Old money: John Moran Auctioneers has built its business by cultivating relationships and developing a specialty in the work of California impressionist artists. (Small Business).

John Moran can still remember trying to break into the auction business more than three decades ago. He was advised to forget about it because no one would offer him a job.

So Moran, who had worked only a few auctions with a friend, decided to start his own house. Today, John Moran Auctioneers Inc. is one of a handful of local auction houses where families can unload furniture, collectibles, artwork and other valuables.

"We never really dreamed of being where we are now," said Moran's son Jeff, 34, who handles daily operations. "It's one of those businesses that once it gets in your blood you love it."

Moran has established itself as one of the leading outlets for California impressionist art prior to 1950, a school that had all but disappeared from public view 30 years ago but whose work can now fetch hundreds of thousands of dollars.

"The market for early California work has been growing unabated for 25 years, and I would say that Moran has grown very much with that market," said Jeffrey Morseburg, a West Hollywood art dealer.

An auctioneer's rapid patter is what's best known about the business (the elder Moran, who still conducts the auctions, learned talking fast by attending and taping auctions). But a successful auctioneer must also cultivate estate attorneys for referrals, handle grieving relatives and develop relationships with dealers and other sophisticated buyers.

There are only two dozen significant regional auction houses in the country, and only a handful in Los Angeles, including A.N. Abell Auction Co., founded in 1916, and J.C. Ames Auctioneers, founded in 1933. (As a regional house, Moran auctions items that are generally less valuable than those handled by Sotheby's and Christie's where, for example, a Vincent van Gogh may fetch $5 million or more.)

"You are bidding against each other (for jobs). Afterwards you go out for dinner, but you would stab each other in the back to get a deal," joked Barry Abell, of A.N. Abell.

Moran, 60, who grew up in Pasadena, caught the auction bug while helping a friend conduct auctions of museum material for a Harrah's casino. "There was a deal being made every 40 seconds," he recalled.

After being turned down for a job, Moran decided to teach himself the business. His break came in 1970, after he learned about a Pasadena estate that was going to be sold directly to a dealer. He convinced the executor to let him auction it instead:

"I had been practicing for months, and months while driving to work and stuck in traffic," Moran said. He completed the sale with the help of family and friends.

Moran landed other estates and gradually hired employees. The business took off in the mid-1980s, about the time Moran's son Jeff decided to join after dabbling in other areas in college.

The monthly antique and collectibles auctions at the Pasadena Civic Center (along with three painting auctions each year) feature items usually drawn from multiple estates. Prices range from a few hundred dollars on up. Recently, a 1920s-era Tiffany grandfather clock sold for $32,000, and a 36-inch Italian marble statue went for $7,500. Steinway pianos have topped $30,000.

On each sale, Moran takes a commission from both buyer and seller of up to 30 percent (10 percent from the buyer and up to 20 percent from the seller). Unlike other houses, Moran does not handle inexpensive goods.

The Morans stumbled on their specialty, California impressionist art, after noticing sales of the paintings would top other valuables at its monthly auctions. The school features impressionistic takes on-the local landscape that flourished prior to World War II in Pasadena and other art colonies, with many pieces bought by local residents. As those residents died, their estates have been coming up for auction.

In 2001, Moran auctioned a Guy Rose portrait for $1.2 million. Its latest auction featured a Carmel seascape that sold for $99,000.

"They get fresh material. They are well connected in Pasadena," said Jim Vitanza, owner of Peregrine Galleries in Santa Barbara.

John Moran recently bought a fishing boat and has been cutting back, taking six weeks of vacation each year. Son Jeff, who says the house will always remain a regional player, would like to increase gross sales, but he noted there is only so much art and antiques the local market can absorb.

Currently, the company publishes print and online catalogues for its painting auctions, but only features some of its better antiques online. Moran plans to put every item for sale on the company's Web site, since more information available to buyers often leads to higher prices.

"We are laying the foundation for the future," he said.

RELATED ARTICLE: PROFILE

John Moran Auctioneers Inc.

Year Founded: 1970

Core Business: Estate auctions.

Revenues in 2001: $7.5 million

Revenues In 2002: $8 million

Employees in 2001: 10 full time

Employees In 2002: 10 full time

Goal: To increase annual revenue by improving operations.

Driving Force: The demand by art and antique collectors for quality merchandise at fair rates and with good service.