Pawnshops have brick-and-mortar overhead in addition to labor costs to reach their buyers.
National chains have advertising costs that include radio ads, television ads and print ads to reach their customers in addition to their labor costs.
Your only costs include a one time cost of equipment for testing that should include:
1. An acid testing kit which cost around $50. ( This kit should include a digital jewelry scale, A diamond tester, six bottles of testing acid, A testing stone, a 10 power magnifying eye Loop, a set of metal jewelry files, a 5 grain .999 fine solid silver bullion bar, a 5 grain gold plated testing bar, and a rare earth magnet)
2. An electronic gold tester they gives the reading of the karat ( purity) of the gold being tested. (You could buy a decent electronic go to tester for $200-$400.)
Your only other costs are a percentage of the gold price that you pay to the host of the gold party for all of the gold that you buy at the party and a percentage that you pay to the smelter to smelt the jewelry into bullion that you do not choose so sell retail.
What other type of business could you set up for less than $1000, have no on going expenses if you’re not doing business ( other than annual business registration fees if applicable), have such great profit margin’s, and have your customers always happy to see you coming?
This truly is the perfect way to accumulate your gold!