How to become a luxury watch dealer?
This article will help you understand how to become a luxury watch dealer. I’ve been selling and buying expensive watches since the year 2008. In addition to making money from luxury watches because I am an avid collector and collector, I’ve also been able to love wearing expensive watches. Enjoying your investments while enjoying them can be one of many primary reasons I want investing in real property.
Watches are a man’s most trusted friend, just like diamonds and jewelry are woman’s most trusted companion. There’s nothing like wearing a prestigious watch for an important occasion. A quality watch boosts instant confidence for any man who wears it.
When you’re wearing a prestigious watch, you’ll also be able to spot men with high-end watches. You establish a strong connection to the person you are with, which will help you build friendships and business connections.
I recently attended a financial loan conference held in SF, and I was sporting my 2009 Rolex Milgauss GV. I was in a booth with one of the reps when the CEO walked up to me and asked, “Hey! Are we watching brothers?”
He pulled out his wrist and pointed out the exact watch that I had on. Very amazing. We chatted about watches and our lives; they’re now my business partners.
Related topic: How to make your own watch brand in 2022?
Selling My First Luxury Watch
While I was a bit stupid spending the extra $6,400 after tax for my Rolex Milgauss GV it turned out to be an excellent investment.
Milgauss GV The GV is a rare watch because Rolex was out of green crystal. This meant that the watch cost more on the second-hand market.
A friend from Hong Kong wanted it, and when he flew over in San Francisco for meetings and meetings, he gave me an $8,400 check. I contacted Ann my jeweler, to inquire whether she had another Milgauss available in the shop, and she replied there was none. The wait list for one was 10 people, however she’d hold one for me with no hassle.
I sold my friend the watch for $2,00 after only three weeks of having it. Three weeks later, my jeweler gifted me with the ring in recognition that she had a new Milgauss for me and I purchased another!
The moment that marked the birth of the idea of a watch dealer came into existence! My personal experience may help you Get the answer to your question, how to become a luxury watch dealer?
My Luxury Watch Sales Since
Apart from a suit and tie, cufflinks shoes, a nice suit, and a leather bag, there’s little in the way men can buy accessories. For some watches are the engagement ring’s counterpart. It’s unimportant and yet it tells the time.
I’ve never been concerned about watches, as I was a fan of watches, but found them uncomfortable for my wrist. However, once you make a tiny amount of money, you become more concerned.
Here are a few watches I’ve owned that I exchanged within 3 weeks due to the massive demand on the market. And stick to your question, how to become a luxury watch dealer?
Panerai The Black Seal Ceramic was Purchased for $6,200. It was sold for $8,900.
Two Rolex Stainless Steel Daytonas were purchased for $9,600, then auctioned for $11,600 and $12,200.
Rolex Milgauss Black Face: Purchased for $5900, then was sold for $8,200
Rolex Milgauss GV Green Crystal: The watch was purchased for $6200 and sold for $9,900.
IWC Big Pilot: Purchased for $7,300and sold for $8,700.
Patek Philippe 5396 White Gold Calendar for the Year Calendar The calendar was purchased by the company for $22,000 during 2008’s economic crisis and sold for $39,000 in 2010.
When you purchased it each of these watches couldn’t be seen by the general population. You required a connection to get an item, which is why the post-sale price.
One of my most cherished timepieces and favorite watches was the Patek Philippe 5726A Nautilus Stainless Steel which cost around $42,000 at retail in 2008 however I was able to get it at $36,500.
In 2019 the PP 5726A Nautilus is now available for sale at the retail price of $61,000!
Related topic: How many watches do Rolex make a year?
How To Buy And Sell Luxury Watches For Profit
1. Make money to buy high-end watches
Once you’ve earned money, it’s much easier to earn more. This is the case for almost all asset classes! Not always the most expensive watches yield the highest amount of dollars. More important is the perception of rarity and value in the timepiece.
There are thousands of Rolex Daytonas in stainless steel, as an example, however, due to clever marketing from Rolex and the collaboration of the watch retailers that create demand, they are manipulating the supply. This is similar to what happens in the world of diamonds.
2. Establish connections to purchase high-end watches
Once you have the capital but no capital, you must make connections with the jeweler. My strategy when I first began was to contact the most hungry and newest jeweler at the shop. I advised Ann to contact me when she could obtain the Rolex Milgauss White. I assured her I’d guarantee to purchase from her and that’s precisely what I did after she called.
I proved myself to be an honest buyer, something was appreciated by her since she owns an abundance of flakers. After you’ve developed a trust with the jeweler, it’s an amazing relationship.
3. Concentrate your purchase on only one salesperson
The majority of timepieces you’ll need at least $50,000 of previous purchases at the retailer before you could even get on the waitlist. However, you don’t wish to invest $50,000 in things that anyone can purchase. So, you return to step one and begin to build relationships with the most hungry seller in the shop.
Once you’ve proven your reliability and reliability, you’ll be given increasing numbers of watches until you’re considered reliable enough and can be promoted up the list. You’ll be shocked at how fast you can hit $50,000 worth of purchases when you’re selling and buying watches worth $6,000 to $8,000.
4. Tax savings when you purchase
To reduce state and state taxes, I had all-time pieces shipped to my holiday home in a different state where the jeweler did not have an office. This is why it’s recommended to choose a jeweler who is boutique rather than a giant like Tourneau which is all over the place.
Shipping my watch collection to my second residence is 100% legitimate as I am there at least four times per year. A 10% discount on $6,000 is an amazing value.
5. Be sure not to take too much risk
An important tip regarding your Question, how to become a luxury watch dealer? Based on my financial and risk-adjusted tolerance, I chose watches that cost between $5,000 and $10,000. The watches I chose were generally stainless steal. They’re in the high-demand category since not many people can pay more than $10,000 for an expensive timepiece.
There was a time when I underestimated the demand for a certain watch, as the company started to manufacture more. In the end, prices fell and I was forced to return to my retailer and request store credit since I could not make an income.
Luckily, I let my friend make use of my credit to purchase a watch from my dealer, while I spent the remainder to buy various gifts to someone. It worked out great. Don’t be a regular returning customer since you’ll be relegated in the rankings!
Where To Find Buyers Of Luxury Watches
1) Craigslist. While there are plenty of fraudsters on Craigslist, it is possible to conduct sufficient due diligence to determine whether they’re genuine. Numerous watch buyers sell their watches in the country of their origin. There are many individuals looking to buy watches but don’t possess the contacts or experience to acquire your watches. Craigslist is a massive marketplace with many items for all tastes.
2) eBay. I’ve never sold a watch through eBay since Craigslist and my circle of friends sufficed to meet the demand. But, I always checked on eBay to ensure that my price was affordable. I’m sure you could sell the same way on eBay but I prefer to meet my customers and have the watches confirmed.
3) Friends of friends. If you do not have an immediate group of friends that can afford the price you’re purchasing, I’m certain that If you’re willing to ask around to find someone who knows. We’re all connected in a way. Many of my customers are young men and who could have a midlife crisis. Some are married and looking for something sweet too.
A Patek Philippe Is Cheaper Than a Seiko
Related topic: Are Rolex Watches Cheaper In Switzerland?
How to become a luxury watch dealer For A Profit?
A 42,000 Patek Philippe is less expensive than the $500 Seiko. While Seiko’s value decreases, a Seiko decreases in value while Patek Philippe is not. Patek Philippe almost always increases in value.
It’s like purchasing the F12 Berlinetta Ferrari for $350,000 instead of an estimated 43,000 Ford Explorer. If you can get an F12 in the right time you will likely use it for six months and still earn several thousand dollars of profit. If you’re the first person to purchase an Ford Explorer, you will surely lose money when you attempt to sell it!
To earn profits with watches, increase your bankroll and buy reputation. It might sound absurd to pay $42,000 for an item of jewelry, but that’s not the case when you trade it in for $60,000 years after.
It’s even more absurd not to make use of the connections you have and your capital, when the cost of basic materials has been climbing for years and are likely to continue to rise throughout our life spans.
This Rolex Milgauss GV I bought in 2008 for $6400 after tax currently sells for around $8,800 after tax. Similar to stocks and housing tend to move in the direction of upwards and downwards.
The best luxury watches are wonderful to invest in and enjoy. If you decide to purchase the perfect watch, make sure it’s a high-end luxury item to ensure it will appreciate potential!
Recommendations To Build Wealth
1) Stay On Top Of Your Money. Join Personal Capital, the web’s most popular wealth management tool for free to better grasp your financial situation. Alongside better financial monitoring, check your investments with Their prize-winning Investment Checkup tool to see the exact amount you’re making in charges. I was paying $1700 a year in fees that I didn’t realize the amount I paid.
Once you have linked to all your accounts, you can use the Retirement Calculator for Planning that draws your basic information to provide you with as accurate an estimate on your finances as you can through Monte Carlo simulation algorithms. I’ve used Personal Capital since 2012 and have witnessed my net worth rise over the past few years thanks to better financial management.
2) Explore real estate crowdfunding. If you’re planning to buy properties as an investment or to reinvest the house sales proceeds, consider looking into Fundrise one of the most popular real estate crowdfunding platforms. Fundrise lets you invest in commercial real estate in the middle market across the United States which were previously only accessible to super-high net wealth individuals.
Instead of making a concentrated bet on a single property, you can spread your bets across several properties with just a $1000 investment per. Similar to watch trading it is possible to make a profit in the real estate market over the long run.
I wish, you may find the Answer to your Question, how to become a luxury watch dealer?