The largest costs to an owner when selling at auction, through a dealer, or gallery are the “fees and commissions” that they must pay for their services. Most of these concerns (either directly or indirectly) charge a fee to both the buyer and seller. We do not. Our philosophy is simple: buyers pay a Buyer’s Premium (BP) of up to 25 percent if they purchase at any auction house, or indirectly pay more if they purchase through a consignment gallery or a dealer. Even though the buyer pays it, importantly, this money does not go to you, the owner. In contrast, we charge the only the buyer a reasonable “finder’s fee.” While we do not make as much (on each item sold) as we would if we were getting a standard 20% plus fee from the seller – as well as a hefty premium from the buyer – we make up for it in quantity of sales. Most importantly, this approach keeps you, the seller, from paying any fees to us.
We work very hard to keep our overhead as low as possible. We don’t have a showy, upscale gallery with the accompanying high monthly rent, utilities, payroll and advertising costs, etc. We sell to a substantial, established list of serious, qualified private collectors from around the world, so there’s no need for us to have a storefront or spend many thousands monthly on advertising and “sales staff”.
It’s simple math and common sense. There’s a big difference in the amount of income our firm has to make when selling an item to cover our business expenses, versus what a firm with a huge monthly overhead needs to take in to pay their bills and make a decent profit. It makes perfect sense to us, and we hope it does to you as well.