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Buying and reselling of gold as a business.

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There are people that are always ready to buy any amount of gold that you have. These people would resell the gold for a profit. It is a thriving business in my country.

What do you think of this business of buying and reselling gold. It should be very capital intensive. Isn't it?
 
Buying and reselling of gold is a passive business for some people that have built some reputation in that business line.
 
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