Selling For a 3rd Party

[ctgo]

Hi Everyone,
Recently I have been approached my a few friends of mine who have asked for me to be their trading assistant. They are looking for me to list and sell their items for them. They have agreed to handle all shipping from their end as well as pay for all listing and final value fees. I was wondering if anyone can give me an idea as to what I should be charging them as a commission to do this. I guess it should be a % on $$ of sales. Anyone have any ideas. My friends are quite new to ebay and they are looking for me to partner with them in this joint venture. Any suggestions would be greatly appreciated.
thanks
CTGO

[shoplineca]

I've been a TA for several people over the last 2 or so years. There are several ways to approach it with your friends.

You can charge more commission and you eat all the listing fees and eBay/PayPal commissions or you can have your friends pay the listing fees and settle on a lower commission. Or you can set a flat rate for listing and get no commission on the sale at all.

Most of this depends on what you are selling for them, the price they expect to get and how popular an item that they have to sell. It depends on whether they want to sell with a reserve or a BIN.

As far as their packaging and sending out the item, I would NOT recommend that. You should be in control of the entire sale and shipment after all it is your reputation on the line and you will wear the FB given.

As an example, suppose you listed an electronic device and your friend said that it was working, came with batteries, and some attachments. When the customer received the item, there werent any attachments, no batteries and when he put in batteries of his own, it didnt work.

You go back to your friend and he says that everything was there when he shipped it out. Who are you going to believe and how do you prove it?

Or if the item was not properly packed (after all you are more expeeienced at packing than your friends are) and it arrived damaged.

There is no fast and hard rule in being a TA and what to charge someone. I have varied how I charge each time I entered into an agreement with someone.

Legally I would get a written contract between yourself and your friends and within that contract have them sign that the goods they are having you to sell, that they have the legal right to allow you to sell them for them, that they have title or ownership of those items.

In your listings, be clear that ytou are selling those items 'on behalf of someone else' and the description is as given to you. That if asked, you will ask the owner more details about the item etc.

Personally I found being a TA more trouble than it was worth however it provided me with some unique opprtunities to try selling in other categories than what I do normally and seeing the types of items that give me the best return.

Good luck.

Malcolm

[ctgo]

Hi there,
Thanks for the prompt reply. Let me clarify a bit. For me to sell for them, I would be using their ebay account, listing all items, making descriptions, replying to inquiry's and invoicing etc. I will be using their ebay account, their paypal account etc. The items that I will be selling are fast moving items. Is there any advice as far as asking for commissions? how much?? Any advice would be greatly appreciated!
thanks
CTGO

[shoplineca]

Forget the commission and charge them a flat rate so that you get paid for your effort regardless if the item sells or for how much.

Figure on the time to take pics and post them to eBay or host them on your server, prepare and post HTML description and answer 2-3 emails per transaction plus time to perform closing transactions with winning buyer.

No need for you to do this on spec nor profit or loose out on final selling price. A fixed fee is for your benefit and theirs in that they know what their cost is and you get paid for your work whether the items sell or not.

You mentioned their wanting you to partner with them in this joint venture. That may be suggesting something completely different than getting paid to list items for them. If that is the case then your role is not as a TA and more as a Partner to share profits and expenses in which case (a) a percentage of the sale is more in line and (b) a partnership agreement should be in place.

You can also charge them to teach them how to do it. Remember in both circumstances, once they learn, they will begin doing it for themselves.

Malcolm

[ctgo]

thanks for the advice! I think that this is a situation where they may learn everything and be on their own eventuallly. Since I am teaching them everything, I guess I should be charging them at least a decent commission as the chance of me selling for them will not be forever. I think that if I were to get 15% -25% of the sale price, I'll be ok...but I don't know if they will go for that!
We'll see!!

[shoplineca]

It all depends on the selling price. if it is something that sells for $1,000, then 15% is great. If it is something that sells for $10, then 50% is not enough.

That is why I suggested a flat rate for your serveice.

Malcolm

[muminlaw]

Most of my friends backed off when I told them I wouldn't do it for less than 30% with a $10 guaranteed minimum - it's just too much work and responsibility to do it for less and, as I understand it, that's pretty much the going rate in the US. Mind you, that's me doing all the work, including research, and using my ID. I still don't think I'd do it for less than $10 (unless it's family - for them I'll list for a dinner or a few hours help with house cleaning!!!)

Glenda

[auctiondropnship]

From a person whom has an Ebay drop off store let me tell you
Be prepared for lots of work and adverge return

[shoplineca]

I will never forget my best friend, after learning that I was selling on eBay driving up to my house with his car loaded with all sorts of junk, like old tires, a rabbit cage, clothes etc. and asking if I could sell them on eBay for him.

I told him, as politely as I could," Pack up your crap and give it to the garbagemen"

Why do people think they can make a million dollars selling on eBay all the junk that they have no use for and would generally have thrown away?

As I pointed out, Glenda supported and Todd confirmed, you will find that in the long run, it is generally not worth it financially, so at the very least, set a minimum to pay for your time so you are not totally out of pocket.

What you may find as a TA however is another line of items that you can add to what you normally sell, so I look at it as an investment for the few that I choose to work with but I generally turn down more requests to sell than I accept.

I get about 2-3 requests every 2 months. Alot are to sell collectables such as crystal glassware, sometimes prints (art work), often used musical instruments, furniture and electronics.

I started dabbling in comics last year as a TA for someone that had over 500,000 in his inventory but there are far too many people selling them and most have resorted to selling them in bulk.

Malcolm