I would like to start selling for a Company or Manufacturer I live in Canada I have 100% Feedback

I have sold items on Ebay but only have some personal items no stock wondering if this is a possibility 

Message 1 of 3
latest reply
1 ACCEPTED SOLUTION

Accepted Solutions

I would like to start selling for a Company or Manufacturer I live in Canada I have 100% Feedback

What you are asking about is called 'dropshipping' and it is a terrible idea.

 

You have no control over stock levels. If the wholesaler runs out, the customer blames you.

You have no control over shipping. If the wholesaler uses a slow service or does not ship at all, the customer blames you.

You have no control over the quality of the product. If the item breaks or is unusable, the customer blames you.

You have no control over quality of packaging. If the item is damaged in transit, the customer blames you.

You have no control over prices. If some of the wholesaler's other resellers start cutting prices to compete, you lose sales to them.

You have no control over the number of other resellers. (Admittedly this is true of any product you offer.)

 

The wholesaler gets the same amount of money no matter what you collect from your customer or what you pay to eBay in fees. Which runs around 20% of your payments, btw.

 

Instead, look in the paper Yellow Pages for local manufacturers, jobbers, liquidators, and wholesalers. Make an appointment and see what they have to offer.

You will be paying up front, but over time, you may get terms of 30/60/90 days to pay.

You will be asked for your retail sales tax number (GST/PST/ HST). While you probably don't need it until you are turning $30,000 annually, if you are not asked, you are going to be paying retail not wholesale.

 

 

 

 

 

Well, maybe I'm not a fancy gentleman like you, with your... very fine hat. But I do business. We're here for business.-- Captain Malcolm Reynolds

View solution in original post

Message 2 of 3
latest reply
2 REPLIES 2

I would like to start selling for a Company or Manufacturer I live in Canada I have 100% Feedback

What you are asking about is called 'dropshipping' and it is a terrible idea.

 

You have no control over stock levels. If the wholesaler runs out, the customer blames you.

You have no control over shipping. If the wholesaler uses a slow service or does not ship at all, the customer blames you.

You have no control over the quality of the product. If the item breaks or is unusable, the customer blames you.

You have no control over quality of packaging. If the item is damaged in transit, the customer blames you.

You have no control over prices. If some of the wholesaler's other resellers start cutting prices to compete, you lose sales to them.

You have no control over the number of other resellers. (Admittedly this is true of any product you offer.)

 

The wholesaler gets the same amount of money no matter what you collect from your customer or what you pay to eBay in fees. Which runs around 20% of your payments, btw.

 

Instead, look in the paper Yellow Pages for local manufacturers, jobbers, liquidators, and wholesalers. Make an appointment and see what they have to offer.

You will be paying up front, but over time, you may get terms of 30/60/90 days to pay.

You will be asked for your retail sales tax number (GST/PST/ HST). While you probably don't need it until you are turning $30,000 annually, if you are not asked, you are going to be paying retail not wholesale.

 

 

 

 

 

Well, maybe I'm not a fancy gentleman like you, with your... very fine hat. But I do business. We're here for business.-- Captain Malcolm Reynolds

Message 2 of 3
latest reply

I would like to start selling for a Company or Manufacturer I live in Canada I have 100% Feedback

I'd say do whatever it is that can make you profit. If you can make profit with all the fees then do dropshipping. Yes there is some side affects to it but if you have a reliable manufacture (not supplier or wholesaler - these are the middle men, you'll make less profit or no profit this way) then you can do very good with dropshipping. I've done it for over 3 years through various websites (not ebay - but starting to now).

Keep in mind the fees always! Cheers hope you start making money
Message 3 of 3
latest reply