Truckload o' tools

Ed Norman · #21 04/20/07, 07:44 PM

I live 160 miles from a Harbor Freight store. When I need some things from them, I order online and they ship for $8.

I've been to Homier sales. They are alright for things like big wrench sets or rolls of wrenches for each vehicle, but the angle grinder actually burned out before I plugged it in.

I guess what I'm trying to say is, I don't have any advice for you. Good luck.

e.alleg · #22 04/20/07, 08:16 PM

Everyone I know buys tools online because they are cheaper. It is the miracle of "drop shipping". Here is a basic over-simplified overview with no mention of problems: I set up a web site selling tools (like harbor freight, Ed's wholesale tools, younameit), you buy from me, I collect the money, my computer sends an order to a shipping company "joes warehouse" (the drop shipper) ships you your tool and slaps my sticker on their box, they bill me at the end of the month. Even though I just sold you $500 worth of tools, I haven't touched a single tool nor did I have to buy any inventory and all I have to do is send "joes warehouse" $150 at the end of the month.

If the cash is really burning a hole in your pocket, Investing 20 grand in the stock market in a sensible investment portfolio is better. Better still is to buy a nice clean rust free 68-70 bigblock Chevelle or Camaro, keep it insured and in pristine condition and it will go up about 8% per year on average AND you have the enjoyment of owning it. Ditto for collectable guns and rare coins or gold, you can't really go wrong with any solid proven investments. Dumping $20k on a load of questionable quality tools isn't the best idea if you ask me unless you really like selling at swap meets and flea markets. If the latter applies to you then have fun and good luck, I am sure you will make something.

KCM · #23 04/21/07, 06:55 AM

Quote:

Originally Posted by gregbaka

Hi Tinknal,

I'm new here, but thought I would jump in anyways...

Remember the hidden costs of your business idea. Such as:
Storage or Warehousing
Shipping, hauling, loading/unloading
Business license, permits, accounting fees
Self-employment tax of 15%
Damaged, un-sellable, or Return items
Auction or Vendor fees

I have recent experience from my own online business of selling digging tools for gardening and construction at EasyDigging.com

All those little hidden costs can really nickle-and-dime you to death.

Hope this helps,

Greg in MO

Other hidden costs include:
Theft
Insurance

tinknal · #24 04/21/07, 11:49 AM

Quote:

Originally Posted by Ed Norman

but the angle grinder actually burned out before I plugged it in.
.

Yeah, we have one of those grinders at work. All we use it for is grinding ink marks off of imported cheeses and even with that light duty it sounds like a can of marbles when you run the thing.

Beeman · #25 04/21/07, 06:19 PM

I don't know, this sounds like a good way to end up with a garage full of junk you can't get rid of. I've sold good quality high end tools in the past. Tools sell good but junk doesn't and it's hard to get your money back. If I was looking to spend time at flea markets I would try a different approach depending on how much time you have to invest. I would buy pocket knives and flashlights from a wholesale supply and try that with a minimal investment. Then possibly expand from there. The time factor and the transportation are all expenses that need to be considered.

tinknal · #26 04/21/07, 08:30 PM

Quote:

Originally Posted by Beeman

I don't know, this sounds like a good way to end up with a garage full of junk you can't get rid of. I've sold good quality high end tools in the past. Tools sell good but junk doesn't and it's hard to get your money back. If I was looking to spend time at flea markets I would try a different approach depending on how much time you have to invest. I would buy pocket knives and flashlights from a wholesale supply and try that with a minimal investment. Then possibly expand from there. The time factor and the transportation are all expenses that need to be considered.

You know Beeman, that aint a bad idea. I have one of them little "CSI" LED flashlights and I absolutly love the thing. I carry it with me everywhere. The good ol' boys will always buy a pocket knife.

Beeman · #27 04/22/07, 01:56 PM

There's even large lot deals on a home shopping network on my cable TV for pocket knives that would more then double your money. I sold high end tools and knives and flashlights were always very good sellers. Best part is they lost them quickly and bought more, also good for holiday seasons.
The other thing to look at is consumables for lawn maintenance and such like weedeater string and lawnmower blades,filters and spark plugs.

saramark · #28 04/22/07, 02:58 PM

Sounds like you have the advice and numbers you asked for. All I can say is, step back and look without emotion at the issue. I know I didn't buy a new truck just because I looked at it numerically, logically, and the only reason I wanted a truck is because I wanted one, no need, just basic envy and greed.

I am one that loves a good business deal and I have tried some and walked away from others and from it all have seen that the ones that make sense and are proven track records are the only way to go.

mark