Why you should consider precious metals critical to your business survival during crisis
Today’s usual payment methods (cash, check, debit, credit) for goods and services are under attack:
1. Inflation continues to erode purchasing power of US fiat paper currency
2. Woke financial institutions are punishing customers for certain “incorrect” purchases
3. Multiple unfriendly nations are banding together to destroy US dollar “reserve currency” status
4. Our out-of-control government continues to push for CBDC (central bank digital currency)
5. Increasing number of financial institution failures raises probability of “bank holidays”
6. Several states have introduced legislation to designate gold and silver as “legal tender” History seems to indicate that things can, and most likely will, get much worse before getting better. What can you do, as a small business owner, to increase your possibility of survival? The answer is:
Adapt as you have in the past and continue to meet your customer’s needs. This time it will be acceptance of precious metals as a form of payment.
Your initial response to this suggestion is likely: “But I do not know anything about precious metals!” In reality, you already know more than you might realize. Remember years ago, when US money had much more value and loose change was commonly used to make purchases? You know, those dimes, quarters, and half dollars that are not used much today? You might not know how valuable some of those have become. In fact, some are worth today about 20 times their face value due to their silver content. A pre-1965 Washington quarter is worth about $5.00! You accepted them before. It is time to accept them again, but at their new valuation. Once you become comfortable with that concept, we will show you other possibilities. Take baby steps. First, smaller silver transactions. Then you can go for gold!
Interesting quote from the book It Ain’t Gonna Happen: A Return to TruthTM:
Gold is the money of Kings Silver is the money of gentlemen
Barter is the money of peasants Debt is the money of slaves
Which class do you prefer?
Common questions regarding precious metals:
1. Why consider metals
a. Rarity and intrinsic value
b. thousands of years of use in commerce
c. stability of value – hedge against inflation
d. easily hidden and portable storage of wealth e. easily recognized – verification methods exist f. quite suitable for barter
2. Which metals should you consider
a. gold is most popular for larger value storage and portability b. silver is most popular for every day transactions
c. other metals less recognized
3. What form of the metals best suits your goals
a. Bars – most compact but can be challenging to spend b. Coins- easiest to spend and recognize
c. Rounds- can be difficult to determine value d. Numismatic values- may not apply in crisis
4. When to buy
a. Before crisis strikes when prices will likely rise quickly
b. When opportunities present – stay in contact with dealers
5. Where to buy
a. Established vendors – local or internet with established reputation
b. Be wary of individuals and Ebay where problem resolution could be difficult
c. Consider precious metal verification equipment
6. How to buy
a. Pre-1965 “Junk” or “Constitutional” 90% silver
a.i. contain about 0.715 ozt (Troy ounce = 31.1 g) per $ face
a.ii. Typically sold as a multiple of “face” value; about 20x today
a.iii. Silver dime value/costs about $2; a quarter about $5; a half dollar about $10 a.iv. Modest investment required:
a.v. Recognizable and less likely to be counterfeit
a.vi. Beware of weight shrinkage due to heavy circulation of older types b. “Collectible” sovereign coins with variable numismatic values
b.i. US Eagles, Canadian Mapleleafs, South African Krugerrands, etc
b.i.1. Spot price per ozt determined by world demand/availability
b.i.2. Condition: Circulated, uncirculated, proof, graded, mint errors
b.i.3. Premium is the dealer cost plus profit margin plus market demand
b.i.4. Typically, available in 1 ozt and fractions (1/2 1/4, 1/10)
b.ii. Available in silver and gold b.iii. Metal content % varies
c. “Collectible rounds” with variable numismatic/collectible values c.i. Supplied by various private mints
c.ii. Metal content can vary widely; could be as low as a few mg of plating c.iii. Could be difficult to determine value in crisis
c.iv. May have high acquisition premium d. Bars / Bullion
d.i. Available from 100 g (3.215 ozt) to 1000 ozt in silver
d.ii. Available from 1 g to 1000 g in gold
d.iii. Cost usually determined by “spot price”, and “premium”
d.iv. Supplied by various private mints
d.v. Can be quite decorative with little premium
7. Where to store your precious metals
a. FDR ordered confiscation of privately owned gold
a.i. Bank safety deposit boxes were forced open and gold taken
a.ii. Paper compensation was about 40% less that the gold was worth
b. Gun safe – preferably fire proof and for other valuables/papers
c. Secret hiding places in/near your home
d. If it is not in your possession, it could be taken or lost