Most people think sneaker reselling is about camping out for one hot drop, flipping it for a quick win, and repeating. That version still exists, but it's not the center of the story anymore.
What's more interesting is the Sneaker Reselling Business that looks boring on paper and strong in real life: steady sourcing, tight margins, fast turns, lots of repeat sellers, and a reputation you protect like it pays the rent (because it does). That's how Elik Gorelik built Sneaker Hustle, going from a $20 profit at 15 years old to moving roughly 1,000 pairs a week today.
From candy sales to sneaker flips: how Elik started at 15
Elik didn't wake up one day and become a sneaker seller. He started small, in the way a lot of real operators do. First it was candy at school, then gum, then duct tape wallets. The product changed, but the pattern stayed the same: buy low, sell fairly, repeat, and keep showing up.
He describes it simply: "I've been an entrepreneur since day one." That line matters because sneaker reselling has a learning curve, and you don't survive it on hype alone.
In high school, he noticed everyone wearing Jordans and wanted in. He went to eBay, bought his first pair (a Jordan 5 Independence Day), and realized he could make about $20. At 15, that felt huge. More importantly, it proved something: the market wasn't random, it had gaps, and he could spot them.
After that, the growth was almost mechanical. One pair turned into 10, then 100, then a lot more. He didn't treat profit like spending money. He treated it like inventory fuel. Every dollar went back into the next buy.
A few early lessons show up again and again in his story:
- Hunger beats perfect strategy, especially early on.
- Reinvesting matters more than "one big flip."
- Space becomes a real problem faster than you'd think when boxes start stacking.
If you want a broader beginner roadmap that matches this reinvest-and-repeat style, this guide lays out the basics clearly: how to start reselling sneakers.
Inside Sneaker Hustle: why a storefront changed the game
Sneaker Hustle operates out of Canoga Park, California, and the shop has been open for almost four years. The space is about 1,200 square feet, and the rent is roughly $3,000 a month, which is a strong deal for Los Angeles.
Walking inside, you get the real vibe fast: it's a store, but it also feels like a working warehouse because inventory is the business. They started with about 300 to 400 pairs. Now they carry around 1,200 pairs, with constant movement in and out, roughly 1,000 pairs a week.
Elik didn't open a store because it sounded cool. He opened it because he ran out of space at home, and he had a decision to make: warehouse or retail. He chose retail for a few reasons:
A storefront builds legitimacy. People trust a counter and a sign more than "some online guy" selling out of a bedroom. It also makes community part of the model. When people can walk in, ask questions, sell, trade, and come back, relationships form naturally.
He's also honest about the downside: they're cramped. The plan is to expand, make the shop look nicer for retail, and move the online operation into another space so both sides can breathe.
Customer spending in-store averages about $200 to $300, although some pairs go well above $1,000. Pre-owned pairs also create extra opportunity because cleaning and presentation can bump perceived value.
The $8,000 "wow" shoes, and why they aren't the real business
Any sneaker shop can throw an expensive pair in a display case. The smarter question is: does it actually move, and does it matter?
Elik shows a pair that makes most people stop mid-sentence: Air Jordan 1 Diors, priced around $8,000. They retailed for $2,000, and only 8,500 pairs were made. It's designer, it's limited, and it's a status item, so the price is driven by name and scarcity.
He's clear that high-end pairs like this are a small slice of business. They can take three to six months to sell. Sometimes they're more like a "shop flex," something eye-catching that brings people in. They can also attract higher-end clients, including celebrities.
Another wild example: Nike SB Dunk Low Canaries, with only 250 pairs made, listed around $6,500.
On these expensive pairs, the margin goal actually goes up because the capital at risk is so high. In the Dior example, he mentions paying about $6,000 and aiming to sell at $8,000. Trades can make the deal even better. If someone trades multiple pairs for one grail, the shop can profit on both the trade-in inventory and the grail.
Still, the core model isn't "wait months for one rich buyer." The core model is volume, steady demand, and enough operational discipline to survive thin weeks.
One useful outside read on how margins have tightened is this marketplace-focused breakdown: sneaker resale profit margins analysis.
Where the inventory comes from: walk-ins, bulk sellers, and events
The most important piece of a Sneaker Reselling Business is boring and constant: sourcing. In Sneaker Hustle, the counter is where everything happens. People walk in with stacks. On average, it's three to five pairs. Sometimes it's 50, even 100.
Elik estimates 50 to 60 percent of inventory comes from walk-ins now, and the rest comes from relationships, reseller connections, store liquidations, sneaker events, and bulk deals.
One detail that stood out is how open they are about buying "almost any shoe." Many stores only want what's hot. Sneaker Hustle will also buy random Air Maxes and other lower-end pairs, as long as they aren't destroyed. They even have a bin for used, no-box, lower-end inventory. That approach keeps deals flowing because a seller doesn't have to curate a perfect stack to get paid.
Cash is what most sellers want. He says roughly 70 to 80 percent choose cash, while the shop prefers store credit because it keeps money inside the store and moves product. Even so, they lean into speed and service. He claims about 98 percent of walk-ins end in a deal.
How they price offers without turning it into a fight
Their offer system leans on the same references most buyers use: StockX, GOAT, and eBay. The logic is straightforward:
If a brand-new pair sells for $200, a worn-once pair might only sell at $150. Then the shop needs margin, so the buy offer might land around $110 to $120 to leave room for profit after labor and selling fees.
The best line here is the intention: both parties should win. That's not just "being nice," it's how you get the same seller to come back every week.
If you want another structured look at reselling fundamentals across categories (not only sneakers), this beginner guide is clean and current: how to start reselling in 2025.
Buying 400+ pairs at once: the real meaning of "scale"
At some point, sneaker reselling stops being a "cop one pair" game and becomes a logistics business. Elik visits a reseller named Mark who sells to them every week, and this time it's a huge lot, around 455 pairs.
There's a quick moment where Elik does the math out loud: average price per pair times 455, and suddenly it's a five-figure deal. Negotiation goes back and forth, and they even settle a final adjustment with a $100 coin flip.
They land at roughly $16.80 per pair on average. Elik believes the whole lot will sell in under a week. That's the volume mindset in one scene: small margin per unit, fast movement, and repeat supply.
He also shares advice that fits almost any buying business. In the beginning, sometimes you pay a seller's price once to build trust. After that, negotiating gets easier because the relationship is real.
The relationship often starts with one "yes" you don't love, then it pays you back for years.
Thrift store sourcing: the roots are still useful (if you stay sharp)
Elik also goes back to an earlier sourcing method: thrift and vintage stores. The pitch isn't that every thrift trip is magic. It's that once in a while, you find mispriced pairs, and those wins can carry your week.
He estimates thrift flips can land around 20 to 50 percent margin, especially if you can clean pairs up quickly. They spot good finds, including a Jordan 4 for $50, and mention it's one of the most popular silhouettes right now.
Then there's a critical beginner lesson: one pair in the store looks suspicious, so they Google it. The shoe appears to be a "Suzuki RG500 Ninja" themed sneaker, but the release doesn't exist, so they pass.
That moment is small, but it's the real work. Checking saves money. Ego costs money.
If you want a more step-by-step starter checklist for building a shoe reselling operation (licenses, setup, and all), here's a detailed overview: how to start a shoe reselling business.
Fakes, legit checks, and the cost of being "too trusting"
Fake sneakers walk into the store constantly. Elik says it happens pretty much every day, and about half the time the seller doesn't even know they're fake. The problem now is quality. Many fakes look good enough to fool beginners.
He admits he bought fakes early on. When that happens, you either pass the loss to someone else and destroy your name, or you take the loss and protect your reputation. He chose the loss.
His quick tells are simple but practical:
- Shape (it's easier once you've handled a lot of real pairs)
- Materials (cheap pairs compress or "crumble" differently)
- Smell (strong chemical glue smell can be a giveaway)
They also use third-party legit-checking apps for higher-end pairs, but he doesn't treat apps like a magic answer. Experience still matters, and asking colleagues helped him early on.
The bigger warning isn't only about fakes. It's about scams. Elik shares a painful one from his first year. After one successful deal, he trusted someone selling a collection fast, sent $5,000 upfront, and got ghosted and blocked.
That loss didn't end the business, but it forced a mindset shift: double-check everything, and don't let excitement override basic caution.
Live selling on Whatnot: why $1 starts can still work
The shop isn't only in-person. A major part of their volume comes from live selling on Whatnot.
They set up for a stream and explain the pace: sometimes three to five shoes per minute. A typical stream runs four to five hours, and they can sell 300 pairs in a session.
Elik says they've been streaming for over two years and built about 200,000 followers. The growth driver is consistency. They went from two streams a week to four or five, and the more they're live, the more the audience compounds.
The strategy sounds scary if you've never done auctions: start at $1 with a 20-second clock. Yes, that can mean selling below cost sometimes. They accept it because the math works across many sales. Lose on 10 to 20 pairs, break even on some, then profit on most.
In a short session (around 20 to 25 minutes), they move 23 pairs and do about $1,700 in revenue. They also admit it was "slow" by their standards, which tells you what their normal pace looks like.
If you're curious about profit tactics resellers use across platforms, this overview is a helpful companion read: how resellers get better margins.
The numbers: revenue, margins, overhead, and why reinvesting still wins
The headline number is simple: roughly $300,000 a month in revenue, which is $3.6 million a year. The more important detail is what's under it.
Elik frames profit around 20 percent, so about $240,000 goes to inventory and about $60,000 is profit (roughly). He also says the business has grown through stages, from $10K months to $20K, then $100K, then into the $300K range.
The break-even overhead (not counting inventory) sits around $20,000 per month. Here's what that looks like with the numbers he shares.
| Expense category | What he shared | What it suggests |
|---|---|---|
| Rent | ~$3,000/month | Good lease helps margins |
| Payroll | ~$10,000 to $12,000/month | 5-person team |
| Ads | ~$2,500 to $3,000/month | Google plus social platforms |
| Baseline overhead | ~$20,000/month | Keep the lights on |
The takeaway is pretty blunt: if you don't manage cash flow, inventory eats you alive.
He also keeps his personal pay low and reinvests most of what the business generates because he wants to expand space and grow the team. It's not glamorous, but it's consistent with how the business was built from day one.
Why used pairs can beat new pairs on margin
Their inventory mix shifts by channel. In-store, it's about 70 percent new and 30 percent used. On Whatnot, it's closer to 60 percent used and 40 percent new.
Used pairs often offer better margins because the buy-in can be dramatically lower. Elik gives a clear example: a brand-new dunk has a retail price around $115, so the shop might need to buy it at $70 to leave room. A used pair might cost $20 to $30 and sell for $40 to $50. The dollar profit can be similar, but the percentage return is stronger.
The sneaker market changed, and the old rules don't work now
Elik has watched sneaker culture shift hard. There were times when people lined up for days. There were even stories of violence around releases. Now, many shoes sit in stores. That's good for buyers, but it squeezes resellers.
His response wasn't panic, it was adjustment:
Honesty stayed non-negotiable because reputation compounds. He also got comfortable taking losses. In the current market, waiting forever to "win" on one pair can freeze your cash. Sometimes the smart move is to sell, take the hit, and redeploy money into better opportunities.
Trend awareness matters too. He points out that brands change. ASICS used to be dismissed as dad shoes, now they're hot. New Balance resale is real. Meanwhile, classic Jordans don't hit like they used to. Comfort is pulling buyers away from stiff, heavy silhouettes.
One more thing keeps them ahead: work ethic. Packing hundreds of orders sounds cool until you realize it can take five to eight hours of straight work after the stream ends. He's willing to do the parts many people skip.
What I personally took away from Elik's approach
I'll be honest, I used to think sneaker reselling was mostly a "lucky drop" business. If you didn't hit the right release at the right time, you were out. This story messed with that assumption a bit.
The thing that stuck with me most was how normal the day-to-day looks when you zoom in. A counter, a routine, constant legit checks, lots of small negotiations, and a lot of unsexy work after hours. Even the marketing piece feels less like magic and more like repetition, showing up on TikTok, Instagram, and short videos until the audience finally remembers you.
I also keep coming back to the idea that trust is the product. Shoes are the inventory, sure, but trust is why sellers bring stacks to the counter and why buyers return without anxiety. That part applies outside sneakers too. Once your name gets attached to "honest and consistent," you don't need to scream for attention. People do some of the selling for you.
Finally, the willingness to take losses (without drama) felt like a quiet superpower. No coping, no blaming the market, just a simple choice: sell, learn, and keep money moving.
Conclusion
Sneaker Hustle didn't reach $300K a month by chasing only the rarest pairs. It got there by building a high-volume Sneaker Reselling Business with strong sourcing, careful legit checks, repeat relationships, and the stamina to handle thin margins. The market may be calmer now, but that doesn't mean the opportunity is gone.
It just rewards operators who treat it like a real business, and protect their reputation like it's inventory. If you had to pick one part to copy first, would it be the sourcing relationships, the live selling consistency, or the decision to reinvest instead of cashing out early?
Photos Credit: UpFlip Youtube