Michael Morgan, now the 25-year-old owner of the company Iconic watchmaking company, sold his first Rolex Submariner watch when he was just 13 years old – a sale largely out of boredom. “When you’re 12, 13 years old, you tend to get bored very, very quickly,” Morgan says Entrepreneur. “So inside six months [of buying it]I knew I desired to sell [the vintage Submariner]”
How did a 13-year-old start selling expensive watches? Morgan says he had an appreciation for “old things” from a young age, around eight or nine. It started with a Porsche – “I could have chosen anything from them.” But the kids couldn’t go out and buy a automobile, so Morgan began collecting coins, stamps and fountain pens before focusing on watches.
Photo credit: Courtesy of Iconic Watch Company. Michael Morgan.
“I always liked watches,” Morgan recalls. “My dad had some nice watches. When I was about 10 years old, I started reading about watches constantly. First, pocket watches. And just like coins, stamps and pens, I realized that pocket watches are not very useful. that’s where I spent most of my time reading about watches. [The book] Antique Rolex has become a matter of interest.”
Morgan flipped through the pages of this book every day and eventually purchased his first vintage Rolex Submariner at the age of 12, trading in several watches he owned and using some savings to make the purchase that would launch his side business. “I remember it cost me $3,500, which seemed like a lot at the time,” Morgan says.
Morgan listed the watch on an online forum for an “optimistic” price of $5,500 and was somewhat surprised when the watch sold inside two days for $5,200. That’s when the “light bulb went off”; Morgan realized that his hobby could function a serious source of income. Although starting a full-time business was impossible for the young entrepreneur at the time, he treated the enterprise as a fun activity that could help him buy more watches.
“[When I said] “Actually, I’m 14,” he marveled. And in fact it became the so-called [regular customer]”
A few years later, Morgan knew his foray into selling watches was the real deal. It was already taking over most of his time, and “the school was definitely average.” He says Morgan sold watches during lunch hours and often brokered deals of $50,000 or more. Despite his early success, at first Morgan didn’t like answering phone calls because they’d give away his age.
“I had one customer who was interested in buying two watches, so I knew I had to make a call,” Morgan recalled. “I check with him on the phone. Everything was superb and at the end he asked me how old I used to be. I replied: Oh my God. I told him [I was 14]. At first he thought it was a joke. [But when I said] “Actually, I’m 14,” he marveled. And in fact it became the so-called [regular customer]”
While being a young entrepreneur had its challenges, it had one major advantage — “a lot of individuals need to assist you when you are young,” Morgan says.
At 18, Morgan was now not interested in college, but his parents encouraged him to go. He ended up interviewing at the University of Southern California. Morgan admits that the first interview didn’t go well; the interviewer asked vague questions that didn’t allow his business acumen to shine. However, his father scheduled a second interview so Morgan could discuss his case, and at the end of the meeting, Morgan claims that the interviewer suggested USC to him. Morgan was excited to participate and signed up, but by the time his junior year began, balancing his responsibilities as a student and business owner was now not possible – and he desired to devote himself full-time to watches.
“Probably 30 active people constantly looking [for vintage watches]. So the competition has become extremely fierce.”
These days, age is not Morgan’s biggest business challenge: it has to do with sourcing the vintage watches he sells. “The problem is that we’re dealing with vintage watches and there aren’t many great ones out there, and as time goes on, more and more people are looking,” explains Morgan. “When I started, there were probably five to 10 big people actively buying vintage wine in the US. [Now], probably 30 active people constantly looking. So the competition has become extremely fierce.”
Photo credit: Courtesy of Iconic Watch Company
Morgan says he has developed a fame for sourcing the rarest vintage watches – primarily Rolexes – and has flown around the world to purchase some of them. “The highlight would be finding the lowest serial number and possibly the first known Rolex GMT-Master from 1955 found via DM on Instagram with history traced back to Walt Disney,” he notes. Morgan loves the chase and admits that “the best solution is to find the next great watch [him] I go every day.”
Morgan’s involvement with the company has helped it flourish: he has sold hundreds of watches to customers around the world, and as of 2017, annual revenues have exceeded $10 million, mostly from private sales. And one notable recent transaction? He sold a 1970 Rolex Cosmograph Daytona No. 6263 “Paul Newman” for $750,000 to a distinguished collector in Asia.
Passion allowed Morgan to rework his watch business from a side hustle into a business that has grossed over $110 million, which is why the entrepreneur encourages all young, aspiring entrepreneurs to seek out their business and follow it into their very own ventures. “Use your passion if it can lead to a business,” Morgan says. “It’s a very lucky opportunity. It makes all the hard work of running your own business so much more enjoyable.”
This article is a part of our ongoing series highlighting the stories, challenges and triumphs of being Young Entrepreneur®.