How to Start a Cash for Gold Business

Gold has always been a very in-demand precious metal ever since its discovery. It’s worth getting higher as time passed by. It also symbolizes the country’s worth as it requires gold to make currency.

You can buy gold for several purposes like adding it to your assets, to sell it in the future to have gains, or even make it your business as part-time or full-time. Knowing how to do this kind of business will make your cash for gold business profitable.

Starting a cash for gold business is not as difficult as starting up other kind of business as this will not require you intense research and costly business plans. It has no start-up cash out and no government license/permit needed. All you have to gather are the information to help you understand how to manage this kind of business.

What you should have:

  • Knowledge to appraise gold – Before engaging into gold buying business, you have to acquire knowledge on how to appraise certain item to determine the gold content of the jewelry and for you to determine how much you are going to pay for it and how much you are going to sell it as well.
  • Gold testing kit – You can also buy this from a legitimate gold refinery company.

This should include the following:

  • Acid and a stone for testing gold content of the jewelry
  • A magnifying glass or also known as jeweler’s loupe
  • A needle with a gold tipped used to test the acid accuracy of jewelry
  • Tools use to remove stones and other impurities from the gold jewelry
  • A magnet

Weighing scale – This is very essential as you will need this to weight the gold to know how much it worth. It is preferable to have a digital one.

Cash – Definitely it is needed because you are buying gold from your clients. However this kind of business is not as risky as any other businesses because you are buying a tangible and precious item.

Things to consider in starting cash for gold business:

  • Look for clients where you can buy gold from. At first it maybe your family members, friends and the people close to you or even your colleagues. Let them know that you are into gold buying business so they will understand that you will buy their gold at competitive price.
  • Know how to make the pricing. This is where your knowledge in upraising jewelry comes in. It is necessary to know whether the item contains or is made of genuine gold or not. The price will vary based on the value of its gold content. However, there are gold such as gold coins that can easily be valued based on the standard guidebook to coins.
  • Identify where to cash out your gold. It is important to know where to sell your gold at a higher price compare to how much you bought it to make profit. It maybe a bigger jewelry store, or old coins store or even a gold refinery.

 

53 Comments

  • LUIS RAMIREZ said on September 20, 2010
    I would like to start a cash for gold business in SOUTH EL MONTE , CA 91733 ,LOS ANGELES COUNTY
  • shlomo fellus said on January 30, 2011
    I am interested to open a store to buy and sell gold in San Diego California. please advise
  • habib said on February 22, 2011
    I am thinking to start a business--Cash for gold, in Baltimore, MD. Please give me details information about this business.
  • Chad said on March 18, 2011
    I am interested in opening a store to buy and sell gold and silver in Omaha Nebraska. What legal and business info do I need to start this and how big of shop will be needed.
  • Neal Brown said on April 4, 2011
    I'm in wheaton, Il and am interested in starting a cash for gold business. Can you send me something?
  • Mars said on April 21, 2011
    why that customers not directly sell gold to big Store? dont they know the price you paid is lower than that big institution?
  • joanna de jesus said on June 7, 2011
    i am interested in opening a store in Chicago, il
  • john smith said on June 17, 2011
    I am in the process of starting a cash for gold business, so please send me additional information via email. Location: Monmouth County, NJ
  • quentin adams said on August 25, 2011
    I want to start a gold buying business in statesville north carolina. There are already two gold for cash already here with population of about thirty thousand.
  • nida smith said on August 29, 2011
    I would to open cash for gold business in Garden Grove in California. I don't know how to start. Please give me some detail information.
  • Ilaria Martire said on August 30, 2011
    Hi I would like to open a Cash for Gold business in Dublin-Ireland
  • melinda noroian said on October 2, 2011
    I would like to know where to buy a gold testing kit in the los angeles area. Would like to purchase this in person rather then on line. Thank You, Melinda
  • Rubina tariq said on December 4, 2011
    I like to open cash for gold in Plano tx location I want to learn how to open a new shop and how to test I need the kit too. Thanks for helping
  • alfredo said on December 12, 2011
    i would like to open a cash for gold store in los angeles california do i need a license to buy scrap gold & do you know about a refinery in los angeles to sell the scrap gold thanks
  • Shawn Hill said on December 23, 2011
    Bolingbrook, il. I would like as much information as you can give me on starting a cash for gold business. Please send me also information on refineries in chicago land area, and also best gold buying kit that i can purchase.
  • Theo said on January 19, 2012
    Toledo, Ohio USA. I am interested in starting a cash for gold business in Toledo, Ohio. Can you direct me to where I can find the local, state, and federal regulations and/ or guidelines to start such a business?
  • Kwasi Antwi said on January 22, 2012
    I live in Romeoville, IL-U.S.A. I am interested in starting a business to buy and sell gold. Do I need state license? Where can I get state regulations or guidelines to commence such business?
  • J Kelly said on February 17, 2012
    NJ, USA Please e-mail with your contact info if you are outside of nj to learn how to get into cash for gold/silver business. Save thousands in start up learning mistakes by having a mentor!
  • Brian said on April 10, 2012
    I live in chicago and am in the process of writing my business plan to open a retail store that is a cash for gold. Any help would be appreciated. Thanks
  • W Harris said on June 3, 2012
    I live in Fremont CA. I would love to know exactly how to run a gold flipping business. For little or nothing down. I will be retiring in a year or so. This business is something I can do. Please forward any information that you have that can help me get started. I'm excited about this opportunity. Thanks!
  • DKAL said on June 4, 2012
    I LIVE IN HONOLULU HAWAII I COLLECTING INFO ON BUYING AND SELLING GOLD AND WILL START SOON BUT I NEED TO FIND OUT WHERE TO SELL ONCE I BUY. HELP! THANKS
  • ALEX said on July 11, 2012
    I looking to start a cash for gold business in taylor michigan. an you please send me some information that will help me in getting started.
  • Hicham.M said on August 10, 2012
    I want to start a gold buying business in charlotte north carolina. There are already three gold for cash. i would like to get some information that can i get Gold from out country like middle east, with different design, and from where can i get a gold testing kit? thank you
  • Maria said on September 11, 2012
    i want to start a new business buying and selling gold and silver in sheffield england
  • balasubramanian said on October 2, 2012
    give me the guidelines for buying and selling gold coin as a business at Madurai city ,Tamilnadu, India.
  • Jesse Sasomsup said on October 22, 2012
    Hi, I would like to start this business but wondering where can I sell gold after I got them? And how much lower would be expected than the current gold price? 10% 20% 30% ? Thanks
  • Travis said on December 22, 2012
    I have a used car lot that i do the buy here pay here and i have a lot of people always trying to trade me something for a down payment on a car. So i'm thinking of starting another part of buying gold. Where is the best place to sell and has the state of IL. change any laws on having any licensing.
  • Mike said on January 3, 2013
    I want to buy and sale gold as a private in Chicago, il. I don't have a business or a place where to sell it from. Thinking to buy scrap gold from people and sell it to refineries. Is that legal? Or do I need any kind of license?
  • Jason Johnston said on January 6, 2013
    Weirton WV. Interested in getting into the gold business. Thanks Jason J.
  • Jerry said on January 7, 2013
    I am interested in opening up an cash for gold business in chicago, IL. Please send me some info
  • kumar said on January 8, 2013
    i want to open cash for gold in Toronto Canada pls advise
  • Pomy said on January 15, 2013
    I want to start this business at Jane & Finch Road, Toronto. Can you suggest me better location & some tips. Regards Pomy
  • Dave B. said on January 18, 2013
    I am located in East Windsor, New Jersey 08520 area. I'm looking to start the cash for gold and silver business. What do I need to do to get started and do I need special training and or documentation living in NJ.
  • Guilder Rivera said on February 1, 2013
    I am interested in opening up an cash for gold business in Costa Mesa, CA. Please send me some info
  • Steven said on February 5, 2013
    What licenses or permits are needed to legally own and operate a Cash for Gold business in Los Angeles County.
  • Sam J said on February 18, 2013
    I'm interested in opening up a cash for gold and silver in the Dallas area.
  • James Mckale said on April 3, 2013
    I am looking to start up a cash for gold and jewelry business, in Royersford, Pa. 19468 Montgomery county, i have several years experience in the Jewelry business, so i am very familiar with testing gold, grading Diamonds and color gem stones, i have ideas on where i can buy unwanted jewelry and broken jewelry, and i know where to sell it for a profit, what do i need legally to start this business, can you advise please, Thank you
  • Ray S said on November 6, 2013
    Looking for more information on starting a franchise around Burbank, IL
  • Dim said on November 17, 2013
    I am looking to start a Gold buying business in South Africa, what license do I need to have?
  • benjamin akolo said on November 18, 2013
    i am a gold man who has license to trade in gold legally on both local and international level but am now looking for serious and continues buyers and also investors. please i want only serious business minded people. you can call me on +233 246 537 579 or you can email me
  • Alexander Flumo said on December 8, 2013
    I sell gold and looking for business minded person that we can foster the business.this is my email: jeffersonflumojr@yahoo.com my telephone number is +233547549868
  • maryanne kennedy said on March 1, 2014
    I would like to start up my own business me and my husband looking to do buy gold selling. but we would like to know more about this business. need some idea. hope to hear from u thank u. kindly reply me. regards, maryanne kennedy
  • Chris G said on July 10, 2014
    Hi I'd like to start a cash for gold & coins Store in Newton, Nj and would like to know what steps I have to take in order to do so. Thanks you
  • shannon said on August 15, 2014
    I need more information on who to sell my gold to once i buy it
  • Ivy M said on August 20, 2014
    From Las Vegas, NV recently moved to Lawrenceville, NJ. Gold buying is very simple once you've had the proper training. However, a lot of other types of goods (diamonds, colored stones, brand jewelry, collectibles, etc.) come into play when dealing with gold and silver. So, being knowledgeable with other goods is kind of a must! In NV I was working at a foundry where gold buyers would either mail or personally take their goods to be melted and/or purchased. As a gold, silver, platinum and diamond broker in NV, I know that this industry is more complicated then just scratching some gold on a stone. However, this industry is very fun, competitive and keeps you learning new things everyday.

    @shannon, foundries(melt in to bars)/refineries(refine metals to pure bars) usually ask for a business license or for a second hand dealers license in precious metals. If anyone has questions email me and I would be more then happy to help. veninko@outlook.com
  • Reggie D said on January 29, 2015
    I would like to start a business buying and selling gold in Winston-Salem, NC . Could you give me more info
  • Don B. said on June 27, 2015
    I am looking to start a Cash for Gold business in Bergen County, NJ. What steps do I need to take? I've heard that I would need to be bonded. Also heard fingerprint check is required. Is that only for pawnbroking?
  • Nick henley said on July 16, 2015
    Toms river, NJ 08756
  • frank said on June 3, 2016
    Hello all, if you are interested in gold business then feel free and lets chat on WhatsApp, and lets talk real business. Contact no.+233542534845.
  • Johannes Masile Chosana said on July 14, 2016
    i want to buy and sell dealers import and export license. i am based in South Africa city of Johannesburg at Gauteng province.
  • Michael Korley said on July 25, 2016
    Hello!!! Interested in gold business then feel free and lets chat on WhatsApp, I'm into buying and selling Gold. I'm based in Africa Ghana, I truly want a partner to run good benefits business with over seas. Contact no.+233266618380 E-mail:- odo_banyin@yahoo.com
  • yessi said on August 2, 2016
    Hello all, if you are interested in gold business then feel free and lets chat on yessioliver11@gmail.com, and lets talk real business. Contact no.+22893964287.yessioliver11@gmail.com
  • frank said on August 4, 2017
    I need gemstone buyers. my friend has a lot. I need someone we can send to then after sell send the money back to me with no disappointments. contact me on WhatsApp +233542534845. thank u

    Comment

    (All the above fields are required.)