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Sunday, November 8th, 2009

Is Snappy Auctions a Great Franchise Opportunity?

April 20, 2007 by Sean Kelly  
Filed under Business

While the largest, most celebrated eBay drop-off store franchise concept , iSold It, has closed 60 stores, suspended domestic franchise sales and warned it may be on the verge of collapse, its next-largest competitor remains upbeat and continues to promote its franchise program.

In a company press release, Snappy Auctions celebrates inclusion on the list that made iSold It famous:

Snappy Auctions has been listed in Entrepreneur Magazine’s Franchise 500 list for the first time… With over 63 units open, Snappy Auctions ranked 309th in the survey, in only its 2nd full year of operation. The Nashville, Tenn. based franchise enables customers to make money off of items that are sold on eBay…

Snappy Auctions CEO Debby Gordon claims that Snappy Auctions is not suffering the same fate as competitor iSold It. In fact, snappy Auctions is doing phenomenally:

“We are poised for a phenomenal 2007, after an incredible 2006,” Gordon continued, “and this accolade is just the beginning.” In 2006, Snappy Auctions launched Snappy Sales Solutions, S3, which has contributed to its recent success. “S3 is yet another step toward our goal of changing the way businesses get value from retired equipment and inventory.”

Snappy Auction also boasts having been named one of Franchise Business Review’s Franchise 50, which honors franchise systems based on outstanding franchisee satisfaction through owner surveys and comments.

According to a Ina Steiner’s column on AuctionBytes.com, “Despite the challenges, Snappy Auctions CEO Debbie Gordon believes in the concept and says it’s all about execution.”

Can Snappy Auctions really be succeeding while iSold It, with much the same business model, is fighting for survival? Have they successfully overcome the challenges that eBay drop-off store critics contend make the concept unworkable? What do you think?

YOU’RE INVITED TO LEAVE A COMMENT ON WHETHER YOU THINK SNAPPY AUCTIONS IS A GREAT FRANCHISE OPPORTUNITY.

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Comments

1,220 Responses to “Is Snappy Auctions a Great Franchise Opportunity?”
  1. Smart Snappy says:

    It seems like there are about 12 or so stores that have more then 30 items up.

    The second largest revenue producing store has decided to close, that’s a big hit. Too bad really, they were very involved and really nice people; apparently smart too.

    There are however more s3sales items up, which really helps the franchisees so very much.

  2. Snappy not Smart says:

    How exactly does “There are however more s3sales items up, which really helps the franchisees so very much” help the franchisees? Are you saying the franchisees are selling the items or is Snappy HQ selling the items?

    Which store was the “second largest revenue producing store?”

  3. Smart Snappy says:

    Go look at all of Snappy’s items and see what I’m talking about, you’ll then understand.

  4. Snappy not Smart says:

    Which store closed?

  5. Smart Snappy says:

    About 60 of them.

  6. Snappy not Smart says:

    Let’s try this again. You said “The second largest revenue producing store has decided to close, that’s a big hit.”

    Which store was this?

  7. Smart Snappy says:

    If you don’t know, then you’ll need to figure it out. My point is not to out them by name that’s not fair. I was just stating that it was too bad that they closed because they did a good job, and were very helpful to other stores.

  8. Been Had says:

    With all the problems eBay is having the stores must be feeling the pinch. Several articles have big sellers leaving eBay and show eBay’s overall sales dropping significantly. Some categories are seeing 25-30% drop in items.

    Even if the Snappy system worked, eBay’s gotta be making it even worse.

    I’ll bet the stores that have closed are glad they got out when they did. It will only get worse.

    Maybe Debbie is working for eBay now.

  9. Inquiring Minds says:

    So, any of you stores out there, what is the latest spin coming out of Snappy? Do you have conference calls anymore? Do they even talk to you anymore or do they just take your money? What is there spin on why so many stores have closed?

    Inquiring minds want to know.

  10. sean says:

    Debbie Gordon: Angel investment expert.

    From the Business TN website article “Calling All Angels”:
    http://www.businesstn.com/content/200809/calling-all-angels

    The ACG investment founder says”…I established an incredible advisory board when I launched.”

    ACG advisors include Aegis Sciences Corp. founder and Chairman David Black, and his wife, State Sen. Diane Black; Michael Krause, CEO of Nashville-based networking solutions company Dolphini; Debbie Gordon, founder and CEO of Snappy Auctions, the leading brick-and-mortar eBay franchise; and intellectual property attorney and legal author Chris Sloan of Boult, Cummings, Conners & Berry’s Nashville office.

    I guess she may be an expert at funding a business, just not running one.

  11. Smart Snappy says:

    I saw that and just laughed. I am guessing that other business owners just think that taking a business for other people is going to happen. It’s the natural course of things don’t you know.

  12. Inquiring Minds says:

    Well, Rachael Qualls is doomed to failure if she thinks that highly of Debbie Gordon. That shows a serious lack of judgement on her part.

    Best of luck to her. She’ll need it if she takes advise from the CEO of a failing company.

  13. sean says:

    Well, Rachael Qualls is doomed to failure if she thinks that highly of Debbie Gordon.
    Qualls is in the business of selling the dream, so maybe she’s got a good mentor. Give Debbie credit: She could sell sushi to the Japanese.
    (By sushi, I mean a fundamentally flawed franchise concept)

  14. Outraged says:

    I heard from a reliable source that Debbie did not do so well in her law suit against AERC.

    Anyone from the pro-Debbie camp want to chime in??

  15. Smart Snappy says:

    Court documents don’t lie.

  16. Regular Joe says:

    The ship is sinking..the famous “Buckhead Boys” in Atlanta look like they’ve closed up shop. No street address anymore…just a “FREE PICKUP”.
    Oh my! They are dropping like flys!

  17. Smart Snappy says:

    They haven’t owned those stores in years.

  18. Bill Clinton says:

    Those ‘Buckhead Boys’ bailed out when there was just a faint hint of smoke in the cockpit – smart. I think their sale was one of the very few stores to an outside buyer Wasn’t long after that when all 4 engines became engulfed in flames and the Snappy ship was doomed.

    -Bill

  19. Snappy not Smart says:

    Smart Snappy, didn’t you read my last post? We all know about the complaint. It’s been listed above and Sean has posted it. What I asked was “Anyone from the pro-Debbie camp want to chime in??” regarding the rumor that her lawsuit didn’t go well.

    I asked for any Pro-Debbie posters to post a reply to my posting. So, try again, or are you going to hide behind your “If you don’t know, then you’ll need to figure it out” tripe again?? If you don’t know, say nothing. If you do, speak out. Stop wasting our time with your evasive answers and posting of information we all know about.

  20. Smart Snappy says:

    You might want to check your names when talking about other posts.

    Besides, I had never read the actual transcript of the complaint.

    I called the courthouse about the case, and it hasn’t even hit a courtroom yet. So, unless they settled out of court the case hasn’t gone anywhere. If they had settled out of court, would the case still be in their system?

  21. Inquiring Minds says:

    I don’t mind if Snappy Not Smart quotes my post. I had the same question, so I pinged my Snappy-in-the-know contact and they confirmed what Snappy Not Smart said. Even though the case may not have hit the courts, the offline wrangling is costing Debbie (and her new hubby) a mint. Not only that, the local rumblings about the case are a hoot as well.

    The DG soap opera continues. I can’t wait to see the next episode of “What will DG screw up next?”

  22. RupertG says:

    FOR ALL OF YOU:::::

    “The difference between a smart person and a wise person is that the wise person knows how not to get into the situation that the smart person knows how to get out of”

    Great, you all were smart enough to get out of it; and found a way out of it. But stop making excuses for the fact that you, yourself, and you were the one who took a pen to paper and signed the franchise agreement.

    NOW GO DEAL SUCKERS!!

    I am distraught over how angry you people are. Let’s look at the facts, Debbie Gordon is one of the most influential, intelligent, and revenue-generating individuals in Nashville. Her unparalleled levels of enthusiasm add something not usually found in franchising.

    If you think this is Debbie’s fault, you’re unintelligent. Ms. Gordon has had much, much, more genuine education than any of you ever had; do not argue this point. I am right, and do not give you permission to argue this point.

    Not only do I have the experience but I also have the knowledge, to recognize the symptoms of SPWMSDAWAID. Many of you probably do not have the knowledge, nor the education, to recognize what this abbreviation stands for, so I will tell you.

    This disorder can never be self-diagnosed, as it stands for, Stupid People Who Make Stupid Decisions and Whine About It Disorder!

    The business plan is flawless, you must have done something wrong.

  23. AnonForNow says:

    RupertG, what junk are you smoking? INFLUENTIAL….REVENUE-GENERATING???? Are you playing some kind of fantasy game? As a Nashville native, I can tell all of you that Debbie Gordon is NOT influential, and she is NOT revenue-generating. Who in the world are you? Adrienne? Debbie’s husband? I am now laughing so hard it hurts. Please. Go. Back. To. The. Place. From. Where. You. Came.

  24. chance says:

    Don’t get hung up on it…they let Rupert out on a short leash every now and them.

  25. Snappy Not Smart says:

    RupertG….Stupid is as stupid does…..

    RupertG is like an outa work school teacher….noooo class

    RupertG….You’re doing a lot of choppin’, but no chips are flyin’

    RupertG gotta mouth like an outboard motor, All the time putputputputputput!’

    RupertG got a mouth like a cannon. Always shooting it off.

  26. DupertQ says:

    Debbie Gordon is a demi-god whose flatulence smells like victory and who can do no wrong in this dimension nor any other. Anyone who says otherwise is a neanderthal ignoramus who wouldn’t know true genius if it was stepping all over their credit rating!!

    You ignorant blathering fools!! Don’t you know that you were privileged to bask in her glory. FALL ON YOUR KNEES YOU INSIGNIFICANT PLEBES!!! Ooooooh the light shining off her pen as she wrote another contract to a primate franchise owner, one who did not have the foresight to see they were buying crap, is enough to light the way to the franchisor hall of fame where her name will forever be enshrined in the hall of failure!!

    All of you should be ON YOUR KNEES in front of the splendor that is the most exalted Debbie Gordon. Avert your eyes from her greatness! No one before nor after will be able to match her perfection in duping franchisees!! Mere mortals should nash their teeth and tear at the sackcloth that was their life savings. She has shown the way to everlasting credit ruination and is the epitome of self aggrandization!! She alone can belittle the confused and turn their valid questions into a quivering mass of confusion. No fault can affix to her. No error is worthy to be attached to her. They all fall short of her perfection and are the dirt under her contracts.

    So, I tell you, she is what she is: the great toe jam!!!

  27. sean says:

    Snappy Auctions Shrinking Store List
    The following store locations were deleted from the Snappy Auctions website between June 2008 and September, 2008:
    Alabama – Greystone
    Arkansas – North Little Rock [Closed]
    Arkansas – Little Rock [Closed]
    Colorado – Parker [Closed]
    Florida – Plantation [Closed]
    Florida – Sarasota [Closed]
    Tennessee – Chattanooga [Closed]
    Texas – Webster [Closed]
    Virginia – Ashburn, VA [Closed]
    Condolences to those franchise owners of those closed stores.

    Snappy Auctions’ website lists these store locations as open:
    Alabama
    Huntsville, AL [snappyauctions65: 40 items]
    Arizona
    Phoenix, AZ (Scottsdale) [snappyauctions19: 45 items]
    Ahwatukee, AZ [snappyauctions59: 31 items]

    Delaware
    Newark, DE [snappyauctions73: 95 items*]
    Hockessin, DE [snappyauctions73: 95 items*]

    Florida
    Coral Springs, FL [snappyauctions15: 35 items]
    St. Augustine, FL [snappyauctions75: 23 items]
    Merritt Island, FL [snappyauctions45: 47 items]

    Georgia
    Atlanta, GA P/U Only [snappyauctions6: 28 items]
    Columbus, GA [snappyauctions16: 46 items]

    Kansas
    Leavenworth, KS [snappyauctions42: 1 item]

    New Jersey
    Belmar, NJ [snappyauctions68: 31 items]

    Ohio
    Dublin, OH [snappyauctions31: 113 items]
    Aurora, OH – Pick-up Only; [snappyauctions71: 17 items]

    Pennsylvania
    West Chester, PA [snappyauctions52: 86 items*]
    Paoli, PA [snappyauctions52: 86 items*]
    Dallas, PA [snappyauctions62: 96 items]

    Tennessee
    Nashville – Corp. [snappyauctions: 64 items*]
    Green Hills, TN [snappyauctions: 64 items*]
    Mt. Juliet, TN [snappyauctions: 64 items*]

    Texas
    El Paso TX [snappyauctions72: 6 items]

    Virginia
    Alexandria, VA Pick-up only; [snappyauctions7: 13 items]
    Virginia Beach, VA [snappyauctions14: 80 items]
    Chesapeake, VA [snappyauctions24: 55 items]

    * Multiple stores trading on single eBay ID

  28. chance says:

    Debbie does not bask alone, King Sully of “I stole it” is in her court. He now blogs to the masses. Bow down at his feet and offer up your life savings, your home, your family, to the Gods beyond reproach! (Thier software STILL doesn’t work!) Opps, did I say that out loud?!

  29. sean says:

    King Sully of “I stole it” is in her court. He now blogs to the masses.
    Sully blogs? Where? Do tell.

  30. RupertG says:

    You are the weakest link good bye.

  31. chance says:

    Just for starters—yep their really are some fools out there that still buy this crap!
    http://www.ebstorefast.com/isoldit.html

  32. DupertQ says:

    Nice comeback Rupert. You moved beyond the monosyllabic. Thanks to your tax dollars, people like RupertG can have an exciting future in kissing butt and acting like 10 year olds.

  33. sean says:

    Just for starters—yep their really are some fools out there that still buy this crap!
    That’s what’s known as a “splog” (spam blog). They just post that crap they took from another site for the sole intent of displaying isoldit – ebay related Google Adwords.

  34. sean says:

    I’ve added the number of items listed next to each store location here:
    http://www.franchisepick.com/is-snappy-auctions-a-great-franchise-opportunity/#comment-43659

    There appear to only be 3 stores with more than 50 items listed (other than those combined on a single ID)

    Rupert’s admiration of the business model notwithstanding, is this even a functioning chain? Are stores with less than 50 items even open? Leavenworth, KS has 1 item. El Paso has 6.

  35. Get Real says:

    Sean, El Paso and Leavenworth may be examples of stores who can’t get out of their leases and are still afraid of Debbie. 6 items a week won’t even pay the rent.

    STORES! You can get out. All you have to do is terminate your contract. Talk to the people at AITOO and they can help you get out. There are ways to handle your lease too.

    I’ve heard from store owners who are gripped by depression too. It’s hard to make decisions when you are clinically depressed. Please get some help and get back on track to closing your store. People I’ve talked to who have closed their stores are able to get back on track with their lifes.

    RupertG…..just go away. You have no clue about what these people are going through. You’re a sick person.

  36. sean says:

    I think you have all misjudged RupertG.

    RupertG may actually be the most compassionate, caring and complex commenter among us. Now, before you accuse me of falling under the siren-like spell of DG, think about this:

    RupertG as catalyst. Each time RupertG makes an overtly offensive or insulting comment, he/she sets off 8-10 angry anti-SA, S3 and/or DG comments. Could this be RG’s true intent?

    RupertG as satirist. If you read the last comment, you will see contrary but potentially valid arguments (such as “stop whining and accept responsibility”) with obviously indefensible nonsense (”the business model is perfect”). Could this be RG’s wink and a nod, signalling satiric intent?

    RupertG as Tough Love counselor RupertG preaches personal responsibility, imploring those to toss off their cloak of victimhood, to leave the “People Who Make Stupid Decisions and Whine About It” club, accept their own complicity in the eBay dropoff wild goose chase, and therin regain their power over their own lives. Could it be that RupertG is preaching that by blaming others, you are conferring your own power to control your life to someone else? That to regain your control, you must accept that no one put a gun to your head to follow Debbie and Ken down a dead end.

    Perhaps RupertG is a new prophet, sent to us to lead his people out of the wasteland of despair…

    (On the other hand, he/she could just be a jerk…)

    Thoughts?

  37. chance says:

    I never thought of RupertG this way, it brings tears to my eyes! Debbie sure knew how to pick em.

    As for those stores trying to close, there are some simple things that you can do to ease the suffering. I agree with Get Real, get help!

  38. RupertG says:

    Speechless.

  39. Snappy not Smart says:

    We can only hope RupertG continues to be speechless.

  40. Smart Snappy says:

    Every time he pops up you all go into attacks mode, and you just don’t see the humor…or lack there of.

  41. Smart Snappy says:

    Sean, you mention that you don’t understand how they are a functioning chain. Read the lawsuit and you’ll understand how.

    They have a very similar deal to that one, in fact maybe two that pay them roughly $15k/month. With one CEO, one VP of Everything, one part-time AM and one part-time Bookkeeper; they are actually in wonderful shape, from a corporate perspective. But the stores are tanking, but who cares about them really…

  42. chance says:

    Smart Snappy, as usual you make no sense! Read the law suit…you only have one side of it, and stop being naive, DG can lie to the courts just like she always has. You know its like the “little” lies she told about the franchise(some people call it fraud)-what makes you think she’s changed?! She hasn’t, and besides her legs aren’t that great!

  43. Smart Snappy says:

    I’m afraid that you don’t know much about business then.

    Those deal(s) are for real, and it’s the only reason why Snappy is still afloat…she can sell an Eskimo water.

  44. Snappy not Smart says:

    So what are the other “very similar deal to that one, in fact maybe two that pay them roughly $15k/month” Debbie has floating around out there? Show us your business sense and tell us what they are, who they are with and how they work.

    And isn’t the saying is “…selling ice cubes to Eskimos….?”

  45. Smart Snappy says:

    How do Eskimos make ice cubes?

    Clearly you didn’t read the lawsuit. They also have two other deals like that one.

  46. Smart Snappy says:

    One of the stores called me last night and said ALK quit.

  47. Karma says:

    I got a call too, and am joining the blog for once to say kudos to her. I have no doubt she remained loyal for as long as she could. I’m sure she couldn’t continue to stand beside such a terrible and unethical leader, which is obvious considering DG is now the last person standing in her once 30+ sized team. Oh and all of the people that she claims still work there to make her team look bigger than it really is? What a joke. Never heard of ‘em. Sorry Debbie, you can’t consider the mailman one of your employees even though you may see him every day. Karma is a b**** and your world is getting smaller.

  48. Newtoothis says:

    I read the lawsuit PDF and I didn’t see any mention of the two other clients. Where is this information???

    I think Smart Snappy missed the Eskimo joke. You see they are surrounded by ice. Why would they need to buy any more ice. Duh.

  49. Inquiring Minds says:

    Sean, you posted:
    Tennessee
    Nashville – Corp. [snappyauctions: 64 items*]
    Green Hills, TN [snappyauctions: 64 items*]
    Mt. Juliet, TN [snappyauctions: 64 items*]

    Does corporate own the Mt. Juliet Store???

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