Your Personal Valuation Equipment | Lesson 3

Your Personal Valuation Equipment

Let’s have a quick reminder about our last session.

The other types of Valuations were mentioned and we could see how each of them stem from the ‘Master Valuation’ figure. Once we have this as a basis to work from, we can confidently arrive at any of the other types.

We also covered briefly:

• Percentage markdown on other types.
• How second-hand values are arrived at.
• Why we need to tell items of Jewelry apart.

This ‘Markdown’ depends on each individual. One dealer may be prepared to pay a little more than another, simply because they work at a lower profit margin, or they may have a shortage of stock in a particular category. Finally, it may be because they have someone they can pass an item of jewelry on to quickly and without too much risk.

So what can we expect in today’s tutorial.

• How the Jewelry Trade makes a profit
• What equipment we will need to do a Valuation
• The information we must gather before we start.

Fundamentally it goes something like this:

The gold miner and the gem miner make a profit. The gem merchants and the bullion dealer makes a profit. The manufactures make a profit. The wholesalers make a profit. The Retailers make a profit - and then the government slaps a tax on it.

Gee Whiz!

As each of these pass up the chain, the price can double. Yes Double.

A 4 gram nugget is dug out of the ground for around $25 dollars, refined and sold for $50 dollars, manufactured for say $100 dollars, Wholesaled for $200 and then sold in the stores to the general public for approx $400 plus tax.

And this assumes the jewelry was made in 9Kt. Not bad eh?

But wait… There’s more.

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