Pawn Shop Partnership

[ComputerClinic]

My brother in law works at a local pawn shop and I have partnered up with that business. Basically, if they buy a computer that is too messed up to sell, I will fix it for them at an extremely discounted rate. And in return, when customers buy computers that are broken but still usable, they tell them to come to me to have it repaired fully, and I give them 25% off the repair. Now pawn shops are cheap, and so are the people that buy from them, and that's why I offer these discounts. Right now I'm really more concerned about the quantity of customers I receive and not so much the quality. So what do you guys think of this partnership? Should I go to other pawn shops in the area and offer the same deal? It has brought me a lot of work so far, and in my opinion its a great way for a new computer business to get started.

[iptech]

Sounds like a good pitch to me, it'll earn you some useful experience although I doubt if you'll make a fortune doing it.

Go for it, Pawn shops must be doing well these days and it's always good to be in on a growth market!

[ITG Tech]

I was thinking about pawn shops the other day, but did not think they did much computer business, Now I will go in and make my pitch to the local pawn shops. Thanks for the Idea.

[Doctor Micro]

Great idea! I hadn't thought of that, though I probably should have, given the number of people who have called me recently asking if I buy computers.

[basic]

I would just be wary of the type of customers you will be bringing in. I feel like if they get used to a steep discount you'll never be able to charge them full price. Other than that, if you make some money, more power to you.

[Doctor Micro]

Originally Posted by volatile

I would just be wary of the type of customers you will be bringing in. I feel like if they get used to a steep discount you'll never be able to charge them full price. Other than that, if you make some money, more power to you.

If I understand the original post correctly, the steep discount was only to the pawnshop, not to the end user.

[ComputerClinic]

Well the customer gets a discount as well. But not as much as the pawn shop. They receive 25% off the first repair, but when they come back they get my normal prices. One thing that's nice about the work is that data is not important. A lot of these computers can be fixed by a clean install of windows. Once I get an automated install disk setup this type of work should be a breeze.

[anonymous Mac Tech]

Watch out getting involved with a lot of stolen computers then reselling. It could get ugly.

[basic]

Originally Posted by Doctor Micro

If I understand the original post correctly, the steep discount was only to the pawnshop, not to the end user.

Yeah, I guess. It's like a referral discount. Still, nothing against pawn shops or anyone specifically, I'd just be wary. My opinion is that customers of pawn shops are the brick-and-mortar equivalent to craigslisters.