Buying and Selling

The fact that you are reading this web site means that you have an interest in the subject and I am sure that many will have witnessed the senior generation at antique fairs and centres reminiscing about items that they have owned or still have and their relative prices.

I have compiled this piece with the hope that it will demonstrate some of the advantages and pitfalls of the various opportunities for buying and selling antique and collectable items.

Buying

Car Boot and Jumble Sales: Everybody hopes and dreams that they will buy that rare and valuable piece for 50 pence that nobody has realised its true worth. The reality is that this is probably as unlikely as winning a major prize in the National Lottery.

Many people now have a basic knowledge of antiques following the rise and popularity of television programmes such as Antiques Roadshow, Flog it, Cash in the Attic and a plethora of others.

Those aficionados of car boot sales apparently arrive extremely early and pounce on the vendors before they can unpack and present their wares. By the time early risers and dealers have had their pick it is unlikely that much of interest and potential will be left for the ordinary members of the public.

It should be remembered that there will be little or no protection against unscrupulous sellers if the item purchased is not as described since the number of fakes and reproductions seems to be growing exponentially.

Antique and Collectable Fairs: These take place regularly in most parts of the country organised by individuals or businesses who hire the venue, pay for advertising, charge sellers for table space and may also sell from their own sources. Some offer free entrance whilst others make a small charge and yet others charge a premium to gain entrance before the "masses" arrive.

The size of these events varies enormously from small village hall affairs to mighty fairs in National Exhibition Centres. They probably represent the starting point for many aspiring dealers who are prepared to tour the circuit, set up their stalls, stand (or sit) all day and then pack up at the end of the day either elated or distraught according to their sales success.

In my experience you need to arrive early, but still unfortunately the best items will probably have been acquired dealer to dealer. What is often left is the least desirable pieces which turn up again and again at subsequent sales in the district. In general the larger the fair, the better the chance of finding the more desirable items.

Many of the vendors are quite knowledgeable and will be able to offer advice. There will be a degree of protection in that these people frequently appear regularly at the same or similar events.

Prices are usually negotiable within reason and will obviously depend on how successful the sale has been for the dealer. Best prices will probably be available towards the end of the trading day, but the opportunities for purchase will be limited by stock availability.

Antiques Centres: These are a relatively recent phenomenon that have been appearing in most parts of the country. The basic premise is that the owner locates a suitable building which is fitted out and partitioned off into various sized units together with a number of showcases or display cabinets.

The dealers exhibiting will rent their area or cabinet and will be responsible for providing and maintaining their own stock. They will normally pay the owner of the centre a commission on all sales, but for that service the owner of the centre will supply skilled and trained sales advisers for the customers. Members of the public are invited to browse and buy after seeking professional advice if needed.

There is a real benefit in this model for all parties providing the dealers regularly visit and update their stock. The owners can provide professional support including operating debit and credit card systems which are often beyond the reach of sole traders.

Customers have the safeguard of being able to return to the centre if problems arise later with the purchase. The owners of the centre do their best to maintain the integrity of the items that are on display and try to ensure that they are accurately described.

Most centres are open for trading either 6 or 7 days a week and some endeavour to provide the full retail experience by having tea rooms and coffee shops available.

Antique Shops: These probably represent the pinnacle of the antique trading world. Some towns in the United Kingdom are renowned as centres for the antique trade. These will pull in large numbers of those interested in buying and selling antiques.

As in most walks of life there will be a huge range on offer from the small outlet in a provincial town to the large well connected shop in capital cities.

Prices may not be the most competitive, but the quality of items is usually as good as it gets. The owners and staff are usually very experienced and knowledgeable on the subject and if they wish to continue trading for some time they will build up a clientele of those who will trust them implicitly to find and sell only the best.

Some specialist shops have experienced difficult trading conditions because of the way antique fashions change and home styles influence what the customer wants.

Live Auctions: These can be exciting places for those who are not feint hearted. There is normally a large sign close to the entrance which reads Caveat Emptor (from the Latin, 'Let the buyer beware').

This warning should not be taken lightly, because once the Auctioneer's hammer falls, a contract has been entered into and the purchaser is responsible for the lot.

It is imperative that before a purchase is made at auction, the lot should be carefully examined and the buyer should satisfy themselves that the item is correctly described. It is perfectly in order to question the Auctioneer before the auction about the description and seek information on, for example, the provenance of the lot.

Auction Houses can be cagey about the description of their lots and will sometimes cover themselves in the catalogue with phrases such as "in the style of...", "from the school of...", "after..."

There is no denying that bargains are achievable if there is no competition for a lot and no reserve price under which the Auctioneer will not sell. However, desirable items are fiercely fought over by dealers and it is easy to get carried away in the atmosphere of the Auction Room and spend more than was intended. My advice would be to fix your limit and stick to it rigidly resisting all temptations from the Auctioneer to make just one more bid.

Fear that you may accidentally scratch your chin and finish up with a lot is largely unfounded. At most respectable auction houses you will need to register in advance if you intend to join in the bidding. You will normally be given a paddle, which is a device with a number on it used to identify yourself to the Auctioneer. Once you have attracted his or her attention, you will normally only need to make a small gesture to continue the bidding process.

A point to remember is that Auction Houses charge a Buyers Premium, normally around 10-15%, of the final price which has to be paid when making payment for a successful bid. It is necessary to find out what the premium will be before the auction because this will determine your maximum price that you are prepared to pay.

You will normally be expected to make payment for your successful lots on the day of the auction and you can then remove them provided payment is cleared. Surcharges are typically made for credit card payment and VAT on the buyers premium is occasionally shown as an extra charge.

Hard to sell and damaged stock, either with or without restoration frequently finishes up in the auction room and there is no come-back if you failed to notice this. The best Auction Houses will indicate items as A/F if they are not perfect, in their opinion.

If you are not able to attend an auction you can normally leave what is known as a commission bid with the Auctioneer who will bid on your behalf and hopefully get you the item at the lowest price within your declared limit whilst eliminating other bidders. It might be better to ask if you can make telephone bids in real-time during the auction.

Internet Auctions: The most popular and talked about is the American owned company called eBay. The growth of this company is phenomenal and it operates in numerous countries around the world.

It is almost incomprehensible to understand that these auctions can attract an audience of hundreds of millions of potential purchasers simultaneously. Whatever you want you will probably find it on eBay.

As with most things on the internet there are both good and bad arguments, both advantages and disadvantages. Much has been written about the scams that have occurred where money has been sent for goods which do not arrive. It is very difficult to complain because eBay claim to be just agents or facilitators for the sales and accept very little responsibility when things go wrong.

There are definitely bargains to be struck and it is very strange that a lot which has been published for 10 days will attract most of the bids in the last few minutes before the auction closes. Therefore items that look to be attracting low prices suddenly rocket through the roof at the last moment. Without a broadband internet connection, it is unlikely that your bid will count unless you declare your maximum price at the outset (this will not be revealed to anybody until the auction has closed).

The main problem with internet auctions is that you will not have had the opportunity to see and touch the item until it is too late. You will be required to pay postage and packing on top of the final price and will be unable to return the lot unless it is not as described. Any questions should be addressed to the vendor before making the bid.

Buyers and purchasers who register with eBay (essential if you intend to join in) acquire a sort of satisfaction and coloured star rating system based on feedback from other sellers and buyers. These comments are available and might provide a sort of feeling for the unknown person who you are trading with. Real names are hidden behind pseudonyms in the whole process.

Selling                                                         

Most of the above sources for buying apply equally to selling your unwanted antiques and collectables.

The real issue in selling is price. Every item is likely to have two associated prices, the first is the valuation for insurance purposes. This price is what you would probably have to pay at a retail outlet for something which has been lost as a result of perhaps theft or fire damage.

Second price is that which a dealer is prepared to offer to purchase your item. This will be considerably less than the price above because the dealer has to be assured a profit on resale whilst meeting operating costs, capital tied up and the general costs of running a business and providing a living.

The problem is that the vendor may feel that they are being "ripped off" when offered a price of perhaps 33-50% of the price that they have seen an identical item offered for retail sale.

In practice, the Dealer will offer a price similar to that which can be obtained by purchasing the same item through the trade if he or she feels that the item will have a ready market. Many reference books and periodicals exist which record prices achieved at various sales and this source provides the Dealer with a guide on likely selling prices and desirability of the item on offer.

The important issue for the vendor is to shop around for the best price attainable and possibly pay a reputable source for and insurance valuation before committing to sell. It is probably a good idea not to buy antiques for their investment potential, but rather because they are a pleasure to own and admire. If they show a profit (more likely in the long term, subject to fashion change) then this should be seen as a bonus rather than an expectation.

Car Boot Sales: Very unlikely to achieve the best price possible and probably best avoided for all, but the lowest value item. Possible advantage is that the owner can fix the price, is free to negotiate, does not pay any commission. Main cost is time and hire of the pitch (probably about £5).

Antique and Collectables Fairs: Dealers are not always willing to purchase at these fairs because they may have insufficient funds with them and they are unlikely to be able to research the item adequately before making an offer. They may not wish to offend the vendor by making what may seem to be a derisory offer, but see above for an explanation.

Antique Centres: The problem here is that the Dealers are unlikely to be present at the Centre when the potential vendor calls. It may be possible to make an appointment, but it should be remembered that the owner of the Centre is probably not in a position to make offers for any item offered. If the Dealer has a web site and e-mail address it may be possible to communicate directly with the vendor to discuss the item(s) for sale. Valuations cannot be executed in this way because it is important to have sight of anything for sale because condition is of paramount importance. Imperfect, damaged or restored items have a greatly reduced value.

Antique Shops: This is probably the best first point of contact since the people operating these outlets are usually the most knowledgeable in the trade. Many have been in business for some time and are members of one of the professional bodies such as BADA (British Antique Dealers' Association) details of which can be found at www.bada.org   It is still probably a good idea to visit more than one antique shop for comparison purposes.

Live Auctions: This route is unlikely to achieve the highest price available because these are one of the main sources used  by the Antique Dealers. In addition there will be a commission payable to the Auctioneers and even possibly a lotting fee. Their terms and conditions need to be studied carefully with reference to reserve prices and unsold lots. It is very unlikely that payment for sold lots will be made immediately and some auction house can take up to month to make the payment to the vendor.

Internet Auctions: The first requirement is to have access to the internet. Registration is required by most auction sites before a sale can be contemplated. A good sale presentation will include a fair and honest description and almost certainly a digitally composed photograph of the item. Charges are made for joining the auction and probably a commission charge on the sale. A new vendor will have a low star rating (see above, under buying) and this may put people off bidding. At the close of the auction the identification of the highest bidder will be revealed and the next stage is to collect payment. There is an online payment system called PayPal available, but again there is a commission payable to use this service and pre-registration is required. The cost of postage and packaging should normally be shown in the advertisement and certainly charged as an extra. It is important to remember that the buyer may not be based in the UK. Unfortunately internet auctions are be-devilled with time-wasters who fail to complete the transaction and hide behind easily obtained pseudonyms.

Commission Sales: These can be arranged when a good relationship has been established between buyer and seller. The principle involved is that a retail selling price is agreed between both parties and then an agreed percentage commission is only payable upon a successful sale. There is a strong element of trust involved in these arrangements and great care is necessary. The seller will probably want some latitude in the selling price because discounts are not uncommon in the antique business. The item remains the property of the vendor who needs to be assured that care will be taken with the antique and proper insurance and security is in place.

Hopefully the above will be of some use and any queries can be arranged by contact with the owners of this site using the link in the side-bar. If you have specific requirements, we may be able to assist you in the acquisition on a commission only basis.