A Birmingham-based bullion company has seen a massive 鈥 and is celebrating sales of 拢87 million just five years after a modest 拢10,000 launch. 聽聽聽聽聽聽聽聽聽聽聽
BullionByPost, which has mushroomed to become the 海角视频鈥檚 largest online bullion dealer selling gold and silver bars and coins to private investors, has cashed in on increasing demand for tangible assets in the fragile economic climate. 聽聽聽聽聽聽聽聽聽聽聽
The Birmingham company, founded in 2008 by entrepreneur Rob Halliday-Stein with just 拢10,000 investment, saw sales hit 拢87 million in 2012-13 鈥 a rise of 58 per cent on the previous year. 聽聽聽聽聽聽聽聽聽聽聽
The firm made a profit of around 拢2 million last year and is forecasting turnover exceeding 拢120 million next year. 聽聽聽聽聽聽聽聽聽聽聽
BullionByPost has been so successful it is moving from to new city centre premises in Hill Street, and is creating 10 new jobs. 聽聽聽聽聽聽聽聽聽聽聽
The economic downturn, fears over the Eurozone and growing concern over the safety of banks has made many investors consider buying gold and silver bars and coins to protect the value of their money.
Meanwhile, the sharp fall in price of gold in April led to a significant rush in demand, with weekly sales hitting a record 拢4.7 million. 聽聽聽聽聽聽聽聽聽聽聽
Mr Halliday-Stein said: 鈥淲e have had an amazing year driven by the uncertain economic outlook, increased fears of future inflation resulting from the quantitative easing and growing distrust of banks.
鈥淲e have also increased our market share as our passion for great customer service has driven record repeat orders and recommendations.鈥 聽聽聽聽聽聽聽聽聽聽聽
Mr Halliday-Stein said he planned to recruit a further 10 employees over the next year, to keep up with the company鈥檚 rapid growth. 聽聽聽聽聽聽聽聽聽聽聽
鈥淲e had outgrown our existing premises and the move to new purpose-built premises in the heart of Birmingham gives us the space to significantly expand the team.鈥 聽聽聽聽聽聽聽聽聽聽聽
Mr Halliday-Stein launched the new business model after spotting a gap in the market when he was left some money following the death of his mother in 2008, and wanted to invest it safely. 聽聽聽聽聽聽聽聽聽聽聽
He found that established bullion dealers were often difficult to approach for the small investor, as they preferred to deal only with larger trade customers, and charged high margins. 聽聽聽聽聽聽聽聽聽聽聽
An added attraction for investors is the lack of VAT on investment gold, while British coins are exempt from capital gains tax as they are classed as legal tender.
Due to demand from customers, Mr Halliday-Stein has been working with The Royal Mint, which supplies brand new Sovereign and Britannia coins. 聽聽聽聽聽聽聽聽聽聽聽
Nick Bowkett, Bullion Manager at The Royal Mint, said: 鈥淭hanks to our proud heritage and expert craftsmanship, The Royal Mint鈥檚 Sovereign and Britannia coins are recognised the world over. 聽聽聽聽聽聽聽聽聽聽聽
鈥淪ince the dip in the price of gold, The Royal Mint has seen a steep increase in demand for its gold coins which has continued over recent months.
鈥淪elling through respected distributors, such as BullionByPost, has helped us in our aim to drive our global bullion sales.鈥 聽聽聽聽聽聽聽聽聽聽聽
In the last three years BullionByPost has handled more than 57,000 orders, and are insured by Lloyds of London up to the value of 拢50,000 per delivery.
