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How to Buy and Sell Gold

How to Buy and Sell Gold Photo

Gold has been the symbol of a nation’s power since it first became a common form of currency several thousand years ago. In fact, the market came to exist through buying and selling not only gold but silver, bronze and precious stone.

In this 21st century, we have been using a fiat currency in buying goods but not selling, simply because money is just a mere way established by the government as a decree. Gold, unlike with money, is itself a commodity. It can be bought. It can be sold.

So, if wanting to be in service of gold, the first thing you have to learn is how to buy and sell gold.

The following below are various ideas to teach you absorb the concept of buying and selling gold.

Let’s start with buying…

Not all that glitters is gold

In buying a gold, you yourself should be sophisticated not on how does it look but how to identify it. Having and bringing equipment is far wiser than sensation. The essential equipments upon buying gold are acid and scale. This is to avoid buying fake ones.

The karat value

Karat gold is stamped by the manufacturer. It is important to know them for you to differentiate value.

Know that pure gold is said to have a purity of .999, also called 24 karat gold, and is not used in jewelry because it’s too soft.  Alloys such as copper, silver, nickel, and palladium are used to alloy gold making it harder and more durable for use in jewelry. To understand what 14K means, view it as a fraction:

14/24=.583, this means that 14K gold should have 58.3% of gold and the other 41.7% are Alloys such as copper and silver.

Weighing gold

You’ll need a digital pocket scale to weigh your scrap gold. These are very reasonably priced but you need to make sure it weighs pennyweights and grams. The weight and karat are very fundamental since this is the basis of pricing.

Legal concerns

Make sure that as you do your bidding of buying gold, the company or the supplier is legitimate and all the processes go permissible. This is to avoid fraud or buying stolen products.

Now that you have the basic knowledge, let’s go with the process of:

Selling gold

Promotion

This can be done through online ads, brochures, having appointments with target buyer or businesses or newspaper ads. Make sure to publicize your contact number and a photo.

Gold party

If you receive the bids, throw a simple party for those potential buyers and costumer. It could be done at home. Like a jewelry shop, have a display and presentation of gold. Women absolutely love to attend gold parties because it’s like a Tupperware party where they all get PAID!

Offer discounts and options in paying

For you to easily earn, offer your customers choices on paying. Some of them don’t have enough cash but are capable of paying. Building rapport is essential to business.