Sri Lanka Gen Stones – Distribution Rights
Investment Summary
   
Business Model: Wholesale and Retail; Precious and Semi-precious Gemstones
   
Location: South Florida
   
Seeking Investment of: $50,000.00
   
Investor Return: 15% – 20%
   
Project: Wholesale and Retail Sales, Distributor & Partnership
   
Estimated Retail Cost: 33% to 100% markups
   
Project Value: Some Gemstones go for $millions
   
Investment Insurance: No
   
Collateral: The Gem Stones
   
Company: HI LINE Trading (PVT) LTD
   
EBITA: Startup 2 (a)
   
Project Category/timing: Sales & Distribution/ASAP 
   
Management Team: 3rd Generation Landowners, Miners & Purveyors   
   
Growth Potential: Small business (< 25 employees)  
   
Intellectual property: No
   
Product: “Cut/Polished” and “Rough” Precious and Simi-precious Gemstones.
   
Product Summary: Sri Lanka is best known for their World Class Blue Sapphires but Rubies, Padparadscha Sapphires and Alexandrite remain in  good demand.    
   
Business Plan/financials: None Available
   
Contact H. Skip Robinson – 561-596-1004 * hskiprob@gmail.com

Throughout history, Sri Lanka has been known as a land of gems. King Solomon was said to have procured a great Ruby for the Queen of Sheba from Ceylon. Marco Polo wrote of wonderful Ceylon gems.  The Blue Sapphire is king of Sri Lankan gems. The 400 carat Blue Sapphire called “Blue Belle”, which adorns the British Crown, is from Sri Lanka as is the beautiful star sapphire misnamed the “Star of India” displayed at a New York’s Museum of Natural History.  Besides rubies and sapphire, Sri Lanka also provides bears cat’s eyes, alexandrites, aquamarines, tourmalines, spinels, topaz, garnets, amethyst, zircons and variety of other stones.  Sri Lanka, the island known as the Pearl of the Indian Ocean lives up to its nickname as a hotbed for a variety of gems. Sri Lanka is home to 40 varieties of Gems out of 85 varieties available in the entire world. Gems of Sri Lanka have found there way to most countries since time immemorial.

A predominately family and operated company, they have expanded their business into some African countries like Madagascar and Mozambique. 80% of gems today are controlled by the Sri Lankans. This company mine and purchase cut and polish fine stones in the 5-34 kt range but they also purchase large rough stones such as rubies as well and sapphires. Blue Sapphires, Rubies, Padparadscha Sapphires, Alexandrite which is green in daylight and under artificial light it changes to red, have the greatest demand in today’s market.

They do sell to America but it is on a very limited basis so they’re seeking a sales and distribution company/individual to concentrate and offer especially the higher quality gemstones.

This picture, a Ruby is currently being offered for sale. Recently they bought a rough Ruby stone of 28 ct from Mozambique, which after cutting and polishing was a 15 ct stone and was sold to a Thai dealer for $800,000. The profit margin that we generally apply for rough stones is 35% but can go to more than 100% depending on the stone. The profit margin that we generally apply for cut and polish stones on average rate is 20% but can increase to 50% depending on the stone. When dealing with the gem industry sometimes losses should be expected too occur although at small margins.

All gemstones exported must go through the Sri Lankan  government gemology agency that verify and grades each stone, including the packaging and shipping of the stone(s).

It is advisable to visit Sri Lanka and meet and see the business operations to have a better understanding. They operate under the name of HI LINE Trading, LTD a private company where a family member is the managing director.

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