Is my Game Store Profitable?

[@markkern2948]

I am the one that donated the miracle piano. Glad you were able to make use of it. My family came from Peoria il on our way to see family in Arkansas. Really nice store and a fun stop.

[@ulysees321]

Thanks for being so upfront about your costs its great to get that sort of insight that people rarely share, you and your team put a serious amount of work in to that store every month, keep the vids rolling 🙂

[@woozi36]

“Good day to be a business owner!” *throws marker and walks off* 😂

[@TheRoxy671]

😂😂😂 that is true...

[@mikeh.9954]

Love seeing the breakdown of what it actually takes to run a small business.

[@markusaurelius4015]

I was blessed to be raised by parents who owned a business so I saw what it takes and largely decided I don’t want to do that 😂 This doesn’t even include risk reduction costs that I HOPE he’s always going! Like insurance, busniness savings, etc so things don’t have to be sacrificed when bad stuff happens. The average person should be more educated in this kind of stuff in my opinion.

[@wingerfan1]

I think people forget about both of your KZbin channels, as well as your whatnot stream, playing with the band in the church, your day job, your family, life, and everything else all at once. I think you're doing a great job, my friend.

[@dillongoodfriend7248]

$2770 left in the $5 video game collection

[@jefferymassanelli6288]

I would like to say that seeing what people buy from time to time would be interesting. It’s great to see the community buy things they are excited about. Just a thought 😊

[@patriotdrone9566]

The fact you can operate that type of business and be in green after expenses is impressive. I'm assuming that's actual profit after you pay yourself.

[@bbgarnettTotallyNotABot]

He also has another Full time or assuming full time job as a worship pastor so he he could be using that income to feed his family and other things like that and then be using any income he earns from the store to help the store grow and keep it going.

[@Chronis67]

If he's doing it right, he is an employee of the business and should include himself as personelle to be paid. If he's paying himself with the profit, then that has a high risk to it.

[@TheGebs24]

Amazing video Rick. Catch you in ONE MONTH 🇬🇧 🇺🇸

[@snipesxiii9188]

most his personal income is probably from his two youtube channels. There is no way his pay was included in that 15000$ a month personnel expense.

[@VanillaaDelight]

@@snipesxiii9188 Based off the videos he has between 6 and 8 employees that we can see. Lets say 6 employees only, if they each get an equal share that's only 2500 a month, or 30k a year. So yes $15k a month in labor cost is plausible. Id also guess there might be an few employees that are either part time or dont want to be filmed. But yes it would be interesting to see how his YT dollars translate into funding the business.

[@Brew805]

$4500 is awesome for that size of space. I pay that much for 1200 sqft ice cream store in CA.

[@greggperez2124]

For real! In Central Florida that gets you a 2000 sq ft space lol

[@ThisIsDjYigytugd]

That's what I was thinking. That cost is a steal for that size and with utilities. I'd be happy paying that amount.

[@Tora_Beats]

people forget that he runs whatnot two KZbin accounts and other side hustles. he's living good I'm sure otherwise he wouldn't do it, he's his own boss around what he loves and seems happy. happiness is more important than money

[@snipesxiii9188]

exactly, he clearly just runs the store for the love of it because he doesnt need it to be successful.

[@armastus1474]

I told that to the IRS, “Happiniess is more important than money”. They were not amused and I still had to pay 😭

[@brentsalassi5245]

I don’t feel like anybody forgets that.

[@elmechetv3093]

Other thing people forget is that wall of expensive stuff he has in his office.

[@snipesxiii9188]

@@brentsalassi5245 did you read the other comments on the vid?

[@TheG2online]

One thing that people seem to be missing is that I'm fairly certain that the COGS (cost of goods sold) wasn't all accounted for in the month of May. Meaning that he obliviously paid for trade ins during the month of May, and not all of those trade in items would of sold during that month, so he still has future sales potential off of inventory that he has yet to sell. So while his numbers are correct, it can be a little misleading and doesn't show the entire picture.

[@HairyTornado]

Now you know why GameStop offers $20 for a PS5 😂

[@retroordis]

@@poa2.0surface77 Just to give a little more context on this - Yes, GameStop (bigger chain game stores) pay far less in printing etc. - however, I was a GameStop Store Manager for many years and when it comes to new games (like the pre-order games) GameStop still pays high for the games - for examples... if they sale the game for $69.99 - GameStop purchased the game for around $60 - all these use to hit my P&L each month and could see the cost of product. Just some insight on the new games.

[@KennethRobinson-rf9wj]

Really digging your videos, keep it real!

[@IanJacobyandcompany]

michael low key the funniest guy. He's hilarious to me.

[@beardsloan]

💯

[@daviddelago3870]

His profit is in the KZbin channel….the store is just the platform…..

[@opaqueentity]

Yeah it would be good to know that

[@THROWBACK_Sports]

he also probably pays himself a wage which is added into the personel budget

[@pnut3844able]

Yup

[@rschmidt9495]

Even with YT profits, he ain’t rich by a long shot. And with all the hours he puts into it he probably makes an average salary.

[@YouDontKnow-that]

With only 80k subscribers?

[@i2Shea]

Thank you for showing the reality of owning a business in this space. You need to keep the shelves full. Its very easy to get behind on inventory or taxes if you do not know what you are doing.

[@superdave3093]

Good stuff Rick! LOVED how you kept it transparent as a business, people really have no idea how profits, taxes, breakdowns, marketing, etc work. Hope you have a good next month Sales wise at the store! 🔥💪☺️✨

[@megamoomin8480]

I bet it'll feel good when that loan is paid off, extra $8k at the end alone for that

[@RS999GTI]

Unless he make a new operating loan, most business are run out of credit to preserve cash reserves

[@JuiceyJayce]

It's pretty good for the first year of business. It's only going to get better homie. Keep it up. I live vicariously through your channels.

[@kryptoniite_]

$8k monthly loan is crazy. you've basically rebuilt the entire store, changed the store name, and restocked entire shelves twice over by now lol.

[@jazzjohannes]

Thank you so much Rick for you honesty and transparency, I never said anything, but had thought it. And now we can all move on, refer to this video anytime anyone asks, and enjoy this awesome Content Creator making videos that give us a home for our happiness.

[@Black_cloud_RN]

Dude. Such an awesome day. So cool to finallly meet you. You’re so nice and down to earth. Just. Keep. Gaming.

[@b-man1232]

THANK YOU for sharing your #'s!! As a business owner myself, it's crazy how much per month I spend on dozens of different things! Crap, I spend over $20,000 per year JUST ON lease/rent and our phone system.....ALONE! I love owning my own business, but it's CRAZY expensive!

[@MrJcoupe96]

Let's not forget the revenue this channel also brings in. The profits are higher but we can't expect him to really share ALL the details. That's none of our business.

[@b-man1232]

@@MrJcoupe96 - 74,000 subscribers isn't much. I'm guessing he makes maybe $20,000-$30,000 per year off of YT...maybe another $5,000-$10,000 per year off of merchandise???? It's the YT channels with a million + subs tgat make the good money. Then again, I could be dead-ass wrong??😂

[@delira_designschannel2684]

I love you show how business works as why a large percentage of people don’t have a business. It’s not for the weak

[@jjacks50]

That final number was in the black and not red, so awesome job to you. That's a solid W. I'm always fascinated by these types of breakdowns. Thanks for sharing.

[@92synergy]

I appreciate the transparency of this channel while operating a small business. Have you considered a video where you talk about working with the company who made your logos? You may have in a past video, but just throwing the idea out if you haven't already :)

[@davids4003]

Packing heat... @00:13

[@TLDAcademy]

Hyped that you actually mentioned ‘Dreamcast’. Out of ALL the KZbin resellers, you’re the first to show the console love. Would LOVE to see more Dreamcast content in the future!

[@christopherjames5770]

Chech out the Arkansas Picker. He's livin the Dream. Cast. I like his channel too

[@H-i-m_]

Glad you explained the costs of owning a gamestore. I talked to the previous owner of GP a few times about wanting to get into the video game store business and you really need to have a lot of money and games to invest up front. It ain't cheap.

[@juanrios9696]

Loving this video! like how you explained the actual cost of running your business.

[@N64Muzak]

Retro rick is my favorite teacher! Wow what an eye opener

[@Blankakonga]

Love the P&L breakdown. 3% bottom line profit, would love to see your Q4 (Christmas) breakdown.

[@theinsuranceguy101]

I really appreciate the transparency. Note Rick did not include any stress, sleepless nights and other sacrifices in that list

[@PeperonyChease]

He also didn't include other income like youtube revenue.

[@angrybirdbob2881]

@@PeperonyCheasebecause that has nothing to do with the store. Store ≠ KZbin, separate business’. He just wanted to show what running specifically the store is like

[@PeperonyChease]

@@angrybirdbob2881 you think this channel has nothing to do with the store? Get a clue.

[@exodo7727]

After owning my own business, you learn real quick about the expenses. People don’t realize how much money you have to pay to keep everything moving forward it gives you a new perspective on prices at the store when you go to the stores and try to lowball the prices. Keep in mind that when they give you a deal at a lower price, they have to make it up somewhere else because all these expenses are already incorporated in the price.

[@bengriffin8905]

Nice! Good to see you guys making some money and able to put some of it back into store upgrades

[@peloteromexusa]

Love the transparency - keep up the great work!

[@itsOBJT]

legit love the transparency on this type of stuff rick, honestly i would love to hear more about this on good months or bad months really gives a perspective on on things really work bts

[@chrisg1663]

A set of those McDonald's Hercules plates sells for $100+ on ebay surprisingly quickly. All 5 sets I've sold have sold within 3 days or less of listing them. 👍

[@hakjie1112]

I am not surprised that he is not making much money. Physical stores have a high costs and you just can't get around online selling these days. The only way physical might still work is either the investment costs have already been made back or it offers an unique experience that's worth visiting.

[@irkalladepths6448]

im not even joking the double taxes pissed me off for you shit is truly unreal lmao

[@jds3535b]

Its 2 N's and if you didn't have this channel it wouldn't be sustainable. Thank you for what you do we Gen Xers really appreciate your channel and store.

[@toddbreiner3618]

The videos where you talk about the business side are my favorites. Is your pay included in the personnel?

[@DJBunyan]

how many employees is that 15K divided to? part/full time?

[@PositivelySunshine]

I’d be curious how a store live stream would do for you guys. Just set up a camera near the registers and let it roll.

[@joegauriloff6460]

I dig the sunken ship background music playing in the store.

[@ScottieScottie-uw4xs]

Always love seeing these small business reality checks. There are so many costs people don’t anticipate. I am interested to know how COGS is calculated. Does that number include Store Credit that you gave out but hasn’t yet been used by the customer? Or just straight cash outflow?

[@alvin1979.]

Great video ! Loyal viewer from Canada

[@Toonie]

The green is good, love to see it! That doesn’t include all of the other things you do like both channels and such, congratulations on your success!

[@nateg5505]

Really hope that's after you paid yourself. Thank goodness your channels, shirts and side deals probably supplement a lot of your take home and AK is a LCoL state. You're not getting rich but you're providing jobs and nostalgia

[@Painmaster212]

Probably doesn't pay himself with the store money as he kept his other job and side hustles. I figured he'd wanna pay off that business loan first and then maybe start paying himself.

[@triplejay2000]

Great analysis for running a brick and mortar video game store. He should get a mom and pop accountant at $300-500 month rate, cap Misc. expenses (or petty cash) at $100-200/month and pay off that nasty $8,000/month loan expenditure!

[@dab88]

paying $18k a year for accounting is absolutely insane for a business like this.

[@triplejay2000]

@@dab88 That's what I was thinking six months ago. Those mom and pop accountant will provide the same services as that $18k/year accounting service, probably even better...

[@wesleychapman9572]

Rick, if you put your store and inventory online to order from, hired a picking and online order fulfillment department that just did that from open to the close of mailing cut offs...You'd be doing incredible numbers and moving a ton of product/inventory. Whatnot and Ebay on the side seem like such gambles.

[@mikes062]

That’s one of Ron’s best scenes in the entire series!!

[@southmcwow]

Damn that Hercules plate takes me back. Had it until a few years ago when it broke.

[@peterbagshaw5863]

By The Looks of Your Office Walls......I'D SAY YES!!

[@lordcheesus1013]

Congrats on the sales number! It's crazy when you think about all the little costs and business steps that come in between the sale and profit margins. I won't say where for privacy sake, but I know a local game shop owner who I've been giving business to since my early high school years. About 2 months ago, he told me he did over 1 million dollars in sales for the year of 2023 and I believe him (he does a LOT of online based business too in fairness). What most people don't realize though is that doesn't mean what his profits ended up being. After factoring in costs and overheads you'd be surprised how little that number shrinks in the end.

[@justloaf1188]

I raked leaves and mowed grass in my neighbor hood one summer to buy that exact play it loud clear gameboy brand new at toys r us when I was a kid. It was $80. I also bought Links awakening.l that day.

[@takeaseat6969]

Insurance? Work comp?

[@Blankslot]

this is the part about working at a game store seeing all the cool stuff that randomly walks through the door

[@fezwhy]

I would say you are doing pretty well overall being that all your sales are local. Some shops only see success by offering online sales as well. I'm sure there will be some costs you will be able to reduce over time. But hey at least you are still in the green.

[@Trigger200284]

At least you have the population to support it, my expenses would be close to the same, but without anyone to come in and buy things.

[@jaywinner328]

COGS: is that how much the goods you sold cost you, or how much you spent stocking the store that month? How do you factor in trades? Trades don't bring in cash but should be increasing the value of your stock.

[@immitationstation3369]

Im glad people are scooping up Dreamcast games fast. It's my favorite console and has sooooo many hidden gems 💎 Im a weirdo who owns the complete north american library and I still keep coming back to play it (especially the fighting games)

[@ctg8563]

I thought about buying a building for storage for 4K but I don't make enough to justify the 2500 for yearly property taxes.

[@Cyapro]

i respect the knowledge, thank u....i always wanted to open a games/fries and burger store...or sell games at home or gamestore. but i get scared of $$$$$$$$ not making money

[@brianzfandom2151]

I understand your pain. Owner of Gaming Therapy in Holland, MI.

[@ryancampbell955]

Loved the low key Rescue Rangers NES music playing in the background during a part of this vid. One of my favorite games as a kid!

[@The_Goblin69]

It would be cool to see/show what customers buy!

[@SundayNightGames]

that’s actually insane if you only make 2k a month.. actually sad damn :( you deserve way more lol

[@retro-spective9217]

Positive cash flow and net income in the green. Sounds like a good day to me! Well done!

[@faub3282]

6:00 Rick, I have an extra Miracle Piano in the box, almost CIB. Missing the foot pedal.

[@the36thmaster31]

Funny i just sold a sealed zelda collectors edition, hadnt seen it before got it for super cheap at a thrift store

[@retrorandotoys]

It’ll be really hard not to keep all the cool stuff that comes in for the collection the temptation would be so real.

[@ignaciogodoy7095]

You can sell the same online for a fraction of the cost

[@markjansen9886]

Love the channel, love you guys ❤ Much love from Canada

[@legoboy-ox2kx]

I know Rick's store is 100% above board since he's pretty well known online, but I would be curious how many game stores out there are actually mainly money laundering fronts? I feel like reselling video games has a lot of potential for placing funds in different ways that would be really hard to actually detect and find evidence of.

[@Amiibo_Amiigo]

Is the money made from whatnot factored into that 96k in sales for the month?

[@ChristopherDavid-uu3qg]

How much are you collecting from KZbin roughly on a monthly basis?

[@nicolaushoertkorn9836]

Why not create a webpage (online store)? You have a huge following. I understand whatnot for perhaps the more affordable options and quick flips.

[@jimsteele8834]

I just have a couple of questions. Why aren’t you doing balloon payments on those loans ? Of those salaries, are you included in said salaries ?

[@120ventures7]

That’s what I want to know too! Profit is awesome… if you are also getting a paycheck

[@seanseamands]

Rick, idk if you've mentioned this before but I'd your store online? I'm from rural area so travel to your store is very costly..long story short is your store online at all?

[@bonezmccoy]

You forgot to include random ephemera that you buy, like McDonald's signs and other stuff that isn't for sale that adds to the "overall experience".

[@JuanHernandez-dj9zo]

Those $50k per month on cost of goods is excellent. Your inventory will grow in the long run.

[@cpaek72]

Yeah, good to be in the green, but that profit margin is pretty horrendous. You would make more investing in a Subway or Taco Bell and would be able to save more to invest into more restaurants than own a video game store. The investment cost is pretty high for franchises, but you could make on the average of 150k per store like a McDonalds(need at least a million or more to invest :)) or 70k per subway and then double that if can save enough for another.

[@ReedStiles]

Toys R US in Fort Smith. Let's goooo. RIP. That store had such a great location.

[@Danboy0001]

The debt he hold in the business - which is driving the interest chrage- will be there on purpose to keep the net profit amount as near to zero as possible to minimize tax. Which is ok/good business planning.

[@NoName-tz6ex]

whats he carry? G17? looks full size.

[@krashkwads4688]

you're doing AWESOME

[@ToTBoO]

Mad props to keeping it going for 3k a month lol - that wouldn’t get me out of bed lol

[@klwarhouse]

Lol, I was thinking the same.

[@steveorino3073]

Some of the main memories I have of GameCube are Serious Sam. Super random but only ever played like 5 games on that system, funny how the gaming journey is different for everyone.

[@jason5276]

Beautiful Kurzweil keyboard ❤ You can do a lot with it when you plug it into a computer and trigger by MIDI virtual instruments 💕 Best regards from AmpleSound virtual instruments!

[@matcam89]

Would like to see all the trades you don't accept and what products you won't take even if they are game related

[@ZBatt1]

So does Rick live off the 2 grand?

[@120ventures7]

KZbin + another job

[@theretrosaberguy]

KZbin, whatnot

[@namnambulu]

Whats the loan like 2 millie??

[@markushoffsten]

Daamn. You guys have god Taxes. Here in Sweden we have 30% Taxes on everything then moms and shiiiit! =D

[@Helthurian]

I appreciate the business breakdown! Glad youre in the green but hopefully you can find a way to get that profit % up a bit.

[@angrybirdbob2881]

Once his loan drops it should help a lot

[@Helthurian]

@@angrybirdbob2881 Certainly!

[@Tristan_Shuler]

Yooo I remember eating off the Pegasus plate when I was a kid!

[@JShadow6661]

Heckin Steve will still find a way to complain about this like you’re spending HIS money 🤣🤣🤣🤣

[@briand2136]

Biggest loser i've ever seen, trying to get clout by bitching about people is the lowest form of scum on the internet lmao

[@mfinite689]

Can't stand that guy. Wants people to buy games to enjoy the hobby, but in order to do that someone has to be around to sell them to the people that want to buy them. Rick's taking a huge gamble for people to enjoy the hobby.

[@bobsimpson9228]

That aint bad for Arkansas, could also dramatically reduce a lot of those costs quite easily.

[@dustyhughes1049]

i still have a 90s Mcdonald’s kids plate the Halloween McNuggets

[@WesleyB420]

Yall coming to SFGE in Atlanta? Great stuff!