Fine art jewelry in general and open a gold shop in particular is one of the oldest business models on the market. All items in this industry are assessed as never afraid to lose, the customer file in this industry is rated as very quality. If you are having the idea of opening a gold shop, and wondering how much capital it takes to open a gold shop, what is the procedure, please refer to the article below.
1. Should you open a gold shop?
When it comes to opening a gold shop, many people think that this is a very picky business model and is only suitable for those who already have a strong financial backing.
From an objective point of view, these are not necessarily false thoughts. Because, the nature of the items in this field are of great value, the design trends change constantly. If you do not have enough financial strength as well as market sensitivity, the idea of opening a gold shop will hardly bring you the results you expect.
Besides, the psychology of customers when choosing a place to buy and sell valuable items such as gold, silver, and precious stones, often go to familiar addresses or famous gold shops in the market.
A problem is posed here, if you open a gold shop, how can the store become a trusted address with a fixed set of customers or how can your brand be noticed by many people? known.
The investment in opening a gold shop is inherently large, if you add marketing costs in the early stages, if you don’t really have the potential for financial rotation, then opening a gold shop may not be a good model. ideal fit for you.
And if, you have equipped yourself with sufficient capital resources, solid knowledge and experience in business and a keen mind for the market, then no matter what you do like opening a gold shop, the success rate will be high. Your base will be more secure.
2. What will you need to prepare for the gold shop?
Not coincidentally, the forerunners recommend that you prepare a lot of capital for the plan to open a gold shop. If you want to realize this idea, the capital you prepare will be paid for the following items:
2.1 Cash in
Most when opening a gold shop, shop owners will need to find a location with the following basic characteristics:
– Located in densely populated areas such as markets, town centers, districts, cities…
– Large street frontage house, many people pass by, or more commonly, open a gold shop in corner apartments, 2-3 facades to create attention for passersby.
– Locations for opening gold shops are places with good security, stable order and security situation.
With all the above basic requirements, for a premises with an area of 40 – 50m2, the average rental price will fall between 70-100 million/month (for big cities) and 40-50 million/month. with grade 2, 3 cities, towns, districts….
2.2 Shop design rental
Opening a gold shop is not just simply renting space and selling things. Instead, you will need to spend more money to repair the premises, close the cabinets, hire a designer to do the work to suit the business item.
The characteristic of opening a gold shop is that the products used for display must ensure absolute quality. From door locks to glass, all must be made of good anti-force materials, safety latches to avoid the worst possible situations. With these requirements, the cabinet to display gold will certainly not be cheap.
In addition, you also need to equip the store with at least 3-4 security cameras, located in all corners of the store. These devices also have to be expensive devices to ensure resolution and footage is not glitched.
Not only that, equipped with fire protection (fire prevention) and sales management software is also something that shop owners must buy for their stores if they do not want the opening of a gold shop to be judged as less professional. .
With all the above items, you have lost from 50-100 million (cost will vary depending on the area and location of the store).
2.3 Import fee
Cost of goods is the item that “eats up” the most money of the shop owner. The items in this industry are very diverse, from bracelets, necklaces, earrings, gold bracelets, silver bracelets, … all have many sizes. And to serve a variety of customers coming to you, you will have to enter many types and models with many different sizes and numbers.
Not only that, the amount of money imported when opening a gold shop is low or high depending on the gold price at that time. For example, in 2021 and 2022, the peak gold price is up to nearly 7 million VND/tael, multiplied by the number of goods you have to import, the amount of capital you need to prepare can be up to billions, even tens of billions of VND. .
3. What is the procedure to open a gold shop?
To open a gold shop, you will need to meet a lot of conditions as well as prepare the relevant documents, specifically as follows:
3.1 Conditions for opening a gold shop
This is a specific business, so to open a gold shop, you will need to follow the conditions set by the state. Pursuant to Decree 24/2012/ND-CP of the Government on management of business activities, there are regulations on conditions for silver trading business as follows:
– Being a business unit protected by Vietnamese law.
– Licensed to trade in gold and silver jewelry.
– Having a clear and specific business location, investing in modern equipment, meeting the regulations on fire prevention, security and the basic needs of the gold store.
– Prices of gold, silver, … need to be listed transparently, quickly updated according to the market price.
– Ensure to provide all required documents such as invoices, vouchers, etc.
see more: What is a business license? License registration procedure
3.2 Necessary procedures to open a gold shop
When the business owner has met all the conditions outlined above, next will need to prepare the following documents:
– Submit a soft copy of business establishment to the national portal, apply for business registration (3 days processing)
– When the results are available, you will submit the hard copy application to the business registration office of the Department of Planning and Investment, it will take about 2 days.
If you open a gold shop with gold and silver production services, the procedure will be much more complicated.
Above is all information to answer questions about opening a gold shop, the costs to spend when opening a gold shop and the procedures and conditions to legalize your gold shop. Wish you successful business.
