16 yr old kid opens "SNEAKER PAWN" shop

[HEATHEN]

smh... the dude obviously isn't buying the shoes for more than he knows he can sell them for?


Like any pawn shop; He's buying them from the customer 1 (who desires quick-cash) so he can sell them to customer 2 for market price (or slightly lower...but still higher than bought by customer 1).


The market is there; If I could sell some of my shoes hassle-free they'd be gone right now. But instead they are in the basement of my old place because I don't want to bother direct messaging flakey NT'ers from across the border or country to coordinate a shakey deal. Let alone the wait for that paypal to clear n transfer into the account.


I'm not saying he's going to make a killing off this; but if he plays it right he could very well succeed and live comfortably. He's 16 and owns his own business... half of you are 22 and saving up your parents weekly allowance to buy yeezys and line-up for the next big jordan release selling for 3 bills.

basically.


props to the young man, I wouldn't expect general to understand. lot of ya'll throwing shade at anything sneaker related get me thinking ya'll just salty about folks who have these things in their lives.


ya'll steady praying for that bubble to pop.

 

[HEATHEN]

Its clear a lot of you don't know how pawn shops work

this too.


general be haaaaaaaaaaaatin'.

 

[hebgbz]

 

 

Bruh would have been better opening a Rent-A-Swag

 

Spoiler: Warning: Spoiler!

On second thought...that might be an alright Idea.... 

 ​

Everybody tryna perpetrate nowadays it would be a sound investment ****** would come in for the one night club/party fits, hell ****** might come in just to flex for Instagram. I'd make the fitting room floors and walls all bright orange so people would know you are flexing. You'd have to buy the fit and take it home to flex.​

 ​

I'm opening up one in my neck of the woods I don't know about y'all.​

 ​

Thanks NT. 

 ​

Im thinking charge them $x per day per item and make them drop a deposit for the outfit (120% of the total cost) which they get back if it gets returned undamaged. I'm also gonna have Rent-a-fit battle Fridays where dudes come in and try to outswag each other and the winner gets to rent 1 fat lace for free 

 

[rocman23]

If this last past 6 months I'll be surprised. Rent there has to be astronomical, that area is some prime real estate in Harlem. They're building a whole foods right up the black and pushing black folks out. Yuppies won't pay for these kicks and the cost to store them is much more than the profit they'll. If the kid wanted to do this, he should have done it from his crib

 

[hennessy]

I don't see it ever bursting. People need to wear shoes every day. Most kids choose sneakers for comfort because they are active/play sports. Kids want to wear what their favorite atheletes are wearing. Those atheletes are endorsed by Nike and other companies with marketing aimed at the youth.

It's not like these are beanie babies or pokemon cards that were just useless fads and things to collect. Sneakers are meant to be worn, and are useful, so for that reason the hype/popularity with sneakers will never burst or die or whatever.

The collecting/hoarding/reselling is getting out of control though.

 

[henz0]

Unfortunately, its only going to keep getting bigger

I do hope no one violates the kids store tho

 

[young street86]

I think many of you are looking at this from a micro level. Look at this big picture as @OctobersVeryOwn eluded to. Even if he doesn't become a millionaire off of this idea the seed has already been planted in his head that he can do this entrepreneurship thing. He makes a little money, starts a couple more businesses, hopefully not in the sneaker world, and a few sound investments and dude is good. This should be a stepping stone. Good for him.

Also, I doubt the sneaker bubble will "burst" because it's not a significant financial drain on those in the market. Many other bubbles require players to use leverage (Housing, Stock, even college loans to a certain extent) with shoes you just save you a little money and boom you're in. Plus with social media, the hype is always crazy. I will say that I would've thought the PC (Post Concord) hype would've died by now but its still strong as ever....Just my $.02

 

[treystylezpopz]

I've already seen a decline. Its gonna fizzle in 2015, 2016 it'll be finished.

 

[blastercombo]

This isn't a pawn shop where they take in any and everything, he takes in SHOES. All your pawn shop knowledge is out the window. His clientele is limited. His product is limited. His profit margin per shoe is low.


What he's selling is being bought at retail and sold hopefully for higher. People who can wait a couple days could make more money putting them on eBay or CL. He doesn't have the notoriety of FC or any of those places who have that market cornered.


This is the underpants gnome business plan to the T

 

[jamie dimon]

Good for dude but i dont see how this will generate enough cash flow to cover the expenses + make a profit. 

 

[Coromanti]

 
Good for dude but i dont see how this will generate enough cash flow to cover the expenses + make a profit. 

High interest rates/low repayment time seem the only solution

 

[360waves]

sounds like game stop, buy my brand new FIFA 14 for 30 and sell it for 60? i could be completely wrong as to how these pawn shops work.

 

[rupertpupkin]

Say you have an item worth $100 bucks.

You pawn it for $60 bucks.

They will tax you a certain percent for storage.

Say he had 30 days to repay the $60 + fees (which is all profit) let's say $10, and he doesn't.

The shop then has ownership of the shoe and can sell it at market price or higher.

Or.....

You can flat out sell your **** to them for waaaaay less then it's worth.

Sound ridiculously stupid right

The amount of people in need of quick cash.

My friends aunt pawned her whole house once

um, i don't think YOU know how a pawn shop works, hah.and no one's "pawning" a house.

 

[SC kid]

Pawn stars got people fooled.

It aint like dat lol.

 

[jayfiend]

Man this thread is a great example of how people think these days.

Negativity is the new it thing. And what's even funnier is that some if you sound dumber than you think he is because you have no idea how a pawn shop works.

 

[toledo77]

I think eventually his pawn sneaker store will turn into a sneaker cosignment store.

 

[Bert.]

This sneaker thing is getting out of hand.

everyone keeps saying that year over year and it just keeps getting bigger.

sad but true

i wish it was like back in the day, shoes sat, no ridiculous prices.

too bad it will never go back to that

 

[kingkoopa]

um, i don't think YOU know how a pawn shop works, hah.and no one's "pawning" a house.

You know nothing about nothing Rupert lol, so please don't call me out.

You can put up your house or car title up for a loan at pawns and check cashing spots around here. FACT!

 

[011781]

this is why I'm not convinced this business model works with sneakers....

Pawn Shops make money because they play on the DESPERATION of people needing quick cash.... they buy low and sell high...

unlike goods you typically find in a pawn shop, sneakers worth anything can be sold in a heartbeat for the right price...

so dude is basically just going to be giving out a bunch of hood loans..... b/c I see 99% of his clientele being people that just want loans.... no one is gonna let him rip them off because they have PLENTY of options if they want to sell their shoes

****** gonna come in there, get $200 for some kicks..... wait out the loan period, then buy their **** back.....

after ALL THAT, son made $20 after fronting some ***** cash for a month..... **** don't make no sense to me

I'm all for ambition, but not all ideas are good ones....

 

 

[011781]

You know nothing about nothing Rupert lol, so please don't call me out.

You can put up your house or car title up for a loan at pawns and check cashing spots around here. FACT!

houses get put up for bail money every day B .... lol

 

[daruma]

What I got from the article:

You're broke, rent's due, you need quick money, pawn your Yeezys for $200.

You have 30 days to pay for that $200 + $40 (pawn fee)

Someone comes in within 30 days and offers $2000 for your yeezys, you can keep 80% of the sell price ($1600) + store gets 20% ($400) (RIF/FC)

Either you find a way to pay $240, take the $1600, or take an L (can't pay the $200 after 30 days)

 

[nawghtyhare]

Bruh would have been better opening a Rent-A-Swag

 

Spoiler: Warning: Spoiler!

On second thought...that might be an alright Idea.... 

once a foot goes in the sneaker instantly depreciates in value

 

[blastercombo]

once THE NEW COOL SHOE DROPS the sneaker instantly depreciates in value

Fixed

 

[011781]

What I got from the article:

You're broke, rent's due, you need quick money, pawn your Yeezys for $200.

You have 30 days to pay for that $200 + $40 (pawn fee)

Someone comes in within 30 days and offers $2000 for your yeezys, you can keep 80% of the sell price ($1600) + store gets 20% ($400) (RIF/FC)

don't think that's accurate ...

the article left out the most important details --- like how long do you have before dude can sell your ****

but i did read the seller has the option to refuse offers, but again, not sure how long he's obligated to hold your stuff for buy-back

 

[PRIME]

This sneaker thing is getting out of hand.

everyone keeps saying that year over year and it just keeps getting bigger.

Thank goodness I'm not really into that **** anymore.

Let these kids go dumb over this stuff.