Do you want to start a gold business or want to invest in gold but lack ideas? If Yes, here are 50 gold related small business ideas & opportunities for 2019.
For centuries, gold has been the object of desire and envy for many people because of its beauty, allure and worth. A lot wars were fought and lives were lost in the quest to gain possession and control of this precious metal. Investing in gold through ownership of the metal itself, mutual funds, or gold mining stock always earn the investor higher profits than investing in cash, because as the dollar falls, gold will inevitably rise.
The real potential for profits in the coming years and decades is not going to be found in the traditional American blue chip industry. The flexibility of gold has ensured its profitability even into the future. If you want to be part of the lucrative gold industry, here are ways you can invest in gold and make huge profits.
50 Best Gold Related Business ideas & Opportunities for 2019
- Direct ownership
Direct ownership of gold means an investor owns an entire gold bar or ingot in his/her full name. The big disadvantage to owning gold is that it tends to trade with a wide spread between bid and ask prices, so there is a tendency that one might not make so much profit from it.
However, gold is usually used to hold value, and since dollars are most likely to fall in value, gold is the best place to preserve value. The best forms for gold ownership are through minted coins like the South African Krugerrands, Canadian Maple Leafs, or American Eagles.
- Gold exchange-traded funds
An exchange traded fund (ETF) is a type of mutual fund that trades on a stock exchange like an ordinary stock. ETF offers a practical way to hold gold in an investment portfolio. The ETF’s exact portfolio is fixed in advance and does not change. Gold ETFs provide investors with exposure to gold by tracking the price changes of gold. This allows investors to profit from gold price changes without having to own the physical asset.
- Gold mutual funds
By definition, mutualized gold is a means to own gold alongside other investors (mutualization). This basically means that the same gold bar is owned by many investors, with each owning a part. For people who are hesitant to invest in physical gold, but still desire some exposure to the precious metal, gold mutual funds provide a helpful alternative. These funds hold portfolios of gold stocks.
- Start a Junior gold mining company
A junior mining company is an exploration company that looks for new deposits of gold other precious minerals. These companies target properties that are believed to have significant potential for finding large mineral deposits. Junior exploration companies are a major source of future mine supply.
Their level of stock is more speculative. Junior stocks are less likely to own productive mines, as exploration provides higher potentials for profit but also with greater risk of loss. Capitalization is likely to be smaller than capitalization of the senior gold stocks.
This range of investments is for investors whose risk tolerance is broader, and who accept the possibility of gold-based losses in exchange for the potential for triple-digit gains. You can start a junior mining company and make a lot of profits.
- Start senior gold mining company
A senior gold miner simply refers to the largest producers that have an established position, more liquidity, and therefore are considered to be the less risky of the gold producers. The reason an investor would buy a senior gold mining stock is to leverage upside to the price of gold. In other words, when the price of gold rises, a senior gold miner would, in theory, outperform the gold price because it is increasing its gold production.
- Become a gold streamer
Gold stocks are known to be quite risky, as not only can the price of gold impact returns, but other production issues can also affect the metal. Building a new gold mine is very costly and has been known to cause problems for even the largest of gold producers as overhead costs can swallow up all your profits. This is basically why gold producers both small and large often turn to precious metal streaming companies to help them fund new mines. You can start a business as a gold streamer and help miners locate viable mines.
- Trade in gold options and futures
The gold option is for the more sophisticated and experienced investor. It is a trading platform. An option gives the buyer the right, but not the obligation to buy (or sell) a certain asset at a specific price at any time during the life of the contract.
Buying gold options does require the payment of a premium before one can start trading. Options allow you to speculate in gold prices, and you can speculate on price movements either upwards or downwards. Buying options is risky, and more people lose than win, but if you have the experience and professionalism, you can test your prowess in this risky but profitable venture.
- Become a gold flipper
Gold flipping is basically buying and selling gold for profit. Here you buy the gold when price drops and sell when it rises. Gold coins are the kinds of assets that appreciate in value over time. The older the coins get, the more valuable they become most especially if they are of a rare kind and still in mint condition. So what can be more enjoyably profitable than buying, collecting and selling gold and silver coins?
- Local Gold Dealer
A local gold dealer is a person that buys gold from people in exchange for cash. These shops are a fast and convenient way to sell gold coins. As a dealer, you get to make profit by charging more to sell the gold than you paid to purchase it.
One of the items frequently exchanged in a pawn shop is gold, and they come in various forms ranging from jewelry to coins and cases. In the United States, there are an estimated 12,000 pawn shops in operation. More than just buying and selling precious metals, pawn brokers also buy, sell, and pawn gold coins, bullion and other precious metals.
- Host gold Coin Shows
Another gold related business one can start is to host coin shows. Hosting coin shows is a good way to start a gold business. Coin shows are a fun and great place to browse collectible gold coins and bullion products. Depending on the size of the show, you can have anywhere from 30 to 40 to over 100 different coin dealers all in one place at the same time. If you are a known figure as far as gold is concerned, you can easily attract gold sellers and buyers to your show.
Utilizing the versatility of the internet is probably the most popular way to buy and sell gold, and this is done through online dealers. There is no shortage of bullion and precious metal dealers that operate online and you can join up if you have been certified.
- Host gold Forums
Apart from online dealers, community forums are another way to sell gold online. You can start a forum that shares knowledge, ask questions and offer opinions about gold and the gold market in general. It is easier if your forum is online, and you need to have experts on board (if you are not one) who would answer peoples questions.
- Start a gold related blog
If you want to start a gold related business but you do not have the heavy capital required to invest, you can simply start running a blog that focuses on the gold market. You can focus on giving out information, tips, news, gold making trends, patch note analysis, and more on your blog and you would surely get loads of like-minded followers.
- Open a gold reseller shop
A reseller is a company or individual (merchant) that purchases goods or services with the intention of selling them rather than consuming or using them. This is usually done for profit (but could be resold at a loss if you are not careful).
You can start a gold reseller business if you have the ability and you know where to source quality gold. Opening a gold reseller shop is another way to key into the gold business. Here, you get to buy second hand gold from people and resell them for profit.
- Become a gold researcher
The gold market is dynamic, with many factors affecting it at any given time. You can provide a broad range of stakeholders the insights necessary to make informed decisions when buying or selling gold by making very informed research into the gold market. You can publish your findings in your blog or newsletter.
- Become a gold speculator
Gold speculating is the act of investing in gold when you think it will soon increase in value so that you can sell it at a profit. Speculators always try to be smarter than the market so that they can make tremendous profit from it. This business requires very deep understanding of the gold market before you can make any profits from it.
- Start a gold safe keeping program
A gold safe keeping program is run by gold dealers. The dealers basically store gold for investors. You can start a safe gold safe keeping program where you get to store gold for investors. This type of business is not everyone and you must be able to safely keep the gold till the dealer wants it. You would make your profits by charging fees to preserve gold for the owners.
- Become an Authorized gold Purchaser with the United States Mint
Becoming an authorized gold purchaser with the United States mint lends your business an air of authority, but the requirements you must meet are a bit strict. According to the requirements, you must have a business net worth of at least $25 million for at least 3 years, you must be in business for 5 years or longer, and you must become certified by a CPA who is a member of the American Institute of Certified Public Accountants. Though the requirements are stringent, but if you manage to scale the hurdles, you would earn yourself a lot of credibility in the gold market.
- Host gold parties
You can host gold parties where you will invite guests to bring their unwanted gold items along. You will mostly collect and pay guests for the gold that they bring in to sell at the party, and then you will sell the gold to a refinery that will hopefully pay you a higher price than you originally paid for the items.
You can equally sell some of the gold items to clients who want to purchase them at the party, for profit of course. Most states require you to check your customers’ photo IDs before selling gold to them, so make sure that you understand the laws of your state.
- Gold mining
Gold mining is the resource extraction of gold by mining. It is one of the oldest methods of entering the gold business. Gold mining is a global business with operations on every continent, except Antarctica, and gold is extracted from mines of widely varying types and scale. This business is often done on a large scale and as such is capital intensive, but it is very lucrative for any entrepreneur that wants to invest in gold.
- Sale of raw gold
Gold is known to come naturally in nearly pure form. Raw gold is the generic term for gold nuggets, gold dust and pocket gold. The easiest way to sell raw gold is to find a company that does both assaying and refining of precious metals. There is also a market for raw gold used for jewelry and decorative purposes and you can sell raw gold on eBay or to dealers who market gold in this fashion.
In order to sell raw gold, you have to first of all find a reliable dealer or place you can purchase the raw gold from. The next step is to have your raw gold assayed. An assay is a chemical test that verifies that what you have is gold and determines the gold content in your gold because a lump of gold is always mixed with other minerals.
Next, you find a dealer to buy your raw gold. In many cases, the assay service also buys and refines the gold. Sell your raw gold, but plan on selling in such a way as to make profit from the trade. You need to keep record of all your transactions for tax purposes.
- Open a goldsmith business
You can open a goldsmith center where you provide services such as gold casting, gold purification, moulding gold into jewelry and iPhone cases etc. Before you can open a goldsmith business, you have to be very creative so that you can satisfy your clients always.
- Start a Gold casting business
Gold casting is a process of making jewelry and other pieces from either pure or already refined gold. The process involves the pouring of liquid gold alloy into a mold to create a product or image. It is usually referred to as lost-wax casting because the casting mold is created using a wax model that is melted away to leave a hollow chamber in the middle of the mold. You can start a gold casting business where you repair or recreate gold for customers.
- Start a gold purification business
Gold does not exist in nature in the same form that it is in the jewellery that we buy. It often occurs as grains, flakes, masses or veinlets in rocks. After gold ores are excavated from the surface of the earth, they are ground to extract the metal. But the metal at this stage still contains a variety of impurities, including copper, zinc, iron and silver.
To eliminate these impurities, gold then undergoes the purification process. There are various methods used to purify or refine gold and they include; through the use of acid, use of fire, and use of electricity. You can set up a business where you purify raw gold for miners.
- Start a gold valuation business
If you are well versed in gold, you could start a gold valuation business where you check the market value of people’s gold before they go to the pawn shop to prevent them from getting ripped off. In order to promote your business, you can hold gold valuation parties from time to time.
You can have people invite their friends and ask them to bring any gold they wish to have valued along with them. They may take your offer on the night or they may simply take a business card, go home, and think about it and telephone you later.
You may find that people will be happy to sell to you whereas they would have felt uncomfortable taking their gold to a pawnbroker or a “cash-for-gold” store. Word of mouth is the best advertising in this business.
- Buy gold teeth
Despite the fact that gold is a very expensive metal, but people regularly use it as tooth replacement. Gold teeth are an unexpected part of buying gold that most people don’t know is even possible. In fact, some dentists keep their gold teeth for their retirement so they can sell it and live off the proceeds. You can specialize in buying gold teeth from people who wish to sell theirs. If you are presented with any, you will need to knock the enamel away from the gold before weighing.
- Gold plated jewelry making
Nowadays, gold plated jewelries are becoming very popular among the every age group of people. You can establish a small scale manufacturing unit with moderate capital investment where you can make this jewelry. The manufacturing process is simple and the product has the great potential market because it is not as expensive as the pure gold jewelry.
You can start a business where you buy up and sell gold scrap metals. Paying the scrap metal value for jewelry and watches is fine and you will be able to earn good profit from the business. But before you sell, consider selling the watch or jewelry at auction or on Ebay.
Do some research on the piece before putting it up for sale. If it has an interesting history, you could earn well from it. You may get more for them than the scrap metal price if it is a desirable object. If the scrap items don’t sell for more, you can then sell it for its metal value.
- Sell gold testing kit
For someone who needs to start any business that deals with handling gold, a gold testing kit is a necessity. The testing kits are used to verify what carat gold a customer brings to the store. Your kits should contain different acids that will test for 10k, 14k, 18k, and 22k. You can market your business to pawn shops, gold scrap metal businesses and other businesses that deal in gold as a metal.
- Gold coins collector
Gold coins are mainly produced as bullion coins to investors and as commemorative coins to collectors. While also modern gold coins are legal tender, they are not observed in everyday financial transactions, as the metal value normally exceeds the nominal value. A collector collects these gold coins and bullion for safe keeping and maybe to sale in future.
In July 2002, a very rare $20, 1933 Double Eagle gold coin sold for a record $7,590,020 at Sotheby’s, making it by far the most valuable coin ever sold up to that time. If you are lucky, you can come upon a coin as rare as this and make some fortunes off it.
- Start a goldsmith training center
If you are a professional and well trained goldsmith, you can set up a training center where you can train other aspiring goldsmiths on the art of turning raw gold into jewels. You can offer jewelry training courses, gold testing and purification courses, and you can equally provide a workshop space for jewelry businesses.