Start a gold and diamond buyer business by appointment

Sellers are people clearing out drawers, estates or inherited jewelry. You then sell to refiners, jewelry dealers, wholesalers and, for wearable pieces, resale customers.

You earn the gap between what you pay a seller and what you sell for. Margins on gold are thin and tied to the market price, so profit depends on accurate testing, fair offers and steady volume.

• Testing and valuing gold, silver and diamonds
• Negotiating fairly and clearly
• Careful record keeping
• Spotting fakes and plated items

• State or local precious metals dealer, secondhand dealer or pawn licensing, and any required holding periods or police reporting
• Recording seller ID and details for every purchase, since stolen jewelry is a real risk
• Cash handling rules, such as IRS Form 8300 for large cash transactions, and whether anti-money-laundering rules apply to you
• Insurance for stock held and in transit, and personal safety when meeting strangers
• Lab-grown, synthetic or plated items sold as genuine, so test before paying
• Home occupation permits, and HOA or lease rules if customers visit your home

Estimates put startup costs typically around $2,000 to $10,000, depending on your testing tools, buying cash and insurance. Check insurance for stock held and in transit, and plan for personal safety when meeting sellers.

Estimates suggest monthly revenue typically around $2,000 to $10,000, depending on how much you buy and resell. The estimates assume at least about 8 hours a week. Test every piece before paying, since plated or synthetic items exist.

Check state or local precious metals dealer, secondhand dealer or pawn licensing, plus any holding periods and police reporting. Record seller ID for every purchase, and check cash rules such as IRS Form 8300 and whether anti-money-laundering rules apply to you.