Complete batch balance

The complete batch balance is the indispensable management tool for any precious metals dealer or smelter. It consolidates in a single view: lot acquisition cost (price paid to the client), smelting costs (energy, crucibles, flux), estimated melt loss (merma), refining costs if needed, and the target resale price with the desired margin.

Example of a typical batch balance for a jewellery lot: Purchase 500 g of 750‰ gold at CHF 45/g = CHF 22,500. Fine content = 375 g. Melt loss 1% = 3.75 g lost → 371.25 g recovered. Smelting costs CHF 150. Spot price CHF 82/g fine. Value of recovered fine = CHF 30,442. Gross margin = CHF 30,442 − CHF 22,500 − CHF 150 = CHF 7,792, or 34.6% gross margin.

Swiss professionals systematically compare the actual yield (post-smelting) to the theoretical yield. A gap > 2% between the two signals a potential issue: assay error during purchase, excessive loss in the furnace, or presence of non-precious metals (iron, tin, solders) in the lot. The batch balance is also the documentary evidence required by authorities during AMLA compliance audits.