Antique Store Business Overview

Antique stores specialize in selling vintage and collectible items that hold historical, cultural, or aesthetic value. The nature of these goods means they are usually no longer in production, so their worth can increase with time. The clientele of these stores often include collectors, interior designers, and individuals simply looking for unique items with a touch of the past.

Antique dealers purchase antiques primarily from estate sales, flea markets, garage sales, and auctions. Some dealers also specialize in certain items, such as antique furniture, advertising memorabilia, or household items.

The most common business models for antique stores include:

• Traditional Brick-and-Mortar Retail: Physical stores where customers can browse and purchase antiques in person. These businesses rely on creating a unique in-store experience.
• Online Antique Shops: Businesses that sell antiques through websites or online marketplaces like eBay or Etsy, allowing them to reach a broader customer base.
• Antique Malls or Consignment Spaces: Vendors rent space in larger buildings where multiple sellers display and sell items under one roof. The business owner earns money from rental fees and commissions on sales.
• Pop-Up Shops and Events: Temporary retail spaces at markets, fairs, or auctions, offering opportunities to sell items to event attendees.
• Auction-Based Sales: Businesses that source and sell antiques through live or online auctions, often targeting high-value, rare items for specialized buyers.

Related: Checklist to Start a Business

How Do Antique Stores Make Money?

Antique stores generate revenue by selling vintage and collectible items to customers willing to pay for their uniqueness, quality, or historical significance. Businesses in this industry rely on finding valuable pieces, marking them up, and reselling them at a profit.

The common ways businesses in this industry make money can include:

• Retail Sales: Direct sales of antique items to customers make up the largest portion of store revenue. This represents the biggest income source because stores can set appropriate markups on items they own and control their inventory selection.
• Consignment Fees: Stores partner with antique owners to sell their items, typically taking 30-40% of the final sale price. This arrangement allows stores to expand their inventory without large upfront investments.
• Rental Fees from Vendors: In antique malls or co-op spaces, vendors rent booths to display their antiques. The store owner earns rental income while vendors handle their individual sales.
• Appraisal Services: Stores assess the value and authenticity of antique items for customers, charging either flat fees or hourly rates for this expertise.
• Restoration Work: Many stores offer repair and restoration services for antique furniture, artwork, and decorative pieces, charging based on the complexity of the work.
• Buying Services: Stores charge fees to locate specific antique pieces requested by collectors or decorators.
• Estate Sale Management: Some stores coordinate and manage estate sales, receiving a percentage of total sales or a flat management fee.
• Rental Services: Stores rent antique pieces to movie productions, photographers, or event planners for temporary use.

Industry Statistics

Antique stores operate under NAICS code 453310 – Used Merchandise Stores, which includes businesses selling antiques and other collectible items.

Here are some highlights of the antique store industry:

Antique Store Industry Size & Growth: The antique store industry generated $4.5 billion in revenue last year. The industry has shown steady growth, with an average annual increase of 6.0% over the past five years. Industry revenue is expected to continue growing over the next five years as consumer interest in sustainable shopping and vintage items remains strong, though growth will moderate as inflation stabilizes and discretionary spending normalizes. (IBISWorld)

Number of Antique Stores: There are 13,362 antique stores currently operating. The industry consists primarily of small, independently owned businesses, with no single company holding a dominant market position. The number of businesses has decreased slightly, with an average annual decline of 1.3% over the past five years as smaller stores consolidated or closed. (IBISWorld)

Antique Store Profit Margin: Antique stores maintain healthy net profit margins of 8.4%.

Also See: Ideas for Naming an Antique Store

Costs To Start an Antique Store

Starting an antique store could cost between $25,000 and $150,000, depending on location size, initial inventory, and equipment needs.

Here are some of the main costs to consider when starting an antique store:

Initial Inventory: The initial inventory purchase to stock a store can range from $10,000 to $50,000. This includes acquiring a variety of antique pieces across different categories like furniture, art, and decorative items. Building relationships with estate sale managers and other antique dealers helps secure quality inventory at better prices.

Location: A retail space for an antique store requires first and last month’s rent plus a security deposit, which ranges from $5,000 to $25,000. Additionally, store renovations, including display cases, lighting, and security systems, could add another $5,000 to $20,000.

Equipment and Supplies: Basic equipment costs range from $3,000 to $10,000. This includes a point-of-sale system, security cameras, display cases, lighting fixtures, and tools needed for minor repairs and cleaning of antique pieces.

Insurance and Certifications: Insurance coverage for inventory protection and liability typically starts at $2,000 to $5,000 annually. While optional, professional certifications in antique appraisal can enhance credibility and range from $500 to $2,000.

These estimates serve as a general guide, and actual costs will vary when starting an antique store.