-- Posted 24 April, 2009 | | Discuss This Article - Comments:
Silver Stock Report
As you may know, I purchased the Rocklin Coin shop. It has really helped our business, since we are now doing higher volumes of overall sales, and we can thus pass these savings on to you.
We have new lower prices for the following items, both at www.seekbullion.com, or if you buy it now on the phones, or come in to the Coin shop:
100 oz. silver bars: $1.25 over spot (we have over 7000 oz.)
10 oz. silver bars: $1.75 over spot (we have over 7000 oz.)
1 oz. silver rounds: $1.75 over spot (we have over 30,000 oz.)
It appears as if two of our main competitors got into a bit of an irrational price war, and sold out of many of those same products, and are now offering the same products "on a slight delay". One day, those delays may become permanent, if they are selling products that they do not have in stock, especially if there are unexpected, yet constant, extra delays from the manufacturers. Be careful who you trust out there. Nobody can make it in this business selling products at a loss, and you certainly can't make that up on volume, although some always do try!
We sell products that we have in stock. And we can thus offer the fastest delivery around, with never any delay. We have over $1 million worth of precious metals in stock, ready to ship. That allows us to turn about $100,000 of inventory per day, with no delays, as we wait for products from our suppliers, and don't pass any delay or default risk on to you.
If you would like to order over $100,000 worth of precious metals, we can order directly from our trusted manufacturers and suppliers, and if you are willing to wait for a manufacturing time from 2-3 weeks, we can offer a more personalized discount on such large orders. Ask to speak to me, Jason, personally when you call.
We also have gold for sale now, soon to be listed at www.seekbullion.com, and also available through phone orders, at new lower premiums.
What shocked me was the volume of business at the physical coin shop. It rivals what we do online, selling nationally. And that's with higher premiums at the coin shop that I was used to offering online! Normally, you would think that lower prices, and a larger national audience, would mean higher volumes. But this shop does brisk business. I suppose the two key differences in the shop are the instant "cash and carry" delivery, with no possibility of delays. Also, with the shop, people are more anonymous as cash buyers, with no computer records. Those are, of course, two key benefits of gold and silver themselves; no default, and total anonymity.
I would like to reassure internet buyers or telephone buyers of our extremely good reputation, as evidenced by over 300 satisfied user feedback generated comments. Most people are simply astounded by our fast shipping, because we sell and ship what we have in stock.
There are many skeptics out there. Recently, a few people have accused me of price gouging, or that I'm just scamming them. It's so funny, it's sad. Our low prices, we hear, are hurting several other competitors who are offering rounds over $2/oz. This industry is really quite small. Once again, if the average dealer makes $1/oz. on Silver Eagles, and if the US Mint only makes 20 million eagles per year, that's $20 million for the entire industry nationwide among all coin dealers. And on the 710,000 gold eagles, at a 3% markup of about $27 per coin, that's again only about $19 million for the entire industry, before costs! This is a tiny, cottage industry, and most dealers know most of the other dealers.
By contrast, Las Vegas pulls in, in total profits, or total losses by customers about $7 billion. 7000 million / 40 million = 175 times bigger industry. It's truly sad when you consider that those monetary flows are reflective of the culture of America.
If only people "gambled" on silver and gold, they would earn so much more money, it would be a "sure thing" by comparison to Vegas, which is a sure way to lose. There is no way that $7 billion annually could be spent on US silver eagles and Gold eagles in this nation, not even $1 billion more, as that would drive prices sky high.
And one day, that will happen, it's guaranteed.
China just admitted that they spent $30 billion on gold over the past 5 years!
Rocklin Coin Shop Now Under New Ownership
After five years of successful operation, Rocklin Coin Shop has changed ownership. Jason Hommel, a long time advocate of precious metals ownership, purchased the shop from the retiring owner on April 1, but he's no fool. LOL 8-)
“The previous owner had an amazing business model, and kept his customers happy by keeping his prices competitive, and buying at the highest rates,” says Hommel, “We plan to make our rates even more competitive to keep the existing clientele happy, and attract a wide range of new clients--even other dealers.”
However, despite the similarities that customers will see under new ownership, they can expect to see some changes. “Our focus is bullion, the precious metals,” Hommel stresses. "We're probably over capitalized for the needs of a local shop, but that only enhances value for our customers. So far, we've lowered the spread on silver bullion from $3.50 over spot, down to $1.75 over spot for bars and coins, and we have a lot of inventory--even a few hundred ounces of palladium, a precious metal more rare than gold that is often used in automobile catalytic converters."
Rocklin Coin Shop will continue to buy scrap gold, paying the most competitive prices in the area. Buying scrap gold is a specialty business that requires accurate testing, and a large capitalization to be able to gather up enough scrap to get the best prices from the large refineries. We also have to be willing and able to hold gold, and survive the market fluctuations in price.
“Rare Coins with value beyond the bullion content is not our core focus, but we can buy them, too.”
However, the most profound change that you'll see with the new Rocklin Coin Shop is a cross dedication to their own success and the success of their clients. "As a newsletter writer, I'm opinionated, and I tend to give excessive amounts of good advice, often telling people who are selling silver that they should be buying. We sometimes talk ourselves out of business! Fortunately, we can afford to be so silly."
“One of the reasons that we keep such a significant stock of investment grade bullion is because we believe that everyone should buy and hold precious metals,” says Hommel. “In these trying economic times, the only certain way to protect your financial freedom is by holding assets that will always retain value against inflation. Those assets are precious metals.”
Jason Hommel has been writing on the subject of investing in precious metals for ten years at his website, www.silverstockreport.com, an international newsletter with over 80,000 subscribers.
Rocklin Coin Shop is located at 4870 Granite Drive, right off the north side of the Rocklin Road Exit on I-80. Take the first left on Granite Drive, look for the large sign that says "Coin Shop". Come on by to see our selection of silver, palladium and gold. Hours are from 10-5PM, Monday to Friday, and on Saturday, from 9AM to 1PM.
Our goal is to help you preserve your wealth, secure your financial future, and provide for your economic freedom.
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-- Posted 24 April, 2009 | | Discuss This Article - Comments:
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