I bought a few pieces of jewelry and liked them. I was selling my retirement stocks to live on and I asked Kenny... Head of customer service if I could make a living selling things from the show. He said one man was doing just that. I formed an L.L.C. And started liquidating more stock to buy merchandise. I talked with all show "stars" at one time or another and made sure they all knew that I was not some rich lady having fun.
I figured with the appraisals they were sending me that I could easily make a profit and still give people a good deal. After I took my things to my first trade show in Phoenix, I was told by several dealers that my good deals were often over retail. The appraisals I had were vastly inflated.
The show said that all appraisals were done out of house. What they did not say was that the out of house appraiser was also a Gem Shopping Manager. Can you say conflict of interest?
I have since had international and local appraisals done on many of my things and it will be years before they are ever worth what I paid for them. Kenny, head of customer service kept saying that I had one of the finest collections in the U.S. I was always reminding them that I was a business... Not a collector. Frank frequently gave me extended credit and sold me things from his "private stock".
Needless to say, I started this venture as a way of making money to save my house. It is going into foreclosure on August 14th. If I had just taken the $500,000 and paid down the mortgage I would still live there.
I refer to my collection of stones as magic beans because it will take some magic to make them worth what I paid.
One other thing. I asked repeatedly how I could find out info on stones to see what I should charge for them. GNS alway said they didn't have any advice for me. I asked one of my appraisers last July and was told to subscribe to something called THE GEM GUIDE. I have been getting it for over a year now... The same time I realized I was toast... And their highest price guidlines do not reach what I paid for stones of less that perfect quality.
I just had my East African garnet collection looked at by someone the GiA recommened and she wouldn't even do the appraisals because I paid way too much for the stones and she felt it was unfair to waste my time and money.
Its too bad. I think when Frank first started this business he was probably honest. Now he and the show talent know full well what they are doing is wrong.
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