Interested in Being a Buyer/Seller

[RoRo1]

Hi. My name is Rowan, I am an American currently living in Morocco, and I was wondering if I could get your expert opinion on something?

Seeing that I am already in Africa and that it is a very mineral-rich continent, I was wondering how one might get into the business of buying gems/diamonds/precious metals from locals in various countries, then reselling them to major buyers? I am of course not interested in shady dealings, only above-table stuff.

What could you find folks tell me about getting into the African market? What kind of education, start up capital, etc would I need?
What are some good places to go for more info and what general advice could you guys give me? If anyone here feels I need some cold hard reality, please do not hesitate to give it to me!

I would appreciate any info you could give me, and look forward to hearing from you!

 

[Pandora II]

First, get a GG or FGA so you know what you are buying, how to ID things, when you need the big bucks lab machines, what treatments stones are subjected to etc. Read everything you can get your hands on and look at as many gems as possible.

Study the markets, learn what buyers want, what they don't, learn about cut, what makes a colour premium, why one stone is $10/ct and another is $10k/ct.

Then look at what you can do to market your stones that the locals aren't doing already. What is your value added? What sales avenues do you have - why will people trust you over someone else?

Do not imagine this is a get rich quick scheme or easy money. You could invest a lot and spend a lot of time sitting on it - could you afford to do this?

Personally I wouldn't touch diamonds or precious metals with a bargepole. Start with the lower cost coloured stones (ie do NOT go and buy a load of rubies... you will get very burnt.)

Good luck and if you make a million, come and tell me how you did it!

I have just given the same talk to a girl I know here in the UK who decided to set herself up as a gemdealer and asked me to look over her stock - everything was either glass, synthetic or lead-glass filled. I explained that you did not get a 3ct top colour ruby for £25 anywhere in the world and especially not from Hong Kong via eBay!

 

[minousbijoux]

Hi RoRo:

I notice that you started this same thread over in Diamond Hangout. In the future, you'll need to choose just one location for your thread.

There is another forum that some of us frequent. It is a site geared more for those in the profession. You might want to post this question there, as you will likely get more responses. If you google the word "gemology" I'm sure you will find the site.

 

[gsellis]

If you do not have experience in gem identification, I would discourage you from starting until you do. There is a large amount of fake material for sale.