Appointment-Only gold and diamond buyer

Sellers are people with old jewellery, inherited pieces or loose stones. Your buyers are bullion dealers, refiners, jewellers and online shoppers.

You buy below the value you can resell for and keep the margin after testing, refining or listing costs. Sales to dealers are quick. Selling pieces whole to the public can earn more but takes longer.

• Knowing metal purity and how to test it
• Fair, clear negotiation
• Careful record keeping
• Spotting fakes and stolen goods

• Second-hand dealer and pawnbroker rules differ by state and territory. Many require a licence or registration, ID checks, written records and sometimes a holding period before resale, so confirm what applies to you before trading
• Check with AUSTRAC whether any anti-money-laundering or cash reporting obligations apply to your buying and selling of precious metals and stones, as the rules have been changing, and get advice from an accountant or lawyer
• Cash handling and ID checks, plus the risk of buying stolen goods; keep records and report anything suspicious to police
• Your working capital is tied up in stock, and metal prices can fall before you resell
• Home-based business rules and the personal safety risks of meeting sellers at your home; check with your council and insurer

Startup costs are typically estimated at around $3,000 to $15,000, depending on your testing equipment, starting working capital for stock, and any security or insurance. Your capital is tied up in stock, so plan your budget carefully.

Monthly revenue is typically estimated at around $4,000 to $20,000, depending on how much you buy and resell and the hours you work. Metal prices can fall before you resell, so this is revenue, not guaranteed profit.

Check second-hand dealer and pawnbroker rules in your state or territory, including licensing, ID checks, records and holding periods. Also check with AUSTRAC about anti-money-laundering or cash reporting obligations, and get advice from an accountant or lawyer.