The second and final purchase I made in Cologne was the Franz Roubaud painting I had trouble with at customs in France. What an experience, what a trauma and torture by the officers of the law in France.
It was a bad omen for the painting and its prospects. I wanted to get rid of it quickly because of that but also because I needed to sell paintings in order to buy others. I was an active buyer and seller and nothing was bought for keeping, when it came to thousands of pounds worth of paintins.
The plan was to sell Roubaud in New York where all these paintings with a Russian or Arab content sold much better than in Europe. I had already bought another Russian painting by Sommers, which I got rid off as always, too early and in the process lost two hundred pounds too.
Paintings and art are not tomatoes. They do not go off! Today and at the moment of writing Roubaud and Sommers sell around fifteen thousand pounds for even small items. I was always impatient and nearly always selling below market expectations. Patience my boy! Patience!
Could I keep one of these paintings for my own collection? No, I could not afford to do that yet. These paintings were expensive and if the price was right, they were all for sale. They were for immediate sale as a matter of fact but that proved to be in most cases not the best policy and business model.
Trading on the quick and making 30% was preferable to 50% over a year. The Roubaud painting cost 1700 pounds at auction and by the time it arrived in New York, it cost me 2000 plus. The selling price was close to 3,000 pounds and ….
There Was Risk Of A Loss
Th investment went sour once I had to pay 170.00 fine in France. There was one hundred pounds shipping cost and about 150.00 car costs to Cologne and back. Expense here and there made the sale imperative and getting rid of the painting.
Being in a rush to sell was always a problem with me and always, nearly always was a problem with all sales. If only I could give the paintings a chance, they would reward me handsomely. I was inesting in very good artists but I had to sell quickly because I had no cash flow to help me.
The Roubaud painting sold for 2700 pounds net in New York. That returned me about 500.00 net for all my labours. That was not a great joy but it was not a loss either. I must add here that Roubaud was a popular artist then among the American collectors but after 2000 it has been the Russians who propelled his prices into 20,000 plus for similar works as the one I sold.
Patience is Golden at times!
That was the end of 1987 but in between there were seismic events that influenced the world as a whole and nearly brought the world financial meltdown. The Stck Exchanges Crash in October 1987.
How did I manage? What was the effect on my business?
How lucky or unlucky was that event for me?
