2019 will see the global race to dominate the secondary market for luxury watches heat up. Scaling up fast will be crucial when the likes of Ebay, Amazon and Chrono24 are competitors, which might explain why New York-based TrueFacet has gone back to investors for another round of funding.
TrueFacet, like Chrono24, is a marketplace linking buyers and sellers, and does not buy the stock that it sells; the model preferred by Watchfinder, Watchbox and Bob’s Watches.
It does authenticate every watch once it has been sold. “Before an item you purchase is delivered to you, the seller first provides it to TrueFacet,” the company describes.
“Expert gemologists and watch experts will examine the item and any associated documentation to determine if the item is authentic. If TrueFacet believes that an item is not authentic, it will cancel the transaction, refund your money, and return the item to the seller. If TrueFacet believes that an item is authentic, the transaction will proceed, and you will receive a TrueFacet Report attesting to the professional opinion that the item is authentic. If you are not satisfied that the item is authentic, simply return it to TrueFacet and we will refund your money to you – no questions asked,” it adds.
The company also acts as an authorised dealer for pre-owned watches directly from brands. Most of these watches are buy-backs from the brands’ own retail partners so are sold brand new with papers at a discount.
The current funding round for $10 million appears to be almost complete, according to documents filed with America’s Securities and Exchange Commission that show $7.1 million from $9.9 million of shares on offer having been sold.
- WatchPro will be interviewing TrueFacet’s chief executive Tirath Kamdar at SIHH next week for an article online and in the February edition of the magazine.