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How to start a business selling precious stones

Precious stones are beautiful and exciting to own, but what's more exciting is running a precious stone or gemstone business. Other than the fact that they're beautiful to have around, precious stones generally don't depreciate in value - gemstone value is usually based on supply.
More so, being one of the oldest businesses ever, selling precious stones is a very profitable business. If you’ve been considering starting a gemstone business, here’s how to start:

1. Do your market research

You really don’t just want to jump into the precious stone or gemstone business without arming yourself with some research that would help you determine if there’s prospect in the business for you – if it’s the perfect business for you.

You want to talk to your ideal customers and also get feedback from people around – preferably not from friends and family that might not be so objective.

2. Choose the type of gemstones you’d sell

You’ve done your market research and made some decisions as to how to go about your business. One of those decisions must however involve the type(s) of gemstones you would sell. Would you like to specialize in higher-end stones like diamond and sapphire, or would you stick to lower end ones like tanzanite and topaz?

This is a decision you must make to avoid wasting your money and time and end up having a wide collection of stones you can’t sell – if you’re not already out of business.

3. Invest time and money

Well, we are talking selling precious stones here, so you must’ve at least imagined it would come at a cost.

As I’ve said earlier, you must choose the type of gemstone you’d be selling. Cost might be a major factor in making your decision however. Depending on the precious stones you choose to deal in, gemstones can be very expensive, and starting up would require some major investment.

More so, you must be willing to invest time. Running a precious stone or gemstone business requires a lot of experience, like knowing how to cut or polish stones and knowing about diamond color – which can only be gotten with age in the business. You must also learn to have a lot of patience for the time it might take for the business to become very profitable.

4. Determine your ideal clients

You really can’t serve every kind of audience in the precious stone business. You want to select a group you’d cater to so that your work can be easier and your business can grow faster.

You can decide to import rough stones from out of the country and sell to retailers, and you can also decide to hire a gemstone cutter and sell on the retail market – directly to consumers. You can even decide to buy cut gems and place them into gold, silver and other types of jewelry and sell as a premium jeweler.

5. Start small

As a first time buyer, you’ll most likely make some purchase mistakes – just like most other first-time buyers. It’s okay to make those mistakes at the beginning – don’t beat yourself up – but with time you’ll find your way in the gemstone market.

Therefore, the best way to start out in this business is to start small. The best advice I’ve seen about starting the precious stone business is: “start as a hobby for fun.” Then with time, especially after you’ve found your niche and footing in the business, you can gradually go bigger and then it becomes serious business.

6. Have a selection of certified gemstones

To build trust and confidence with your customers, endeavor to get your gemstones certified by bodies like the GIA (Gemological Institute of America). Your gemstones will be tested in their laboratories and given certificates. This will help influence the buying decisions of your customer in your favor.

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