Become a knife dealer?

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JTR357

JTR357

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I'm dabbling with the idea.I have some money saved up specifically for a business venture.
I'm mainly interested in dealing with custom & high end production/mid-tech knives.

I like dealing with knives & the people who buy them.I think I'd be pretty good at it.

How hard is it to get started?

How much do I need to get started(ballpark 10,20,30K,more?)?

Do I need a brick & mortar store?


Thanks in advance for your helpful feedback
 
All I know is that some manufactureres, Benchmade for example, requires you to have a brick and mortar store.

Good luck with your project! hope it works out for you.
 
Last time I checked, Microtech requires an initial investment in $10K worth of product. That figure is over a year old and has likely went up.
 
If I'm not mistaken, Spyderco also wants a B&M storefront. Most of the manufacturers will have a section on their home pages that tells how to become a dealer.

If you're going the B&M route, you might try to see about partnering with an existing storefront (renting space) to avoid the cost of paying for a lease by yourself. A locally owned hardware, gun, or outdoor activity store might be a good place to start. If the business gets to the point where it needs more space, you can probably afford your own lease by then.
 
Ok.I guess it's safe to say,I'd need at least 50K worth of product.

[edit] Thanks Dale,That's a good idea about partnering up:thumbup:
 
Alot of manufacturer websites have a "Become a dealer" category, where all the requirements and incentives are stated.

Taken from Benchmade's site: http://www.benchmade.com/dealers/benefits.asp

Interested in becoming a Benchmade Dealer to purchase knives from us for consumer resale? The requirements and incentives are listed below-
REQUIREMENTS:

1. A "brick & mortar" retail storefront open to the public at least 8 hours per day, 5 days per week
2. An opening order consisting of at least 12 different SKU's (Stock Keeping Units)
3. Credit application and Federal Tax ID number
4. The ability to market the differences between Benchmade product and the competition

INCENTIVES:

1. Use of copyrighted logos and images for promotion (Images are available from Benchmade as well)
2. Listed on the Authorized Dealer Locator
3. Auto-ship programs for select new products
4. More...

If you qualify based on the above requirements, please contact us by using the contact form or toll free 1-800-800-7427.

International Dealer List >>
 
Did the big time knife dealers like TNK & Plaza start out selling custom knives,or did they start smaller?
 
JTR357 said:
Did the big time knife dealers like TNK & Plaza start out selling custom knives,or did they start smaller?
Click to expand...

I don't know how they started, but you'll have to start based on who you are marketing to/at. Custom knives sell best online, only because you can reach a wider market. One thing you really have going for you is that you're a stand-up guy... very sincere. Your internet presence conveys that.

I was never any good at selling things that people don't need on a daily basis (take that however you will).
 
Charlie Mike said:
I don't know how they started, but you'll have to start based on who you are marketing to/at. Custom knives sell best online, only because you can reach a wider market. One thing you really have going for you is that you're a stand-up guy... very sincere. Your internet presence conveys that.

I was never any good at selling things that people don't need on a daily basis (take that however you will).
Click to expand...

Thanks CM.I appreciate that.:)
 
There are already many online knife dealers, and considering the still harsh economic climate that makes people buy less luxury goods, that I wonder if this is the most wise business venture these days. Sure, I understand it's your passion, but you want to prosper in a commercial activity.
 
It sounds like you know where to start, but one thing I think you should really think about is the fact that your hobby will become WORK. I have seen this before in many hobby shops, flyfishing, mtbiking, etc. When you do what you love full time, it may not be appealing anymore. I know some owners of shops that dont even participate in whatever it is they are selling because of it being work. I work for my inlaws in their business and at least for me, being a business owner ( I dont own, but manage it) isnt very fun. Mainly, the problems feel like they never leave cause the crap flows uphill. I think it works great for some personalities, and it is ruinous for others. You definitely need to be able to wear many different hats. I dont mean to be discouraging, but I think that anyone that is starting their own business should be forewarned- not much glamour- lots of headaches. The problems go home with you. With that being said, I hope it works out for you.
 
The first thing you can do is check if your state issues "show & entertainment" resale certificates. These are usually the type of certificates for selling at flea markets and shows.

It will allow you to buy wholesale and is usually the only requirement from many wholesale distributors in the US.

You can also sell on Ebay or your own website ( or here as a dealer).

This would be the lowest cost for initial investment and allow you to "pace yourself" , but the distributor pricing is not always the best when compared to going directly to the manufacturer.

Some manufacturers will also sell to you directly without credit terms ( you pay up front) and as you already know, some will not unless you have a shop.

Lets face it , who doesn't dream of working for yourself and making money doing what you love. I've done some rough analysis in terms of making money on a full time basis and IMO it is doable and you don't need a store , but you have to work hard. Part time is more realistic and can be fun.
 
jlamb said:
but one thing I think you should really think about is the fact that your hobby will become WORK.
Click to expand...

I love what I do and it's my life and can't think of anything else I would rather be doing. when your happy and own your own business and love what your doing or in this case selling then it's not work at all. are there long hours and some frustrating days every now and then? of course there is. if you really love what your doing it doesn't feel like "work".

I say go for it, if it doesn't work then at least you tried.
 
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