Hello readers of Coin Thrill! I’m Jesse Gernigin, the proud owner of Ken’s Coins, a coin, gold, and estate shop located in East Alton, Illinois. I took over the shop four years ago, buying it from the previous owner’s assistant after the original owner, Ken, had passed away two decades earlier. Unfortunately, the business wasn’t thriving under her management, so when the opportunity arose, I seized it. Ken’s Coins has been serving the greater St. Louis area since 1969, and in the Midwest, longevity matters. I’ve been running it ever since, and what an adventure it’s been!
People often ask how I got started with coins. Surprisingly, it all began at an auction where I was intending to purchase a futon for college. Instead, I stumbled across some silver dollars (Morgans), and out of curiosity, I bought one for $14. This was before silver prices spiked, and I was immediately hooked. The passion for coin collecting was ignited.
Initially, I tried collecting the classic Morgan dollars but soon realized that my college budget wouldn’t support that. A local dealer suggested I switch to collecting dimes, but they didn’t interest me. Instead, he introduced me to Franklin Halves, which I found fascinating. My first completed set was a Dansco Franklin collection, a journey I recommend to anyone looking for a challenge beyond a simple #2 wheat penny Dansco book. I later traded my Franklin set for five highly graded NGC Seated Liberty Half Dollars and eventually moved into gold coins just before gold prices soared. This profitable venture enabled me to buy Ken’s Coins outright, debt-free.
Owning a coin shop is an absolute blast. I learned more in my first year than during my entire college education. Running Ken’s Coins feels like earning a Ph.D. in negotiation, pricing, valuation, and patience. Every day brings its own set of challenges and opportunities.
I opened my shop during an all-time high for gold and silver prices, which taught me the importance of having cash readily available. Once, a customer came in wanting to sell over $30,000 worth of gold, expecting 97% of its value due to the sheer amount. Although I could have made a quick $900 profit by melting the gold, it required three days to process and would have left me short on cash. I turned down the offer and, the very next day, a customer with a remarkable silver type coin collection came in. She mentioned another dealer couldn’t purchase her collection because he had just spent all his cash on gold. I ended up making over $1,000 from her $2,500 collection—a far better deal.
Many coin enthusiasts dream of owning a shop, believing it’s all about community, coins, and attending shows. However, it boils down to three key questions: Can I make money? Running a coin shop is a pre-internet business model with surprisingly resilient profit margins. Serious collectors value more than just bargain prices, although a good deal is always appreciated.
Business ebbs and flows with the seasons. Spring, during tax season, brings in valuable items from people needing to raise money. Summer attracts tourists and out-of-town collectors, which is my least favorite due to persistent haggling inspired by reality TV shows. Winter and fall bring their own unique challenges and opportunities.
Having cash on hand is crucial. I maintain a modest amount in the shop and have quick access to more significant funds at the bank. This capability allows me to handle any customer, whether they’re selling thousands of Morgan dollars or a collector’s trove of NGC-graded coins. Being well-capitalized sometimes means I’m the only dealer equipped to handle large transactions in the area.
I’ve experienced my fair share of challenges. I’ve been called names, threatened, and even offered unsavory deals. From scams to robberies, I’ve seen it all. Two memorable incidents stand out:
In my first year, a woman called wanting to sell “poisoner rings” — rings with secret compartments for poison. I suspected they were replicas but invited her to the shop. To my surprise, she arrived with a capuchin monkey on her shoulder, and it reeked! Unfortunately, she was an addict, as evidenced by her poor dental health, and, unsurprisingly, the rings were fake. Nevertheless, I bought some gold rings from her.
Another time, a man walked in carrying eight tubes filled with $20 Liberty gold coins—160 coins in total. He had no idea of their true value and only knew they were worth more than $20 each. Trusting me to broker the deal, I managed to convert his gold into silver, helping him avoid significant taxes.
Owning a shop can be wildly exciting or exceptionally quiet. Today, while writing this, a gentleman came in to sell a $10 Indian gold coin along with some Morgans. Yesterday, not a single customer or order came through.
In conclusion, if you’re wondering if I’d do it all over again, the answer is absolutely yes. My love for coins, buying, selling, and learning, coupled with the incredible experiences I’ve had running Ken’s Coins, is irreplaceable.
Got a question for me? Drop it in the comments below!
