When visiting MajorPawn.com, one could only wonder how they assess the value of the items their customers are looking to pawn or sell. When a customer takes in an item that they would like to put a loan against, there are a variety of things that are taken into consideration when assessing a value for it.
If you’re a pawn shop owner, you’re going to want to read this, but this is also for those that enjoy buying or selling items from pawn shops, so that you will have an understanding of how pawn shops come up with their numbers …
Finding the Value
The most obvious things are the current value of the item, the supply and demand, the future demand, and in return the ability to resell the item. Other very important factors to keep in mind are the current condition of the item, is it scratched or cracked.
Is it broken and in need of repairs, and how much will it cost to repair? At the speed of which electronics become outdated, are you going to even be able to resell it, and what is the estimated value of its future demand considering the customer does not come back to reclaim it?
With jewelry and precious stones there lies the factors of not only its purity and clarity, but also the never ending change of the precious metal and precious gemstone market.
When running a pawn shop, one must also consider the obvious overhead expenses of the business as well such as rent, utilities, payroll, storage, maintenance, insurance, and security.
If you end up taking in a stolen item that is later reclaimed by the authorities or the original owner of the item, then you not only take a complete loss for the money you paid for the item but depending on how you acquired the item, you may be issued fines as well, which comes with lawyer fees and wasted time.
Research is Done
In determining the value of goods brought into your pawn shop, you must you access your knowledge and resources base. These resources include price guides, collect-able articles or books, Ebay, Amazon, or any other Internet info you can find. For precious metals, there are great apps that you can download that will give you the “real time” market values.
As for more complex, expensive, or rare items, you may want to call in a professional. Constant personal education and contact numbers of professional connections is highly recommended and will come in handy.
You can bet that any item of value has or will be replicated, and you will come across this repeatedly throughout your pawn career. In a business that has a shady reputation, you are likely to attract shady characters such as con men. Trying to buy high priced items based off of an educated guess can put you out of business fast.
As you see, pawn shops aren’t just pulling numbers out of their head – they take time to research in order to make sure everyone gets a good number.
If you want to sell your pawn items at a pawn shop. Majorpawn is the best option for you, we are giving some offers and simply buy your items and give a money. Visit our website for more details and contact to us.