29707 Ellensburg Ave
Gold Beach, OR 97444

Gold Beach Books – Seller’s Narrative February 2018 Gold Beach Books was opened in 2003 by Ted Watkins, a native Oregonian, voracious reader and retired Philadelphia attorney. Ted, a lifetime bachelor, sadly passed away from cancer in January 2016, leaving his estate to his four sisters, all of who reside in the Portland area. The purpose of this paper is two-fold: first to provide an overview and historical review of the business, and second to highlight possible opportunities to expand the revenue and reach of the business. In the late 1990’s, Ted purchased a large parcel of land with a dilapidated building on Hwy 101 in downtown Gold Beach, Oregon. He worked with an architect to design a 12,000 square foot, two-story building which would house his dream bookstore business. The expertly constructed building was specifically designed and built to the highest standards knowing it would be supporting thousands of pounds of books. During construction in 2002, a raging fire, dubbed the “Biscuit Fire”, burned nearly a half a million acres in the hills to the East, prompting Ted to name his building after that fire. What emerged was a beautiful building that quickly became a cornerstone of the community. The Biscuit Building, which houses Gold Beach Books and a coffee shop, has been host to many gatherings, art exhibits, book signings, plays and concerts. In addition, the “Open Mic” nights and book signings with local and national writers were always quite popular. The bookstore has over 60,000 volumes across a wide spectrum of subjects. Ted was very particular about the used books he brought in, always making sure they were clean and had no mildew or other undesirable traits. That is one of the subtle things you will notice when you step into the store -- it is odor free -- unlike many used bookstores across the country! Ted could be best described as “old school”. As a used and rare book aficionado, he was happy to only have his bookstore “generally” organized by categories. This allowed people to enjoy what he called, “the thrill of the hunt”. That is not to say that the books are haphazardly shelved. They are in neat categories, such as fiction, history and mystery. But the inventory is not cataloged or electronically recorded. That does not stop customers from purchasing over 20,000 items per year. To know Ted was to know his deep avocation for books. He was successful enough in his law career to retire at the age of 38 and all he wanted to do was get back to Oregon and open a bookstore on the coast. Ted became very active in the Gold Beach community, serving on local committees and organizations. If he had his druthers, he would probably never had sold a single book but kept himself surrounded by his collection forever! This may be an overstatement, but suffice it to say he loved his books. During Ted’s illness, he turned the day-to-day operations over to a trusted manager as he was in Portland for much of the last 18 months of his life. The manager, along with two staff members, operates the bookstore seven days a week and does a fantastic job. Ted’s sisters rotate their time at the store, mainly concentrating on going through his personal belongings and collections. Through the years, Ted typically did not make money running the bookstore. In reviewing his financials, we noted he spent a lot of his revenue on the purchase of additional books. Since his death, the bookstore has made a profit and 2018 projections continue the upward revenue trend. But a bookstore cannot only be judged by its profit margin. What it needs is another owner who can take over where Ted left off. Someone to value the community of Gold Beach, someone to embrace the laid back lifestyle and the quirkiness that is the Oregon coast. Someone who welcomes both sun and rain and sees both as opportunities to get more people buying and reading. When we thought about opportunities to make Ted’s bookstore more profitable, the following ideas came to mind: • Have the owner also be a worker – Ted was more of an owner than a worker (as a lawyer he was use to having staff and having four sisters he was use to being catered too!) • Consider listing books on the Internet to gain an international exposure and greater opportunities for sales. Currently only approximately 3k books are listed online. • Resume buying used books from customers to keep the inventory refreshed. • Consider new book sales, such as NY Times best sellers. • Increase artwork installations and sales. • Expand the sales floor by converting the second level apartment into showroom space; convert second level secluded rooms into showroom space. • Rent offices upstairs. • Rent the “rare bookroom”, “poker room” and / or atrium for special events. • Consider expanding the café to include local catering. These sorts of things could significantly enhance the profit margins of the business. Gold Beach, and the Southern Oregon coast, is home to many noted authors, actors, dignitaries and athletes. Maybe it will be the perfect place for you to flourish as well. Your inquiries are encouraged, as is your visit to this beautiful part of the United States. To see the beautiful building and bookstore that Ted built, take a video tour at: http://www.oregoncoastbooks.com/video.htm