[meteorite-list] Auction Questions

From: Adam Hupe <raremeteorites_at_meteoritecentral.com>
Date: Mon, 6 Aug 2012 13:56:23 -0700 (PDT)
Message-ID: <1344286583.71272.YahooMailNeo_at_web122003.mail.ne1.yahoo.com>

Dear Greg and List Members,

The reality is:


There may be about a dozen dealers that realize this type
income.? It would be extremely difficult in this economy to manage any
sort of meaningful income like you suggest year after year.? A
$1,000,000.00 meteorite inventory can only be turned over about once every 10
years not counting one or two lucky stones.? On the other hand, a
$1,000,000.00 inventory in computer or car parts can be turned over 36 times or
more in a single year, a much simpler way to generate a decent income, even at
11% gross margin. ??
?
Properly marketing meteorites means that 20% or 20 grams has
to be deposited to make it official, lab fees paid, around 28-32% cutting and
polishing losses, travel, business and taxes expenses have to be incurred. This
represents a greater than 50% lose before a meteorite is even ready to be
marketed plus sometimes years waiting for classifications for those who do not piggyback.? The addition of 40% auction fees can very easily push you into
drawing red ink.
?
The main reason for dealing meteorites has to be the love
for the avocation, not the "big bucks"
?
Kind Regards,

Adam
Received on Mon 06 Aug 2012 04:56:23 PM PDT