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October 27, 2025My Coin Grading Struggle: The Real Costs of Launching a Sticker Service
After six months and $18,000 in lessons learned, I want to share the naked truth about starting a sticker grading company. Like many collectors, I spotted inconsistencies between CAC-stickered coins and newer CACG specimens. I thought I’d found a golden opportunity – turns out I’d barely scratched the surface of this complex niche.
The Moment Everything Changed
It all started with three Morgan dollars sitting on my desk:
- A PCGS MS-65 wearing that green CAC sticker
- A “naked” PCGS MS-65 with no sticker
- A freshly graded CACG MS-65 I’d submitted myself
The unsticker PCGS coin clearly outshone the CACG piece. That’s when it hit me: Could a truly independent sticker service actually help collectors like us?
What I Got Wrong At First
My original plan focused on:
- Complete independence from grading companies
- High-tech digital verification tools
- Covering all U.S. coin series
Nearly everything about this approach was flawed.
Six Brutal Lessons From the Front Lines
1. The Third-Party Reality Check
Remembering @TomB’s forum comment still stings:
“Maybe we just need to get better at judging coins ourselves.”
That single sentence destroyed my initial business model. Collectors didn’t want another opinion – they needed education.
2. The $18,000 Branding Mistake
Why does CAC command respect? Three reasons:
- Four decades of market presence
- Relentlessly consistent standards
- Zero ties to grading companies
I blew through my marketing budget in 90 days trying to compete directly. That check still smarts.
3. When Technology Backfired
I poured weeks into coding what I thought was revolutionary:
function verifyCoin(coinData) {
const algorithm = new CACComparisonEngine();
return algorithm.analyze(coinData);
}
Turns out collectors wanted John Albanese’s eye, not my JavaScript. My tech became a supplement rather than the main event.
How Focusing on Mercury Dimes Saved My Business
The turning point came when I narrowed my scope from all U.S. coins to one specialty:
| Before Change | After Change |
|---|---|
| Every U.S. coin series | Only Mercury Dimes (1916-1945) |
| $25 per sticker | $49 premium service |
| Mail-in only | Hands-on at major shows |
The Mercury Dime Difference
Specializing changed everything:
- 320% more submissions
- Faster 3-day turnaround
- 67% dealer acceptance (up from 12%)
Six Months In: Naked Numbers
The financial journey tells its own story:
- Month 1: $1,200 (panic sets in)
- Month 3: $4,500 (still bleeding cash)
- Month 6: $18,700 (finally breathing)
The shift happened at Month 4 when Mercury Dimes became our sole focus.
Practical Advice From My Wallet to Yours
For Grading Startups
- Become obsessive about one series
- Lock in dealer partnerships first
- Budget for education, not just ads
For Serious Collectors
- Study surfaces, not stickers
- Use verification as a learning tool
- Find your specialty dealer soulmate
The Three Sticker Truths That Hurt
1. Sticker inflation: More stickers = less meaning per sticker
2. Collector fatigue: We’re all tired of verification upsells
3. The human factor: No app replaces 10,000 handled coins
“True verification needs independence,” as one collector perfectly put it. That became our north star.
Where I Landed After $18k in Mistakes
Six rollercoaster months taught me:
- The last thing we need is another generic sticker service
- Deep niche focus can build sustainable businesses
- Real value lives in knowledge, not plastic or stickers
My sticker company survives today not because we slapped labels on slabs, but because we help collectors truly understand Mercury Dimes. Sometimes the biggest opportunities come from solving small problems exceptionally well.
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