Why not consignment?

Oathkeeper1775 · Oct 6, 2015

What could go wrong?

If a legal gun owner in Oregon wanted to sell 3 old rifles, and he or she was considering a consignment agreement with a reputable/local FFL; for 10% of the selling price or a flat fee of $42.00; whichever is greater?

On the surface; consignment seems much easier than going through the new BGC routine....some FFL'S charge @the same amount for a FTF xfer anyway.

Perhaps loosing control over the final price verses trust in the 10% incentive..

Just wondering...

etrain16 · Oct 6, 2015

I see no problem with it. But you would be transferring the gun to the FFL, and if it doesn't sell, they'd probably charge you to transfer it back. It might be worth it if you didn't really want to deal with the hassle of selling.

Medic! · Oct 6, 2015

And if the place goes out of business your screwed!

It's happened a few time around here.

Hawaiian · Oct 6, 2015

If it is a reputable dealer, I would go with it. 10% is a very low rate for most dealers doing a consignment.
Well worth not having to go through the private sale process myself.

Oathkeeper1775 · Oct 6, 2015

Cool,

they gave me a sample of their consignment agreement.

I scrub it for the topics mentioned.

Thanks

clearconscience · Oct 6, 2015

The only reason I see it being appealing is the new BGC process now. Seems like firearms in classifieds are moving a lot slower.

John Gault · Oct 6, 2015

For sure you get charged a background check before it gets returned to you if you change your mind or it doesn't sell..

Oathkeeper1775 · Oct 6, 2015

John Gault said:
For sure you get charged a background check before it gets returned to you if you change your mind or it doesn't sell..

Thanks John, the consignment agreement states (among other things) if the Consignor terminates the agreement, a $10.00 fee is charged for the NICS background check; just as etrain16 posted....seems to be the only risk.

With that expressed, I cannot see doing this for anything that may be banned in the near future...slingshots, caulking guns, hammers

Just Jim · Oct 6, 2015

Bad thing if you leave it in the store is every customer wants to pick it up, work the action and snap the trigger. Gun can get more wear on it than what the owner had on it. I sell guns through an ffl by having him put them on gun brokers. That way they ain't laying there for someone to screw up.

Oathkeeper1775 · Oct 6, 2015

Just Jim said:
Bad thing if you leave it in the store is every customer wants to pick it up, work the action and snap the trigger. Gun can get more wear on it than what the owner had on it. I sell guns through an ffl by having him put them on gun brokers. That way they ain't laying there for someone to screw up.

Good point, thanks Jim.

Part of the consignment agreement allowes the store to utilize the internet, trade shows, game fairs, etc. to sell the F/A.

These things are tanks; military relics that went through so much more than having a booger-pickin kid rubbing his hands all over them, & dry-firing etc.

Still scrubbing the agreement.

Just Jim · Oct 6, 2015

Parts are getting harder to come by every day, old stuff breaks and it can cost more than its worth to fix it.

mjbskwim · Oct 7, 2015

If you do a smaller shop,that ISN'T gunna go out of business soon, then you can get better control over the gun.We watched pretty close to make sure guns weren't toyed with.Every once in a while some bone head would slap a revolver shut and almost get touched badly.But a small shop will usually watch closer.
10% is half of what I have ever heard for a rate.And if you are reasonable with what you expect out of the gun then you will sell it in a timely manner.
If you want retail on your end,the gun will set for a while

Joe13 · Oct 7, 2015

Post them up here and make the buyer pay the transfer fee (most I've ever paid in WA was $20).

DuneHopper · Oct 7, 2015

Medic! said:
And if the place goes out of business your screwed!
It's happened a few time around here.

It happens more then one would think, there was a pretty new MOA Firearms here that was open 2 years and closed over night taking consignments with them. FLL's have everything for their business usually at the business address. If it closes it can be work to track them, in many cases and as is on this forum noted, they can at times be gone forever.

etrain16 · Oct 7, 2015

I read one story, maybe on this site (can't remember) where someone had a gun go in to an FFL, maybe for a transfer, maybe repair or consignment. And if I recall correctly, the FFL was suspected of disassembling the gun and removing some 'good' parts for other uses and replacing them with poor parts. I wish I could remember where that story came from.

Either way, it would be good to be absolutely certain you know and trust the folks you would leave these guns with. And, maybe even disassemble and photograph the internals, just to be safe.

Oathkeeper1775 · Oct 7, 2015

I went off the deep end today; put three up for sale.

The internet really helps with the consignment agreement; transparency and estimating value.

A bit peculiar, I've been an owner of my own stuff since 1980, and never sold one....

I really appreciate all the help/comments here.

BTW; this shop is a veteran-owned and operated candy-store!

Happy to share the specifics via PM.