What break-even means
Break-even is the resale bid at which net proceeds recover the full acquisition cost for the same quantity. Suppose ten units were bought at 100 each, with a purchase fee of 5 and a resale fee of 5. Acquisition cost is 1,005. The required dealer bid is (1,005 + 5) / 10 = 101 per unit. These amounts illustrate the method, not current prices.
The gap from today’s input
If the entered bid is 98, net resale proceeds are 10 × 98 − 5 = 975, leaving a difference of 30. Reaching 101 from 98 requires a bid increase of approximately 3.0612%. The result predicts neither a future quote nor the time needed to reach it. A spot-price increase need not translate proportionally into an item’s buyback bid when premiums or spreads change.
Know the model’s boundaries
The calculation assumes the same quantity is resold in one transaction with the total fees entered. Partial sales, several purchase dates and quantity-dependent fees need separate calculations. Include tax or delivery only when actual terms require it. Keep item-specific quotes separate from a fine-gram reference; the required bid must be read in the same product unit as your input.
Unit and pricing references: LBMA · Conversion Table · LBMA · The Price. Site calculation method