Risk Disclosures

1. Pricing and Buybacks.

Augusta Precious Metals (“Augusta”) sale prices and buyback prices are set internally and may change at any time for reasons solely determined by Augusta. Augusta classifies its products as either Common Bullion Products or Premium Products. Augusta’s prices vary between products, but both categories of products are generally priced based upon, among other factors, the value of the precious metal they contain, as determined by calculating the weight of the metal against the commonly known “spot price,” which value may increase or decrease (the “melt value”), and a premium above melt value, which may vary between products. This premium is solely determined and controlled by Augusta based on factors Augusta deems valuable in determining and controlling such premium. The premium may cause the price of a product to increase or decrease in value regardless of, and at times in opposition to, changes in the melt value.

Augusta’s prices are not necessarily related to or affected by the prices at which other dealers or institutions buy, sell, or value the same or similar products.

Although Augusta has historically made buy-back offers for the products it offers, Augusta does not guarantee that it will repurchase the products it sells. Augusta’s buy-back policy is subject to change for any reason without notice to the customer. Augusta cannot guarantee that another company will purchase Augusta’s products from you. If a company other than Augusta does choose to purchase Augusta’s products from you, it is likely that the other company would pay less than Augusta would pay in a buyback transaction for products originally sold by Augusta, as companies in the precious metals industry often provide more favorable buyback pricing to their own customers. In particular, other companies may only offer a price close to the “melt” value of the metals contained in a product (as defined by the weight of the metals multiplied by the “spot” price) when the product was originally sold by Augusta.

Augusta’s pricing methodology builds in a “Margin” (or “mark up”) that covers, among other things, advertising, employee salaries and commissions, and Augusta’s profits. The Margin is calculated in percentages by subtracting the price Augusta pays for its products (“Augusta’s Cost”) from the price at which Augusta sells the products to Customers (“Augusta’s Retail Sales Price”) and then dividing the difference by Augusta’s Retail Sales Price. The Margin for Common Bullion Products and Premium Products varies based on the individual product, but may be as much as 66% or higher for some products. These numbers are only approximations and are subject to change for a variety of reasons.

If a Customer desires to receive a buy-back offer from Augusta, then Augusta may (but is not required to) offer to repurchase the products at Augusta’s current buy-back price, without charging a separate liquidation fee. Augusta currently has the same buy-back tier for Common Bullion Products and Premium Products, which amounts to (but is not required to be) approximately a 5% discount off Augusta’s retail price of the products at the time of the buyback offer for both Common Bullion Products and Premium Products (the “Spread”). For example, if Augusta’s retail price of Common Bullion Products and Premium Products at the time of the buyback offer is $100 and the Spread for all products is 5%, Augusta’s buyback offer under this scenario would be $95. If Augusta is unwilling or unable to buyback any of its products at the Spread set forth above, then the worst-case scenario should be that you will be able to sell them to another buyer at “melt value,” defined as the value of the products determined solely for its intrinsic metal content (the weight of the metal multiplied by the “spot” price). Augusta reserves the right, unilaterally and at its sole discretion, to change prospectively at its sole discretion the rate of any of its Spreads, and Augusta reserves the right, unilaterally and at its sole discretion, not to make a buyback offer for any reason. For Customer to profit in a buyback transaction, the current bid price generally must exceed the original retail price for which Customer purchased the products.

Augusta is unable to guarantee the repurchase of a Customer’s precious metals at the time of purchase. Although Augusta has historically made buy-back offers for the products it offers, Augusta does not guarantee that it will repurchase the products it sells. Augusta’s buy-back policy is subject to change for any reason without notice to the Customer. Augusta cannot guarantee that another company will purchase Augusta’s products from a Customer. If a company other than Augusta does choose to purchase Augusta’s products from a Customer, it is likely that the other company would pay less than Augusta would pay in a buyback transaction for products originally sold by Augusta, as companies in the precious metals industry often provide more favorable buyback pricing to their own customers. Augusta encourages Customers to compare prices offered by other potential buyers with Augusta’s buyback prices before selling any products purchased from Augusta.

The “melt value” is the value of the products determined solely for its intrinsic metal content and may be calculated by multiplying the weight of the intrinsic metal content by the “spot” value of the metal.

2. Objectives.

Buying precious metals involves certain costs, including Augusta’s Margin, that are built into the purchase price. These costs could diminish the value of your investment. Augusta does not guarantee and makes no representation, that Common Bullion Products or Premium Products will appreciate at all or appreciate sufficiently to make a Customer a profit. Augusta only intends to accept purchases of Augusta products from a Customer’s discretionary funds and Augusta does not intend to accept purchases from monies that a Customer deems necessary to cover or produce day-to-day living expenses. Augusta believes that its products are not for everyone, and Augusta makes no attempt to confirm the suitability of any product for any Customer at any time. AUGUSTA HAS NO FIDUCIARY DUTY TO YOU. Though Augusta may explain what precious metals options are available to you, the decision to purchase precious metals and which ones to purchase are your decisions and your decisions alone. Augusta is not responsible for your decisions.

3. Consult with Your Financial, Tax and Legal Advisor.

Augusta does not provide investment, tax, or legal advice, and will not advise as to the investment, tax, or legal consequences of purchasing and selling Augusta’s products or investing in an Individual Retirement Account. Any opinions offered by Augusta regarding Augusta’s products are not legal, tax, or investment opinions, are not statements of fact, and are not to be relied on by anyone for any purpose. All content that Augusta produces or provides may contain errors and Customers should not base investment decisions solely on any content Augusta produces or provides. It is important that Customer consults Customer’s own investment, financial, tax, and/or legal advisers with any questions Customer has regarding the consequences of any purchase, sale, or investment. Augusta does not sell any product which is exempt from applicable taxes.

4. Volatility.

The markets for precious metals are subject to substantial fluctuations including significant and rapid increases and decreases from time to time. Customers must be able to assume and tolerate the risk of such price fluctuations.

5. Buybacks/Buyback Pricing.

Although Augusta has historically made buy-back offers for the products it offers, Augusta does not guarantee that it will repurchase the products it sells. Augusta’s buy-back policy is subject to change for any reason without notice to the Customer.

Augusta is committed to providing Customers the very best pricing possible. In that spirit, Augusta offers a guarantee that if it repurchases a Customer’s precious metals and the Customer receives a higher buyback offer from another buyer, the Customer may seek cancellation of the buyback transaction within 24 hours of the buyback trade, subject to the terms and conditions outlined in Augusta’s Highest Buyback Price Guarantee. Please reach out to Augusta for any questions or assistance with buyback pricing.

6. Account Executives.

Augusta’s Account Executives include employees who receive commissions as part of their compensation. Commissioned Account Executives share commissions on a team basis, and the commission is the same for such Account Executives regardless of whether a transaction involves Common Bullion Products or Premium Products.  External marketers are not Augusta employees and may receive a higher referral fee or compensation for transactions involving Premium Products rather than Common Bullion Products.  Augusta’s Account Executives are not licensed investment or financial advisors and owe no fiduciary duty to you nor any duty of suitability of your purchase. It is your responsibility to educate yourself and consider all risks, prices, and policies relating to your purchase and that your purchase is suitable for you. You are solely responsible for all decisions to purchase or sell Augusta products.

7. Grading/Authenticity.

Grades and descriptions of products are opinions based on standards and interpretations that can and do change over time and are not statements of fact or guarantees. Augusta is not a grading service, and relies upon the certifications of independent grading services in selling the products. Augusta does not independently verify the grade or authenticity of the products it sells. While Augusta guarantees that all the products it sells are genuine, the products sold by Augusta are sold on an “as is” basis and Augusta expressly disclaims any other warranties, express or implied, including the implied warranties of merchantability and fitness for a particular purpose, and any warranties associated with the grades assigned to the products by independent grading services.