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Old 06-02-22, 05:31 AM
Thrifty Bill
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Join Date: Jan 2008
Location: Mountains of Western NC
Posts: 23,367

Bikes: 86 Katakura Silk, 87 Prologue X2, 88 Cimarron LE, 1975 Sekai 4000 Professional, 73 Paramount, plus more

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As something to keep and ride, no brainer!

As something to make $$ on, be careful! Good example of how a flip can go bad. If you repair it with the plan to flip, first, you will put about 5 hours into it. Do you have the time/tools/aptitude/desire? Then you will spend $80 to $100 in consumables. Then there is the chance of stuck seat post and stem. Then you have a relatively WEAK market in Las Vegas (I've gotten some great deals there in the last two months). By the time you are done, as a complete ready to ride bike it will be break even (if your time is free). And to finish, you never know what surprises you will find (additional costs), such as bad bottom bracket, bad wheel hubs, worn out chain rings, worn out freewheel, etc.

The more resourceful you are on parts, the better the economics become!

Cheapest, stamped steel kick stand needs to be removed and put in the scrap barrel. Ouch!!!

Now if you pick it up solely for parts, its a no brainer. Crankset alone is worth 3X asking price. And parting it out will not require ANY consumables and not take more than about 2 hours max time. Conservatively, you should be able to sell parts in the $100 to $150 range. So a possible profit of $75 to $125 for 2 hours work. Assuming stem and seat post are not stuck (BIG assumption), you should be able to sell the frame for another $125 to $150 on that dreaded auction site.

I just sold a similar frameset on that auction site, $160. From this, first I had to get a bike box. Closest shop was 45 minutes away, so 1 1/2 hours of time. Then I had to create a listing, pictures, etc. Say another 30 minutes. Then I had to pack the bike, cut down the box dramatically, use about $10 in tape and supplies. Another 2 hours of time. I have to drop it off at Fed Ex this morning. Thats another 30 minutes in time. Then I have the eBay fees( $35), and then I get that pesky 1099 next February (income tax).

So $160 - $45 = $115. This for 4 1/2 hours work. And then I get the pleasure of paying income tax on that profit. And this doesn't include what I originally paid for the bike.

All in, I've made less than $5 per hour on my time.... To improve the economics, I picked up five bike boxes this time, so I save 1 1/2 hours on the next sale.

In my case, "the profit" from the transaction will come from the parts, all 600 tri-color in excellent shape (more desirable parts than your bike). Should take my $5/hour return on time up to about $75/hr. From that, deduct what I will pay in taxes next year on the 1099. Not too bad as a hobby/retirement activity.

Note on wheel truing, minor out of alignment can be improved with truing. A bent rim on the other hand will not true out.

Last edited by wrk101; 06-02-22 at 05:41 AM.
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