Wholesale Phantom?

[d_vova]

Normally, I use wfboom for my fireworks needs but unfortunately they don't carry several types of items I am interested in. So I was forced to shop around and last week I stumbled on phantom wholesale website which is completely disconnected from the main website and contains a few other brands (Pyro Planet, Brothers, etc...). The prices seemed competitive and I tried to place an order online and visit their location. During my visit I learned that they conduct business out of an unmarked location at the back of a ginormous warehouse. They don't accept any other form of payment but cash. They discouraged me from using their website and suggested I call a number to arrange for a sale. All of that seemed very sketchy. Has anyone tried wholesale phantom fireworks? Is it a new thing the company is trying to figure out? Or is it an initiative of some "entrepreneurial" employees who found a way to make some cash on the side by helping their company to get rid of "damaged" product?

[Arles]

That does seem odd.

[BMoore]

I found the website you talking about and it does seem interesting. The address in Warren, OH matches the address for the regular Phantom online store so I have no doubt it's a legitimate Phantom warehouse. If you have concerns perhaps contact Phantom Corporate. The fact that they accept cash only seems unusual. I have a theory as to why that might be. If you do contact corporate make sure they understand that you are a consumer rather than a re-seller.

[Arclight]

It's hard to say. Some big companies will let a warehouse manager or other employee handle surplus, small orders, etc. as a sort of sideline because it's not worth their time for the regular outside sales team to deal with. So this could be a way to get rid of odd lots and discontinued items.

[d_vova]

I could understand it if it was surplus but they are selling fairly popular items.

[d_vova]

I did the same thing, I verified that the warehouse was legit and was used by Phantom before even going there. The guy's business card does show the correct corporate address. The things that don't make sense to me are:
1. Presence of popular products that I could not find in their retails stores.
2. No connection between the wholesale website and the official fireworks website and vice versa.
3. A single location for conducting this sort of business.
I don't mind buying stolen (or whatever the right term for this is) fireworks, I guess I would just want the price to reflect the risks.

[BMoore]

It's very possible that this is is true wholesale operation meaning that they sell to licensed re-sellers only. If that's the case it makes sense that they operate out of a single distribution warehouse and totally separate from their retail presence. The fact that they want cash only could mean they are doing something a little sketchy to sell to you, a consumer but who knows. The might simply not have have credit card readers at the warehouse to accept anything other than cash. A call or e-mail to Phantom corporate could probably answer your questions.

We all throw the term wholesale around very loosely, but it actually has a legal definition. Wholesaler's sell to to licensed re-sellers. The purchaser presents a state resale certificate and purchases their items free of tax and there is generally discounts for purchasing large case quantities. When we the, end user talk about wholesale all we are really talking about is the discount aspect. When we buy it is not a wholesale transaction, it is a retail transaction and we should be paying sales tax. A true wholesale may or may not be registered as a retailer.

[BMoore]

Update - To satisfy my own curiosity I sent an e-mail to phantom fireworks and received a reply. Phantom Importing & Distributing, LLC is the import, distribution and wholesaling division of Phantom and that is their distribution warehouse. The website is legitimate and they will sell to consumers by appointment who meet the minimum purchase requirement. Still not sure why they only accept cash, but given that 99% of their sales are likely intercompany to their retail outlets or to large customers with corporate accounts, they may simply not be set up at the warehouse to swipe a credit card. So there you go. Totally legitimate.

[d_vova]

Thank you for doing the work! My mind is ease now :).

[PYRODAN]

Ok, I live in the area and I buy from them. It used to be B.J. Allan co. The parent company of Phantom. They changed names maybe 2 years ago. There are some old post on here about them. The guy I normally deal with is Pat Catan. Order on line. Pick up in person. I did't buy from them this year, but in the past you did have to pay with cash when you picked up. I am not sure if that is still the case. But I will find out next year.

[215less]

Curious what their minimum is???

[BMoore]

$1,000 minimum per the website.

[retlawman344]

Northern Ohio here, and I tried to order from Phantom Wholesale one time. When I tried to place the order there were two cases of cakes they were out of, so I didn't follow through. I was never told anything like what you were told. The prices in comparison with the Phantom stores is much much less. IF they have what you want. I thought with fireworks being legalized in Ohio that competition would bring prices down. With Phantom stores, the opposite has happened. They used to reward high spending customers and now its their 50% off deal for everyone which doesn't even come close to being competitive with others. Just went up to Red Apple in Flint, MI and was buying Brother 500G cakes that Phantom is selling for 90.00 after the 50% off, for 25.00 to 30.00 each. Ohio needs competition to bring these prices down.

[PyroFL]

Interesting that people now question cash only but I see your point.

Cash only … are they doing something illegal
Card only … why can’t I use cash
Cashiers Check only … way can’t I use cash or a credit card it’s just as good
Don’t take American Express … greedy company that isn’t willing to part with 1.25% of there profits

Could be many reasons, they couldn’t do a credit card that day, internet is down, machine is broken, computer is not working, to help you save money they only take cash.

The person you spoke to maybe should have given you a little more details or you could have asked “Why”

I know some companies you can pay cash or they charge you extra for using a credit card.

[Mojo129]

I’ve checked with them before as well. Their wholesale prices are far more competitive than the retail store prices but you lose some of the convenience. They do not ship, you have to go and pick it up. They don’t take cards, they are charged for every transaction so to keep the prices low, cash only. The wholesale website is not kept very accurately on inventory however, If you call, they will send you an inventory list. They are very slow on replying to emails so call. I love some of the phantom items but stopped buying retail in favor of wholesale when I can.