Members chiefjason Posted June 15, 2015 Members Report Posted June 15, 2015 Since we have expanded into money talk, here is my .02. Stay as debt free as possible. I have the luxury of this not being my main income. But it started with a set amount we could afford to loose. It was a pass fail endeavor. It took me most of a year to truly "pay myself back." Mainly because all extra money went into materials, tools, etc. FWIW, I keep a cushion in my business account. I have a set amount I will not go under unless it's VERY important. I try to anticipate regular purchases so that my normal consumable orders do not get me near that amount either. Another perk to staying debt free is the "walk away" factor. I could get a bunch of stuff on credit to make my work easier. But I'm working for someone else then, and if the bottom falls out the debt remains. As it stands, I could throw my hands up, walk away, liquidate what I can, throw away what I can't, and I've made money and don't owe any of it to a debtor. Makes the lean times less stressful too. Quote
Contributing Member JLSleather Posted June 15, 2015 Contributing Member Report Posted June 15, 2015 Yeah, that 'cushion in the bank' is what I was talking about. I didn't mean a return like ONE holster - where you're talking about lunch money. I mean what about that order that causes you to order materials you wouldn't have otherwise... Quote "Observation is 9/10 of the law." IF what you do is something that ANYBODY can do, then don't be surprised when ANYBODY does.
BruceGibson Posted June 17, 2015 Report Posted June 17, 2015 Yeah, that 'cushion in the bank' is what I was talking about. I didn't mean a return like ONE holster - where you're talking about lunch money. I mean what about that order that causes you to order materials you wouldn't have otherwise... I rarely do that anymore--order something for one holster. A good example would be a call I got a few years ago from a TV Judge up in New York. He wanted a holster for some pistol (I can't recall which) that wasn't a real popular model. However, Ring's had a Blue Gun for it, so I ordered one. The guy never ordered, (he expected it for free) and I've never used the Blue Gun. We live, and learn. Quote "Don't squat with your spurs on." www.GibsonLeather.com
Members chiefjason Posted June 17, 2015 Members Report Posted June 17, 2015 We live, and learn. Yeah, I only order before payment for a handful of regulars. I'll order the blue gun for others, but after payment, and my clock on delivering the holsters starts when I get the blue gun. Been stuck a few times myself but only have one blue gun I might not have paid for with orders. Quote
Contributing Member JLSleather Posted June 17, 2015 Contributing Member Report Posted June 17, 2015 (edited) Naw.. still thinkin' bigger. I'm talkin' about that place that orders 50 holsters, or the first 50 belts, etc., then wants to back out once you've cut leather that you ordered BECAUSE of that request. True, you can charge a restocking fee - but unless you had agreed to such terms ahead of tme, you're pretty much guaranteed to become that @#$@!$@!#!@ who charged me and didn't gimme the goodies... (doesn't have to be accurate to have it said). Edited June 17, 2015 by JLSleather Quote "Observation is 9/10 of the law." IF what you do is something that ANYBODY can do, then don't be surprised when ANYBODY does.
Lobo Posted June 18, 2015 Report Posted June 18, 2015 Doing business on-line via website the past several years, it has been my experience that there will always be orders placed that will not be completed by the customer. People change their minds, they forget, they sell or trade the gun for which the holster was requested, or they find something elsewhere before the order is completed. My records show that this occurs in 4% to 5% of all orders (and this is true for both new customers and repeat customers). Because of this my policy is very simple; nothing is made before the order has been paid for. I will not cut leather before payment has been received. It is not just being stuck with a product that is no longer wanted or needed (just about everything will sell eventually, although frequently at a discounted price). When I spend the time completing an order that time can never be recovered. Every other customer with a pending order waits longer because of those who place orders and do not complete the transactions. At a 4% rate I would end up working 2 weeks every year for nothing while losing potential business from others who cannot or will not wait longer for their orders to be filled. There is a very real and measurable difference in order volume as the waiting time increases. As for purchasing dummy guns to complete orders, I never make those decisions based on a single order. New handgun models are introduced just about every week, and each new piece results in some level of demand for holsters. Some will remain in demand, but many will not. Unless I can see a significant and ongoing demand I will not consider adding another gun. About 5 years ago there was a surge in demand for the Sig P238. No dummies were offered so I ordered the pistol. Used it to fill dozens of orders. Then Sig chose to change the P238 (new slide dimensions) making my pistol useless for the new guns. The pistol sat in my safe for a year without use, and was eventually sold. About 3 years ago Glock announced the new model 42 (subcompact .380). Holster demand was strong so I bought the pistol and filled dozens of orders for a year or so. Then demand dropped off sharply (I don't recall a request for the Glock 42 in over a year). Now Glock has introduced the new Glock 43, and I expect the cycle to repeat itself. Ruger LCP and LC9, S&W Bodyguard .380, Kimber Solo, and a number of others provided similar experiences. Considerable demand for a relatively short period following introduction followed by little or no demand. Frequently by the time Rings or Duncans gets around to producing dummies the demand for holsters has tapered off significantly. One of my regular customers really wanted a holster for his Taurus 85. Rings offers the Blue Gun, but demand is so small I didn't really care to buy it. So I offered to make the holster for him if he purchased the dummy, then kept it for my shop. Basically he got a $65 holster for the price of a $45 dummy gun, and I got the dummy gun for a few bucks worth of materials and a little of my time. Since then I have continued to receive holster orders for it several times per year. I also have a dozen or more dummy guns that have sat around unused for several years. Those have little or no value now. At least with the real guns I have something with significant market value (Sig sells to recognized holster makers at very attractive prices. Glock offers their law enforcement discount to retired cops, so I can save a chunk of money on new Glocks). With the prices of quality firearms generally increasing all the time the real guns can be a good investment while also serving as forming pieces in the shop. A dummy gun can pretty much pay for itself with the first holster order. The actual firearm has a longer pay-back time (6 or 8 holster orders) but usually retains its value or increases in value over time. Quote Lobo Gun Leather serious equipment for serious business, since 1972 www.lobogunleather.com
Members chiefjason Posted June 18, 2015 Members Report Posted June 18, 2015 The actual firearm has a longer pay-back time (6 or 8 holster orders) but usually retains its value or increases in value over time. Except my R51! Well, it did pay for itself. But the resale market is not looking so good. At least mine shoots fine. It's a big chance I've take about 6 times, but all but one paid for itself. And that one resold for what I paid for it to a buddy of mine. Quote
Members deloeracustoms Posted June 20, 2015 Author Members Report Posted June 20, 2015 I've recently expanded into social media... namely facebook. Seems like driving traffic to the website is pretty much going to be a full time job without paid advertising so I thought I'd try that route too. This is not something I'm doing for my main income— just an expensive hobby so I'm not willing to spend very much, if anything, on advertising. I figure I can do pretty well by sticking with 1911s and Glocks for a while. There's a lot of opportunity to build a solid reputation with those platforms since they are so popular... even sold a pair to some guy in Italy yesterday. I reckon now you could say I'm one of them there international operations Quote www.deloeracustoms.com www.facebook.com/deloeracustoms
Members deloeracustoms Posted June 20, 2015 Author Members Report Posted June 20, 2015 Speaking of which... mucho appreciado to anybody that can click on the FB link in my signature and like that page... Quote www.deloeracustoms.com www.facebook.com/deloeracustoms
BruceGibson Posted June 20, 2015 Report Posted June 20, 2015 Speaking of which... mucho appreciado to anybody that can click on the FB link in my signature and like that page... Done! Times two. Quote "Don't squat with your spurs on." www.GibsonLeather.com
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