One of the fastest-growing fields for independent business owners is precious metals sales. Working adults who want to start a potentially profitable side job that can eventually transition into full-time work are exploring the viability of precious metal brokerage as a career path. While the niche is expanding at a relatively rapid pace, new entrants must understand not only the benefits but also the challenges of getting started.

The majority of startups in the sector are part-time, one-person entities. The pursuit works well for serious-minded people who are willing to spend the time and effort to slowly build up a client base, write a detailed action plan, and take out small business loans to cover initial expenses. Unlike hundreds of other entrepreneurial pursuits, setting up shop as a broker means making a modest upfront investment for a few items and then spending a lot of time acquiring those first few customers. Here are the essential things you'll need to do in order to improve your financial wellness and become a precious metal broker.

Making a Marketing Plan

In the metals brokerage field, a majority of the initial effort should center on marketing. That means every practitioner must craft a detailed plan of action that includes business cards, taking part in online discussion forums, and joining local social groups like chambers of commerce and entrepreneur societies. Consider buying paid local radio, print, and TV spots as an initial way to develop a regular customer base.

Getting a Small Business Loan

Starting a brokerage company in the metals sector is an exciting prospect, particularly because it offers long-term financial stability, total independence, flexible work schedules, and a chance to earn a living even in the worst economic scenarios. Fortunately, new entrants to the field can take out small business loans to cover any unique expenses. By far, your main cost is acquiring an inventory of gold and silver bullion and storing it in a secure location.

Be sure to apply for a loan as soon as you decide to become a broker. Keep an eye on the spot prices of silver and gold, and decide on how many ounces of each you want to purchase. Some owners choose to focus on just one of the two hot selling metals and make those kinds of decisions before applying for a loan. It's better to have a little more bullion in your bank safety deposit box than you think you'll need during the first few months of operations.

Acquire and Store Your Inventory

Store bullion in a bank's safe deposit box. You can also use the bank as a place to transfer metals to buyers. The cost of a safe box is very reasonable and offers huge advantages over home-based or locker storage. To acquire your first batch of bullion, try to find a local coin or metals dealer that offers bulk discounts and is willing to give you a price as close to spot value as possible. Establishing a relationship with a fair, reputable, and trustworthy wholesale seller is something you should focus on during your first year in business. Purchase two trade legal scales, several purity testing kits, and several high-quality magnifying glasses equipped with battery-powered lights.