Key Responsibilities and Required Skills for Gold Buyer

🎯 Role Definition

The Gold Buyer acquires gold, platinum, silver and other precious metals from retail customers, local sellers, dealers and vendors, performing professional appraisals, negotiating offers, and managing chain-of-custody and inventory to optimize margins. This role combines frontline customer interaction with market analysis, quality control (assaying/XRF/acid testing), regulatory compliance (AML/KYC), and procurement best practices to build a profitable, compliant buying operation.

📈 Career Progression

Typical Career Path

Entry Point From:

Jewelry Sales Associate with appraisal exposure
Pawn Shop Attendant or Cashier
Metals Assayer or Lab Technician

Advancement To:

Senior Gold Buyer / Lead Purchaser
Purchasing Manager — Precious Metals
Regional Buying Manager or Head of Precious Metals
Merchandising Director / Category Manager (Jewelry & Metals)

Lateral Moves:

Buyer — Silver & Specialty Metals
Retail Store Manager / Operations Manager
Inventory Control or Logistics Coordinator

Core Responsibilities

Primary Functions

Conduct comprehensive visual and technical inspections of jewelry and raw metals using XRF analyzers, acid testing, calibrated scales and loupe/microscope to determine karat, alloy composition, weight and intrinsic metal value, then document findings in the buying system.
Calculate fair market values by combining current spot price feeds, purity/karat determinations, labor/refinement costs and desired margin thresholds to formulate transparent purchase offers for sellers.
Negotiate purchase terms with walk-in customers, estate sellers and wholesale vendors, balancing excellent customer service with company profitability and established pricing policies.
Manage daily spot price monitoring and hedging strategy inputs (where applicable), adjusting buying thresholds and offers to protect margins while maintaining competitiveness.
Perform chain-of-custody documentation, labeling and secure transfer of purchased metals to vaults, refinement partners or inventory, ensuring accurate traceability and auditability.
Execute cash and POS transactions with strict adherence to cash-handling policies, register reconciliation, and internal controls to minimize shrinkage and fraud exposure.
Verify seller identity and ownership documentation and enforce AML/KYC procedures, filing Suspicious Activity Reports (SARs) and currency transaction reports (CTR) as required by law and company policy.
Maintain and reconcile daily buying logs, inventory records and transaction reports in the ERP/POS system, producing end-of-day and weekly reports for finance and operations teams.
Coordinate shipment and logistics for refined metals and consignments, selecting carriers, preparing manifests and ensuring insured transit in compliance with regulatory and corporate security standards.
Establish and maintain relationships with local and regional suppliers, refiners, estate agents and dealers to source inventory, secure favorable assortments and expand purchasing channels.
Collaborate with the jewelry repair and appraisal teams to determine bracelet/chain restoration viability vs. melt value, advising on purchase or referral to repair services.
Implement and follow quality control procedures for incoming metals and jewelry, quarantining suspect or mixed-metal items for further testing and preventing contaminated inventory.
Train and mentor junior buyers and storefront associates on testing protocols, negotiation tactics, documentation requirements and fraud detection techniques.
Lead pricing and sourcing initiatives for seasonal or promotional inventory buys, coordinating with merchandising and marketing teams to align purchases with sales strategy.
Identify and investigate potential fraud or altered items (plated, filled, or counterfeit pieces), using forensic testing tools and liaising with loss prevention as necessary.
Negotiate contracts and payment terms with refiners and wholesale vendors, managing lead times, minimum order quantities and return policies to optimize working capital.
Conduct market research and competitor intelligence on local buying rates, promotions and product flows to continuously refine buy formulas and store-level tactics.
Participate in audits, regulatory inspections and compliance reviews, providing documentation and implementing corrective actions when weaknesses are identified.
Manage inventory turnover targets for acquired metals and finished goods, collaborating with merchandising and sales to move stock efficiently and reduce holding costs.
Provide high-quality customer communications and follow-up with sellers about refinements, payouts and delayed valuations, maintaining reputation and repeat business.
Support digital intake channels (online sell portals, appointment booking) by validating photos, initial estimates and triaging high-value leads for in-person appraisal by senior buyers.

Secondary Functions

Support ad-hoc pricing analysis and margin modeling for new product categories or buyback promotions.
Assist loss prevention with investigations into suspected internal or external fraud schemes related to buying activity.
Help develop standard operating procedures (SOPs) for new stores or markets, including equipment lists, testing protocols and compliance checklists.
Contribute to vendor selection processes by evaluating vendor compliance, assay reporting accuracy and turnaround times.
Provide feedback to product development and merchandising on customer trends observed during buying interactions.
Participate in cross-functional meetings with finance, legal and operations to ensure robust controls and streamlined transaction flows.
Prepare training materials and quick-reference guides for store teams on testing methods, spot-price adjustments and documentation workflows.
Pilot technology or automation projects that improve buyback intake, valuation speed or inventory reconciliation accuracy.

Required Skills & Competencies

Hard Skills (Technical)

Precious metals assaying and testing (XRF operation, acid testing, fire assay basics) with consistent, documented accuracy.
Precision weight measurement and scale calibration procedures for gram, troy ounce and pennyweight units.
Strong pricing and margin calculation skills using live spot price feeds, purity conversion and cost-of-refinement models.
Solid experience with POS, ERP systems and inventory management tools; comfortable entering detailed transaction records and reconciling ledgers.
Cash handling, register reconciliation and safe/vault procedures with strict compliance to internal controls.
Regulatory compliance knowledge: AML, KYC, SAR/CTR reporting, and local precious metals licensing requirements.
Fraud detection and authentication techniques for plated, filled, counterfeit or altered items.
Experience coordinating logistics and insured shipments of high-value goods, including manifest preparation and carrier selection.
Proficiency with Microsoft Excel (pivot tables, lookup functions), data entry accuracy and basic reporting.
Contract negotiation and vendor management skills for working with refiners, suppliers and estate brokers.
Familiarity with jewelry construction, hallmark identification and karat marking standards (e.g., 10K, 14K, 18K, 24K).
Basic financial literacy: budgeting for buys, forecasting inventory needs and managing working capital for purchases.
Experience with customer-facing sales systems and CRM for follow-up and relationship management.

Soft Skills

Strong negotiation and persuasion skills to achieve fair purchase prices while maintaining customer satisfaction.
Exceptional attention to detail and methodical documentation habits to support audits and compliance.
High integrity and ethical judgment when handling valuable goods and cash transactions.
Excellent verbal communication and active listening to build trust with sellers and vendors.
Customer-focused mindset with ability to de-escalate conflicts and deliver transparent explanations of valuations.
Analytical problem solving and quick decision-making under pressure, particularly for high-value transactions.
Time management and organization to balance walk-in traffic, scheduled appointments and back-office reconciliation.
Team orientation and mentorship skills to train junior staff and maintain consistent store procedures.
Emotional resilience and discretion when handling estate sales, sensitive customer situations or large transactions.
Adaptability to changing spot prices, market conditions and regulatory updates.

Education & Experience

Educational Background

Minimum Education:

High school diploma or equivalent; demonstrated buying or cash-handling experience in retail or pawn environments.

Preferred Education:

Associate's or Bachelor's degree in Business, Finance, Supply Chain, Gemology or Metallurgy preferred.
Professional certifications such as Certified Professional Goldsmith, GIA credentials or assayer training are a plus.

Relevant Fields of Study:

Business Administration
Finance or Accounting
Gemology or Jewelry Arts
Metallurgy or Materials Science
Supply Chain / Logistics

Experience Requirements

Typical Experience Range:

2–5 years of hands-on experience buying gold, precious metals or working in pawn/jewelry buying roles.

Preferred:

3–7+ years of proven experience as a Gold Buyer, Precious Metals Purchaser or Senior Pawn Buyer with documented success in valuation accuracy, margin management and compliance with AML/KYC rules.
Demonstrated track record of negotiating with sellers, managing high-volume cash transactions, using XRF/assay equipment, and working with refiners or wholesale metal markets.