Both my grandpa and dad owned multiple furniture stores. I cannot speak to every business model, but for reference these were not large operations so they paid more for their inventory than a larger or chain store would. Most furniture has at least 100% markup, but that would be the least profitable on the floor. Mattress markup is much higher, closer to 200%. Used furniture is typically an even higher markup, but I imagine that has changed with craigslist and facebook. I would say the larger chain companies get a higher markup, probably aim for an average of at least 200% markup. My dad had a tough time competing with the larger stores because they had such easy financing options. He also complained at how much more he paid since he was unable to buy everything by the truckload, due to his holding capacity. He was a bit hard headed and refused to stock the "junk" most chains carry. To give you an idea of how important selling on credit is to a furniture business, Lacks lost their finance company in the downturn so the owner decided he had made plenty and just liquidated and closed all his stores. Hope this helps.
GIG 'EM
