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Jun 17

How You Earn Money from Buying and Selling Gold

Reading Time: 3 mins

People are familiar with the saying, “Diamonds are forever,” but there are other natural elements not far behind. Women around the world adore diamonds, but they also love gold. Gold is much more affordable for most of today’s population. However, some people see gold as an excellent business opportunity – and they’re not wrong!

Gold-trading may seem at first as something hard to learn and master, but truth be told, it’s not as complicated as people may think. People with no prior experience but interested in gold-trading should partner up with someone like the Oxford Gold Group. That way, they’ll start from scratch, and learn all the essentials they need to start buying and selling gold. Here are some suggestions on how to earn a living from buying and selling this incredibly valuable ore:

 

1. Familiarizing Yourself with the Gold Testing Kit and Other Equipment

Being able to buy and sell gold requires specific knowledge and experience, but that’s not all. Before you learn how to operate in the gold-trading world, all beginners should familiarize themselves with the tools and kits they need. The gold testing kit is an essential element that everyone in the industry needs. Since the gold testing kits are an absolute necessity for your new business, they are reasonably priced.

Most jewelry brought by potential customers willing to sell the gold won’t have a hallmark inscription. However, there’s a way to determine the purity of the gold. That’s why gold testing kits play a crucial role in this business. The acids found in these kits will help you determine which carat of gold you’re holding. Additionally, these kits usually have two more acids that help determine the purity of silver and platinum. With the knowledge you get by inspecting the jewelry with the professional testing kit allows you to provide your customers with the exact evaluation of the jewelry they brought.

Other essential tools are the magnifying loop, a metal file, and a magnet. The loop will help you get a much closer inspection of the jewelry, and metal file serves as a tray for collecting the scrapes of the outer coating of the pieces you inspect. However, a magnet will help you to carefully hold and inspect every piece of jewelry someone brings for inspection. Thus, buying a quality magnet is advisable.

A professional jewelry scale is a must if you decide to enter the world of gold-trading. These scales can be costly, but considering they’ll serve you for many years, it’s an excellent investment. Using any other measuring scale, except for the professional jewelry one, is not legal in precious ore trading business.

 

2. Learning How to Buy Gold in the Beginning

Before you’re able to profit from selling gold, you need to buy some gold first. An excellent way to obtain gold for beginners is to buy gold teeth from dentists’ retirement fund and other gold items from friends and family members. You might as well get them as a gift to get you started.

You must know how to inspect the gold you want to buy so that you know what you’re buying and for what price you’re buying it. When the inspection part is all set, you can start thinking of other ways to buy gold from potential customers. Hosting a “valuation party” is an excellent opportunity to gather the crowd and offer them a free valuation of their gold jewelry. That way, you’ll likely get a lot of offers to buy some items from the party guests.

 

3. Carefully Calculating When to Sell

You’ll be buying off gold for prices under the market value, but to make profits, you must calculate and wait for the best moment to sell. Buying gold when the market value is low is an excellent investment, but the waiting period for prices to rise may not be short. However, to make a good profit, you’ll need to be patient and wait for the best moment to sell your gold.

Another critical method for selling your gold is to consider selling it on alternative markets like eBay web auctions and others. First, you must perform thorough research the piece you want to sell. In case it has an interesting history, its price may skyrocket and make you an incredible profit.

However, being aware of the risks is vital. Like any other business venture, gold-trading also has its risks. If you’re patient and careful about when you’re buying and selling, you’ll be safe. Also, it’s essential to keep yourself safe from fraud. Always ask your customers to provide you their IDs so you would have their personal information as a fail-safe in case something unexpected or illegal happens.

 

Wrapping Up

Gold-trading is somewhat like any other business venture out there. However, it requires specific skills, knowledge, and intuition. Buying off gold when the prices are low and waiting to sell it when the market shows that the prices are higher is what gold-trading is all about. Ensure that you’re equipped with all the essential tools and kits every trader need, and you’ll see your first profits shortly.

 

 

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