DIXON, CA (MPG) – Due to his job in construction, Mike Scott, like many heads of households, spent much of his time away working and driving long distances, leaving his wife, Samantha, and their daughter at home. On the side, however, Mike was also starting to spend his extra time in Dixon reselling merchandise through his company, Charity Shop Wholesale. Then, the pandemic came and as people flooded online to purchase almost everything, they also returned tons of merchandise which created an amazingly large uptick in Mike's liquidation endeavor.

People were losing their jobs and they were looking for ways to make money so reselling merchandise online is one way to do that. He stopped doing construction altogether as this gig soared.

"Most of our customers are mom and pop businesses and minimum-wage earners," Mike said. "They resell on Facebook's MarketPlace, eBay, OfferUp, or at flea markets." It's a great way to bring in some extra money but some people can make a living at it. He told of one of his customers who handles just furniture and now makes $20,000 a month out of his garage.

The popularity of this kind of business might have been fueled by a Netflix show called Extreme Unboxing. The show follows a group of larger-than-life personalities from across the country as they buy liquidated merchandise for pennies on the dollar and unbox it with hopes for big profits. A pallet at the Dixon business can range in price between $200 and $600 depending on the company it's from.

As Mike spoke, he sat on the seat's edge of a forklift like someone who doesn't sit still for long. In the background were dozens of pallets piled high with what appeared to be brand new merchandise and a man and a woman looking over them. The pallets take up a large parking lot at 529 North Adams, next to Fisk's Cyclery.

"We started here with about four trucks a month and now we have 12 trucks a month. Each truck has roughly 20 to 26 pallets and typically by the end of the week we sell through everything we have," Mike said. He quickly rattled off that 30 percent of returns are from buyer's remorse, 30 percent are returned for the wrong size or color, 25 percent are returned because something is damaged but could be a dent or scratch, and 15 percent are other reasons; so it's a very small percentage that are damaged but stores never put it back in inventory. That creates an opportunity for reselling through liquidators. Add that companies are wanting the tax write-off if they donate the unwanted items to a non-profit or charity. 

The suppliers for the Scotts' company are no small names in retail: Lowe's, Amazon, and Home Depot. The couple is already negotiating a larger space out on Pedrick Road. Their fast growth is the result of people being forced to shop online where they can't see, touch, or try on merchandise due to the pandemic, but it definitely helps that Mike has an extensive background in sales and marketing.

"I’ve worked for companies like Apple computers, Hollywood video, GNC, and 7-Eleven as district manager or in regional sales director roles, but I’ve always been an entrepreneur at heart. I’ve always had some kind of side hustle like consulting, Internet businesses, or construction business," he said. "Let’s just say I’ve had some successes and a lot more failures, but I’ve learned from them. I would say wow, we’ve had quick success--but this is a combination of twenty-plus years of working hard and figuring things out."

He's had a lot of support by Samantha, his wife of ten years, who used organization skills as a Veterinarian Technician at UC Davis for several years until coming home full time to help with the business and their daughter's schooling. Their daughter, who attends Neighborhood Christian School, works on her school tasks in the office close where mom or dad can help. The couple also have family in Dixon, too.

"It's all been a humbling experience," said Samantha. "It feels good to help people. Mike would be out in the fields and was never home. Now, we work together and complement each other. If he's upset, I can calm him down and tell him it's going to be okay. We also bounce ideas off each other."

"I really attribute a lot of our success to my wife because she’s always stood by me and put up with all my hair brain ideas. She is vital to making this business a success," said Mike. This week, they opened their online auction. Read more on their Facebook page: Charity Shop Wholesale LLC or call (916) 844-9108. Sales are by appointment only due to COVID restrictions.