#80 - It's Easy To Make Money

Posted on Thursday, December 3rd, 2020 at 9:38 am by LaLonde Jewelers

I remember my first employer in the jewelry business. I worked for him for about 8 months before I decided to go on my own.

He was kinda crude in his ways and I always remembered what he used to tell the young man who wanted to resell his engagement ring because it hadn’t quite worked out with his fiancée Every time the young man would say he bought the ring for an investment and my boss was quick to point out that “You bought the ring so you could sleep with the girl and it didn’t work out.” He was tough on them but he was usually right.
Well through the next 40 plus years I have come to find out that most people use the same kind of theory. Almost everyone says that they purchased their piece as an investment.

I’m certain that they didn’t buy the green stone ring, or green stone necklace because it matched their beautiful new green dress. Or the new pearl necklace because it matched the beautiful new gown that you are wearing to your daughter’s wedding. No, for sure they were purchased for investments.

So now it comes time when the items are not worn anymore, people’s habits change. They don’t go out as much, they may be aging, or styles have changed.
Well, I will take it to a jeweler and see how much I can sell it for. But remember you bought it for an investment and all investments make money.

Over the years I have known places that would buy only if you had owned the ring for 40 plus years. The reasoning was that if you paid $1,000 for the ring, got forty years of enjoyment from it and now was being offered $1,200, it sounded very logical.

This apposed to paying $4,000 for a ring and 6 months later getting offered $2,200 it doesn’t sound so good. Remember it was your fault things didn’t work out, not the jeweler's. Also, the jeweler most likely went out and replaced his stock that he sold, he really doesn’t need your ring.

Very few things increase in value to where you actually make money. Who makes the money? Interest, inflation, and upkeep. In the year 1980, $800.00 would buy more goods and services than $2,200 would in 2010.

I was thinking one day, everyone who wants a piece of jewelry should just get into the jewelry business. After all, everything purchased you can sell for more than you paid.

Written by Dan LaLonde, G.G., G.I.A.
Lalonde Jewelers & Gemologists
The Gem Expert