at the whim of customers' disposable income and the general health of the economy. Guns are even more specialized as a product because of legal considerations, etc. All of those things would make me leery, but to each their own. And for the record, in my former life I owned a service-based business (not guns) that I had decades of prior experience doing and learning from along the way. And even that was exhausting. Anecdotally, "I knew a guy" who had an already successful machine shop who jumped through the hoops to get an FFL, and was selling guns as a sideline because the other business carried the burden of keeping the lights on. Just my two cents....

 

[GEM]

I'm curious, OP. A new Glock 19 goes for $500. What price will you sell it for to make 40% and what price will you buy it for? It's like the SATs. Johnny wants to make 40% and the train leaves Cleveland at 6:00 PM and ... Or maybe Calculus 101 if you want to come up with a function.