The first thing you need to do is to decide what type of location you want to do business from.
There are two primary options.
Option #1 is a fixed location. There are several things to take into consideration when choosing this option. They are:
1. You will need to sign a lease or buy a facility.
2. You will need to fortify the shop including bars on the windows.
3. You will need a safe.
4. You’ll need the proper insurance policy.
All of these items can be very expensive when you’re first starting out.
Another option is that you can buy the gold at your home. The advantage of taking this approach is that you won’t have any upfront overhead expenses. The down side to taking this approach is that people will know that you have gold and cash in your house.
Option #2 is to buy mobile. If you take this approach, you would basically be setting up shop within another ongoing business (shared space). You could potentially set up shop within, say, a dry cleaner.
If you consider a dry cleaner, you will have repeat customers to the facility that have money…. This is ideal.
Another idea is a car wash in which people get out of their car for the car to be processed through the car wash. This creates a trapped audience.
These are by no means the only options. Some things to consider when choosing a shared space option are:
1. Security cameras
2. No utilities expenses
3 . You can negotiate your rent payment either as a fixed expense or a percentage of the sales ( an option you might consider when first starting out and you have no cash flow yet).
4. Flexible hours (You could post a sign that says that you will be there between the hours of “x” and “x” or that they can call you to set up an appointment.) By doing this you are creating a variable making it difficult for a “would be thief” to know exactly when you will be there so he can rob you.
The mobile option is in my opinion the best option. It provides great exposure and foot traffic without heavy out-of-pocket upfront expenses.
The final option is to buy your gold exclusively at gold parties.
Either way, you are now in business!!!