A close friend of mine just bought into the gold buying buisness which has 11 locations. He gets 96% spot on gold and 85% spot on silver from his refiner. One of his best locations is taking in around 90-100 oz per month. The others average around 30 oz per month. I am greatly interested in the refining process and am looking to learn more but not sure if its worth my time and effort to try to go after this buisness. From what I've read so far once refined I'll be lucky to get 98% spot on gold and 90% on silver which does leave me a little room. I've already contacted one of the local universities to see if the offer on hand training but I havnt heard back from them yet. I am extremly excited at the possibity of a new buisness adventure but afraid of making a bad decision. Any suggestions would be greatly appreciated.
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Bullion.Forum
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- Thread starter mich2012
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Thank You fasttcar....I have been doing a little more research on here and believe if I turned the 10k, 14k, 18k back into bullion I would have less chance of getting taken advantage of expecially since I'm a newbie. Any new contacts are greatly appreciated and the more I learn on the matter the better buisness decisons I'll make. Do you know if Mike requires sending the gold in or would I be able to meet with him while the melt is taking place?
Mich welcome to the forum.
First thing to realise is that most karat jewellery isn't plum so if your friend is selling as is he's not actually getting 96% of spot but more, that's legal there unlike here in the UK, if it's got a hallmark on it from an assay office which states 18 karat it will be 750 or better gold if it's 730 it will be marked 14k. I think if I remember correctly your allowed to be up to 1/2 karat under, do the math, that margin is starting to look a lot slimmer and guess what, if manufacturers are allowed to be that much under, and you were producing jewellery would you make it plum, it's like been allowed to give $97 for everything that's $100 legally...
That might be a little extreme but do some studying on here and see what sort of results members are getting from assays of karat jewellery before you jump in, if you offer him 97% of marked assay and you recover the same it's pointless and could be costly. Im not trying to put you off but trying to cover your back, there is money to be made in this business but look before you leap as mistakes can be very expensive.
First thing to realise is that most karat jewellery isn't plum so if your friend is selling as is he's not actually getting 96% of spot but more, that's legal there unlike here in the UK, if it's got a hallmark on it from an assay office which states 18 karat it will be 750 or better gold if it's 730 it will be marked 14k. I think if I remember correctly your allowed to be up to 1/2 karat under, do the math, that margin is starting to look a lot slimmer and guess what, if manufacturers are allowed to be that much under, and you were producing jewellery would you make it plum, it's like been allowed to give $97 for everything that's $100 legally...
That might be a little extreme but do some studying on here and see what sort of results members are getting from assays of karat jewellery before you jump in, if you offer him 97% of marked assay and you recover the same it's pointless and could be costly. Im not trying to put you off but trying to cover your back, there is money to be made in this business but look before you leap as mistakes can be very expensive.
I couldnt agree more Nick. I know the margins will be very slim but hopeully due to the quantity of gold being purchased it will make up for the tight margins. I have much to learn and lots of reading before venturing into this new buisness. I am meeting with a professor from one of the local universitys to see what is entails in turning gold jewelry back into bullion. Wish me luck guys!
Mich if you want to learn how to refine any precious metal the best teachers in the world are right here on this forum. Theoretical chemistry is fine but hands on experience and in different situations give an insight that books and theory can't.
The age old advice applies to you as to all newbies read Hoke and then read it again, read the forum handbooks and the safety section, visit lazersteves site and buy his videos and ask questions if anything doesn't make sense, but basically read and learn from those here who can recover and refine nearly everything that has values in, on or made from them.
The age old advice applies to you as to all newbies read Hoke and then read it again, read the forum handbooks and the safety section, visit lazersteves site and buy his videos and ask questions if anything doesn't make sense, but basically read and learn from those here who can recover and refine nearly everything that has values in, on or made from them.
trashmaster
Well-known member
Yes it's ( NOXX University of Refining)
