however require some effort to get your hands on those high ticket items you
want to sell, but no matter what position you may be in, it is very possible.
I do recommend that you register your business; this is a big part of treating your
business like a business and being legitimate. If you do choose to acquire the
products you wish to sell through the "back door", I suggest that as soon as you
make enough money to do everything yourself, you register your business, get a
tax ID and start buying directly from the supplier.
Another way you can get your hands on the stuff you want to sell is by making it
come to you.
How can you make the products come to you?
By running ads in papers and posting in internet forums, say something like "I will
buy your stuff".
If you are going to use this method you will need to pick a product that keeps its
value very well because you will be buying mostly used products. So used shoes
or electronics will not work (unless theyâ€™re collectable), if you are going to use
this method you should buy things like jewelry and watches, antiques and other
things that can get better with age.
Does anyone use this method? Yes! If you browse around the listings on eBay
for high end products like expensive watches or jewelry you will find that a lot of it
is used or refurbished. The advantages of buying used products directly from the
owner is that you decide how much to pay and people come to you.
One of Ericâ€™s (the co-author of this book) first eBay success stories was when he
ran a classified ad in the local paper to buy old Atari video game systems and
games. This is a type of item that most people have laying around in the
basement or attic, and will never use again. Theyâ€™re more than happy to unload it
and get a little money for it at the same time.
But on eBay itâ€™s a whole new ballgame. There are thousands of people who
collect old video games, controllers, and game systems. It was not uncommon
for Eric to buy a batch of games for less than a dollar each and turn around to
sell them for ten times the price!
This example is just one tiny niche, and there are literally tens of thousands of
other niches out there that will work on eBay!
By the way, some of you may be wondering why I talk about watches so much. It
is because I like watches but more importantly watches are a great product to
sell! Watches are popular, retain their value very well, can cost anywhere from $1
to several hundred thousand dollars and are relatively compact.
The shipping on a $100 watch is the same as on a watch that costs $10,000 and
it will not take any more space to store 100 twenty dollar watches than it will for
100 thousand dollar watches.
Average and Low Priced Products
Average and low priced products advantages:
]It doesn't take a fortune to start. Selling lower priced products does not
require a lot of money to start.
]There is less risk involved with low priced products. Let's say you buy 25
pairs of running shoes for $10 a pair to sell on eBay. But no one seems to
be interested, if you simply can't get rid of the shoes you will only "lose"
$250 of your own money.
]Less expensive products are usually easy to get your hands on, so you wonâ€™t
need to befriend an authorized dealer. You can simply go to the supplier
and buy from them yourself.
Average and low priced products disadvantages:
\Competition; a lot more people will be selling the same products as you if
you sell low priced stuff. The fact that it's easy to acquire most low priced
products and you don't need a fortune to start makes most people start off
with the lower priced stuff.
\ work; the cheaper the item you are selling the smaller the profit you
make (usually). The smaller the profit you make the bigger the number of
sales you need in order to make the money you want to make and the more
sales you make the more products you need to wrap and ship, emails you
need to answer, payments you need to collect and transactions you need to
keep track of.
How and where to find suppliers (low end)
The best way to find a supplier is to go to:
Believe it or not, just because you are looking for a Japanese product you don't
have to look for it in Japan. Yellow-pages is often over looked by people who are
trying to get started in eBay because they are swarmed by wholesale list and
some people seem to think that just because they are going to sell stuff through
the internet they must look for the stuff they want to sell on search engines and
communicate with suppliers by email.
Go to www.yellowpages.com, search "wholesale" and call the suppliers
you find by phone!
Keep in mind that a lot of suppliers will only deal with you if you have a tax ID
and your business registered.
There are no "tricks" or "secrets" to finding good suppliers, the best suppliers
really can be found using yellow-pages.
When looking for suppliers you should keep this in mind a good supplier close
to home is better than a great one far away.
If you can find a good supplier close to home and establish a good relationship
with them, it can be one of the best things you can do for your business. Having
a good relationship with the people that supply you with the stuff you sell, can get
their hands on the stuff you might want to sell and have a wealth of knowledge
that is useful to you is a good idea.
Now for those of you who absolutely crave more information, don't worry it's
coming soon so keep reading.
Now I have covered the advantages and disadvantages of selling high priced
products and average to cheap products, it's all pretty standard stuff. Now I'm
going to get to the not so standard stuff, the information that can make you big
money in a short period of time...even if you have no money of your own to start
This is about selling lots of cheap products, with as little transactions as possible.
Confidence and belief in yourself is essential and fear is fatal when trying to
make money the way I am about to tell you. I will teach you how to do this with
very little risk, so please give this a good crack...you have nothing to lose and
everything to gain!
As you may know a gazillion people buy stuff off eBay every day. Who are these
people? They are fathers, mothers, kids using parents credit cards, criminals,
business owners, porn stars...you get the picture, and you also probably
noticed that business owners are in bold.
Why do I highlight business owners? Because business people, entrepreneurs
and anyone looking to buy products and resell them to make a profit are very
good customers that will come back and buy from you again and again.
Believe it or not people actually buy stuff on eBay, resell it on eBay and make
There are also those who buy products on eBay to resell them on their e-
commerce websites or actual stores they may own.
A lot of PowerSellers started by buying stuff off of eBay and simply putting it back
up for auction.
Many people don't believe me when I say you can buy stuff on eBay and resell it
on eBay, and make a profit! Just go to eBay and search for "wholesale lot".
Back to Ericâ€™s example with the Atari games. He tried this method one time and it
worked great. He bought a huge collection of Atari games off of eBay and turned
around and re-listed them on eBay individually and made a big profit. Itâ€™s
because the collectors werenâ€™t interested in buying an entire collection, but they
are willing to pay a premium for the games they donâ€™t own.
You can apply this same principle to any field you specialize in.
Anyways, what I am trying to get at is that there are a lot of people looking to buy
products on eBay for resale. Why should you care? Because when people buy
stuff for resale they usually buy more than one item and if they accomplish
making money with the products they bough from you there is a good chance
they will come back and buy from you again. In other words these people spend
lots of money because they know that the more money they spend on products
the more money they will make by selling what they bought.
So how can you get a piece of the action? Become a supplier!
Becoming A Supplier
If you don't have any money of your own to start with, you can always use:
OPM Other People's Money
OPP Other People's Products
You will be buying large quantities of products from suppliers and you don't need
to have any money to start. How!? OPM! How? Keep reading!
First you will need to decide what kind of products you are going to sell.
You can supply other sellers with merchandise they are going to resell:
Electronics, clothing, accessories, tools, sports equipment etc.
Or you can sell business supplies like tape, bubble wrap, labels, pens, paper or
When you decide what you are going to sell, the next step is finding a supplier.
Once again you should look for a supplier in your city, so you can visit them in
person and discuss what you are going to do.
Once you find a supplier and work out everything that needs to be worked out
(prices, delivery time, payment etc.) list the products up for auction.
Most suppliers have a minimum order quantity (20 items, 30 items, 2,000 etc.),
so you will need to make sure you sell the minimum amount required in order to
get the best discount from your supplier. If the minimum order quantity is 1,000
items. Make sure you sell at least 1,000 because if you don't the supplier wonâ€™t
be willing to deal with you and you will get a bunch of negative feedback from
your customers (because you will have to cancel their orders).
Once the products you have put up for auction sell, collect the money from your
customers, go to your supplier and pay him/her for the products your customers
just paid you for.
After you pay your supplier simply ship the products to your customers and
repeat until you are filthy rich!
Basically, what you are doing is getting people to pay YOU for products you don't
Now let's get to the money part...
Let's say the supplier you have found has a minimum order quantity (MOQ) of
1,000 items, and each item costs $10. That means the supplier has a MINIMUM
order of $10,000.
What you will need to do is sell at least 1,000 items, this may seem like a lot but
its not, because you are going to sell the items in lots of 25, 30, 50, 100 etc.
Since you get each item at $10 you should sell each item for at least $12-$13 in
order to make a good profit. Why would people buy from you at $13 an item
when they can buy directly from a supplier for $10 an item? Because your MOQ
is only 25 items as opposed to 1,000 items from a supplier, you will look after the
little guys needs by allowing small orders, the real supplier only deal with the big
boys. Most sellers can't afford to pay $10,000 for a minimum order, and that's
why they will come to you.
So, how much money will you be able to make? Well, if you sell 1,000 items at
$13 each you will make $3,000 in profit. Again, it will take you only a couple of
transactions to sell 100 items because you won't be selling each item one by
Now another concern may be shipment of the actual lots to their buyers. Won't it
cost a lot to ship? Yes and no. Yes because it does cost a lot to ship a big order
of just about anything, and NO because the supplier most likely receives large
shipping discounts because he/she already sends orders all around the world on
a daily basis and because more often that not the shipping cost is already
included in the cost of each item.
So when you list wholesale lots up for sale, you can provide free shipping, and
that can attract a lot of attention.
The great thing about being a supplier is; if you provide good service most of
your clients will come back and buy from you again and again. When you are a
supplier; you are basically a provider and your clients depend on you in order to
make their money. So when you are a supplier; all you need is a couple of clients
and you are set, because these clients will buy from you on a regular basis.
Remember, it will only take you a couple of transactions to sell 1000 items
because you are selling in bulk. You are not selling something that you own; you
do not need to buy anything. All you need is 10 or less sales on eBay to make
$3000 and you don't have to invest any money!