Consignment Store Policies Guide
Clear policies are the backbone of a successful resale business. They prevent misunderstandings with consignors and protect your store's bottom line from "difficult customers" and inventory stagnancy.
1. Consignor Intake Policies
Establishing how and when you accept items is critical for labor management.
- Appointment vs. Drop-off: Will you accept items anytime, or do you require scheduled slots?
- Item Limits: Limiting consignors to "2 bins per visit" prevents your backroom from becoming overwhelmed.
- Condition Standards: Explicitly state that items must be "freshly laundered, smoke-free, and free of stains/tears."
2. Pricing and Markdown Schedule
In consignment, inventory that doesn't move is an expense. Your policy must allow for automatic markdowns.
- 30 Days: Full Price
- 60 Days: 25% Off
- 90 Days: 50% Off or Donation
Ensure your payout policy reflects whether the consignor gets their percentage of the *original* price or the *sold* price.
3. Return Policies for Shoppers
Most resale shops operate on an "All Sales Final" basis because once a consignor is paid, reversing the transaction is a bookkeeping nightmare.
- Authenticity Guarantee: If you sell luxury goods, you may need a specific policy for returns if an item's authenticity is challenged.
- Store Credit Only: If you choose to allow returns, consider offering store credit to keep the revenue within your ecosystem.
Why Policies Must Be Written
Never rely on verbal agreements. All of these rules should be summarized in your Consignor Agreement. Displaying your shopper policies at the POS station also reduces friction during checkout.
Related Resource: Learn about Handling Difficult Customers when policy disputes arise.