“Heck no! I ain’t paying no interest and I ain’t paying no taxes! If they want it, they can try and come get it!”

Unless the above is your motto and you’re able & willing to stand your ground (ex - Wesley Snipes?), it’s more logical to not ignore those real costs of doing business. EBIT is a popular measure in finance circles. It does have value in a narrow context. But not here.

I think gun people can appreciate what a Sig or HK offer but for those that have no clue about guns and are looking to get into shooting, the cost of a higher end gun can put them off. I have many guys I work with that are clueless about gun manufacturers but want to get started into firearms for protection or the fun of it. When asked about what guns cost, some people are shocked about paying $400-500 for a gun,let alone a pistol that costs more than double. There are a few big places in my area where the Sigs,(metal guns), and other higher priced guns sit and collect dust for a long time. Most non-gun people know about Glock, whether they saw it in tv or otherwise, and usually get one of those as they are easy to use and are user friendly,like a revolver. The more complex a firearm gets,many non-gun people I know, do not want them.

Not in my local gun store. Lately all they have is highline stuff. Very few pistols under $650. Most in the $900+ range. I walk in with an RIA pistol and get looked like I just walked in with as brick. A lot of people are like me. Gun must go bang 1st time every time regardless of price. Besides my 20 year old high power. Of the 14 guns I own my 2 sigs are the most expensive and most over rated.

I suspect a larger percentage of gun people have discovered the internet, and if they want an expensive gun, search around for the best price, to keep the cost down as much as possible. The newbies who don't know what they want, go to the LGSs to get a feel for what they want.

quote:

Originally posted by patw:
I think gun people can appreciate what a Sig or HK offer but for those that have no clue about guns and are looking to get into shooting, the cost of a higher end gun can put them off. I have many guys I work with that are clueless about gun manufacturers but want to get started into firearms for protection or the fun of it. When asked about what guns cost, some people are shocked about paying $400-500 for a gun,let alone a pistol that costs more than double. There are a few big places in my area where the Sigs,(metal guns), and other higher priced guns sit and collect dust for a long time. Most non-gun people know about Glock, whether they saw it in tv or otherwise, and usually get one of those as they are easy to use and are user friendly,like a revolver. The more complex a firearm gets,many non-gun people I know, do not want them.

quote:

Originally posted by BBMW:
I suspect a larger percentage of gun people have discovered the internet, and if they want an expensive gun, search around for the best price, to keep the cost down as much as possible. The newbies who don't know what they want, go to the LGSs to get a feel for what they want.

I'm afraid that's what it's come to. I REALLY want to support the small LGS in town, but I just can't get past the prices. Today I felt really sorry for those guys. Black Friday was a bust for them. 6 employees in a small store, and when they opened their door, they only had about 6 customers.

I felt bad. All that inventory, all those employees....

quote:

Originally posted by 12131:

quote:

Originally posted by Lord Vaalic:
My LGS is infested with all these high end Gucci Glocks now. When the new GlockStore opens in a few months in Nashville I wonder if it will bite into that.

Pure speculation on my part, but, these guys who spent tons of money on these Gucci Glocks are the same ones who complain that SIGs are expensive.

They are selling, so someone is buying. They do carry Sigs still also. Their range membership has gone way up, like stupid up. It's almost not possible to come out ahead vs just paying for your individual range trips unless you go literally every week for the whole year.

They are hit and miss on prices, some are good some are stupid, just have to know what your buying.

Unlike another local gun shop... where everything is crazy overpriced to point of hilarity.

quote:

Originally posted by jljones:

quote:

Originally posted by Lord Vaalic:
My LGS is infested with all these high end Gucci Glocks now. When the new GlockStore opens in a few months in Nashville I wonder if it will bite into that.

Perhaps we should institute a group field trip once they open.

Hell yes. My bank account is just waiting for the vigorous withdrawls when they finally open....

quote:

Originally posted by Jeff Yarchin:

quote:

Originally posted by egregore:

quote:

margin and ebit

?

Earnings before interest and taxes?

Yes

quote:

Originally posted by CQB60:
My LGS moves a lot of Taurus. G2C is a huge seller. M856 six round revolvers move pretty quickly too..

You won’t find a new Taurus in the store he is referring to.

OP did forget to mention the new P210 in the case.

A small LGS can't rely on gun sales to make money unless they're selling at high volume. The margins don't seem to be there if they want a competitive advantage over the large mail order places.

What a LGS needs are:

-range but that opens up a whole new set of issues
-gun smith

I also believe a reasonable transfer in/out rate would be a stead way to supplement income. Pawn shops and such typically do a transfer for $20-25 but many LGSs are opposed to them and run the price up to $50+ if it's a firearm they carry. It's like an attempt to force the customer to pay an inflated price locally. Instead the customer will find someone else to transfer to and the shop loses all revenue from that person.

Now I realize a transfer isn't as simple as "gun comes in and shop does 4473 with a 2 minute phone call" and they make $20 in 10 minutes. But why refuse transfers if they can make money off them?

A while back I was in a local small shop. Unfortunately I live in a "budget gun" city with most folks buying the inexpensive Taurus and SCCY type guns. Not that they don't function and aren't good deals but they tend to be some of the primary crime guns here like most highly affordable guns.

The owner told me that Sig wanted them to carry and stock a large amount of Sig models for them top be a stocking Sig dealer. He said it cost him way too much in stocking costs in guns that were slower to move from his gun case.

Another consideration are taxes. In my locale, an inventory must be conducted in Jan, and taxes paid on the value of it. We just sold off a dozen HK VP9's at a few bucks under cost.

Most of our money comes from used guns and the internet.

Transfer fees make up a lot if it. We charge 30 bucks, and waive the fee on a second or third, same transaction, for regular customers.