Gibson selling fractional shares of prototypes of Iommi and Slash guitars?

[Tucson Thump]

I do securities analysis for a living, so I will put on my polite and factual face and simply observe:

Gibson is taking a guitar that costs them under $1,000 to make - then selling it for $65,000 to $100,000.

=K

Seems to be the thing. I read about a company that is buying home in Sonoma and Napa counties and then selling fractional shares. At the prices they were asking they could buy a house for $1,000,000 and sell the shares amounting to a value of $2,000,000. Gibson seems to be doing it at a higher profit margin.

 

[Boogie]

Seems to be the thing. I read about a company that is buying home in Sonoma and Napa counties and then selling fractional shares. At the prices they were asking they could buy a house for $1,000,000 and sell the shares amounting to a value of $2,000,000. Gibson seems to be doing it at a higher profit margin.

In the 50s/60s, it was oil wells…

 

[GADonis]

Seems to be the thing. I read about a company that is buying home in Sonoma and Napa counties and then selling fractional shares. At the prices they were asking they could buy a house for $1,000,000 and sell the shares amounting to a value of $2,000,000. Gibson seems to be doing it at a higher profit margin.

So it's a Time Share but with guitars. Does the guitar travel to me to have for some fixed amount of time or do I have to travel to the guitar? Is there a really long, boring presentation I have to sit through? After said presentation is there at least a weekend cruise or ski trip I get to go on?

 

[NazgulUK]

I've got some silicon snake oil for sale, any takers?

 

[11top]

Ownership of an EDS-1275 doubleneck model approved by Slash, of the band Guns N’ Roses, was chopped into 13,000 parts and sold for $5 apiece to 562 investors in just two hours.

$5? “Investors”?

LOL.

(I realize from the math that some have purchased multiples, but still struck me as funny.)

 

[aphantomvaper]

$5? “Investors”?

LOL.

As they said in Robocop..."I'll buy that for a dollar! "

 

[11top]

My first new Gibson guitar; ‘76 black beauty:



Who’s in?

 

[Slowhands]

In the 50s/60s, it was oil wells…

The dutch Tulip mania in the 1600s is the classic analogy. Tulip bulbs became the hottest commodity in Europe for a couple of years, prices skyrocketed, new never before tried ways of buying / selling paper interests in bulbs (but not actual bulbs) and then suddenly it all collapsed. When people start making irrational decisions to invest in things that have no inherent value (or at least not compared to whet the investment costs) it's a sign of the bubble getting ready to pop. Same with the tech bubble in the late '90s.

Of course this is only a warning sign for collector guitar prices if people actually get excited about this fractional ownership thing and buy into it. So far I don't see a lot of enthusiasm for it.

 

[Screamingdaisy]

I should do this to fund a new R9. I’ll maintain 51% ownership and sell the rest of it to you guys for $5/share. Then, I’ll sell it in 5 years and pay out whatever it’s worth at that point.

 

[Tony M.]

So this is like timesharing with guitars
but you never get to use the part you own?

 

[Drew]

Perhaps Gibson should focus on some semblance of consistent quality instead of this; a fractional share of a prototype copy of the original artist's guitar.

Or am I being too harsh?

I don't know what Gibson is doing with these fractional shares. Couldn't care less. But, in regards to the guitars, you ARE being too harsh. Gibson quality hasn't really been an issue for a few years now. Even before the new regime, the last couple of years of Henry J saw a pretty decent improvement in quality and that has only improved more since. The 2016 model year is when things really started to turn around. Do the guitars have PRS levels of attention to detail in regards to setup? No. No production guitar of that scale will. However, the build quality is pretty nice now. Non weight relieved LP standards are still $2500. Even if you have to figure for some tech time to more dial in the guitar, you are still very much under 3k total invested in an actual LP, where the basic 594 is at $3900ish. I've purchased 2 brand new Gibby guitars since 2018, a V and an LP and both are/were fantastic.

Moral of the story. Lets not bash the competition just to bash the competition, especially if your bashing isn't based on fact or first hand experience.

 

[Tucson Thump]

I don't know what Gibson is doing with these fractional shares. Couldn't care less. But, in regards to the guitars, you ARE being too harsh. Gibson quality hasn't really been an issue for a few years now. Even before the new regime, the last couple of years of Henry J saw a pretty decent improvement in quality and that has only improved more since. The 2016 model year is when things really started to turn around. Do the guitars have PRS levels of attention to detail in regards to setup? No. No production guitar of that scale will. However, the build quality is pretty nice now. Non weight relieved LP standards are still $2500. Even if you have to figure for some tech time to more dial in the guitar, you are still very much under 3k total invested in an actual LP, where the basic 594 is at $3900ish. I've purchased 2 brand new Gibby guitars since 2018, a V and an LP and both are/were fantastic.

Moral of the story. Lets not bash the competition just to bash the competition, especially if your bashing isn't based on fact or first hand experience.

Glad you are happy with yours. As for Gibson's current quality control I can only go on what I read in multiple Les Paul forums, and there is discontent, hence my comment about focusing on consistent quality. This discontent is not a recent happening.

My two Les Pauls Heritage models, two Heritage Korina Vs, two Heritage Korina Modernes, a Custom Shop Korina Explorer, Byrdland, and ES-335 Dot Neck were all built in the 1980-1982 period after Gibson had realized that their late 1970s production standards had damaged their reputation and made a concerted effort to improve their products. This was when Tim Shaw was involved and even then he recalled that the Norlin accountants were placing limits on various aspects of pickup development, materials and overall production.

The early 80's guitars I own and have played have been very good quality in comparison. My overall comparison is to a 1959 ES-345, a 1962 Les Paul/SG, a 1963 ES-350TDC, a 1965 SG Special, and a 1969/70 ES-355. With that said I stand by my statement that the 1950's and 60's Gibsons are better guitars than the 1970's products from the Norlin era.

I bought two new Les Pauls in 1990. The sunburst one was ok but nothing special and was traded. The all-gold "goldtop" had paint runs under the clearcoat on the bottom side but was signed off on the quality inspection card I have an SG bass from about six years ago that has a divot out of the wood under the clearcoat where the neck tenon goes into the body and was also signed off on the quality inspection card.

I guess I still lack enough experience with the brand to understand the moral of the story. Such is life.

 

[11top]

I don't know what Gibson is doing with these fractional shares. Couldn't care less. But, in regards to the guitars, you ARE being too harsh. Gibson quality hasn't really been an issue for a few years now. Even before the new regime, the last couple of years of Henry J saw a pretty decent improvement in quality and that has only improved more since. The 2016 model year is when things really started to turn around. Do the guitars have PRS levels of attention to detail in regards to setup? No. No production guitar of that scale will. However, the build quality is pretty nice now. Non weight relieved LP standards are still $2500. Even if you have to figure for some tech time to more dial in the guitar, you are still very much under 3k total invested in an actual LP, where the basic 594 is at $3900ish. I've purchased 2 brand new Gibby guitars since 2018, a V and an LP and both are/were fantastic.

Moral of the story. Lets not bash the competition just to bash the competition, especially if your bashing isn't based on fact or first hand experience.

I can only attest in regards to Gibson Custom shop, but beginning in 2013, reissue LPs are top notch quality. I have bought a number, and I’m not afraid to buy a ‘13+ without trying it out; the quality has been that good. And by going through the made to measure program, you can be assured of getting a non-chambered LP weighing 8.5 lbs or less.

On another note (pun intended), one of the things I especially like about this forum is that we rarely dis other brands. Its one of the positives that sets our group apart from other forums.

 

[Tucson Thump]

On another note (pun intended), one of the things I especially like about this forum is that we rarely dis other brands. Its one of the positives that sets our group apart from other forums.

Perhaps this was in regard to my saying that they should concentrate on consistent quality (not including the custom shop evidently) rather than come up with the aforementioned scheme? Some days I wake up feeling so heavy-handed

 

[Moondog Wily]

Leatherface you B!tch! You ruined my best Sonny Bonno Wig!! Now I'm flashback, now I'm flashback!!!

 

[Herr Squid]

I do securities analysis for a living, so I will put on my polite and factual face and simply observe:

Gibson is taking a guitar that costs them under $1,000 to make - then selling it for $65,000 to $100,000.

=K

So it's a stupid-looking way to rack up a stoooopid profit margin. That's dumb and smart!