How to Start a Business Selling on eBay

Ebay has introduced buyers and sellers from all over the world to an enormous online marketplace. On a daily basis, anything from baseball cards to automobiles are bought and sold on the shopping website. Even though, it's barely a teenager, eBay has experienced its share of success. The auction website also allows for entrepreneurs who normally had to settle for "kitchen table" success to launch profitable business ventures.

Things You'll Need

• Computer Business idea Business sense Marketability Products Bank account Ambition Patience

Instructions

1. Create a business plan. Whether you are starting an eBay business to supplement your income or your passion, you need a business plan. A business plan illustrates your vision for your business. If you cannot envision your potential business, a consumer will be blind to it as well. (The business plan does not have to be a mini-novel, but it should, at least, be a page that outlines the idea you have for your business).

2. Familiarize yourself with eBay. Starting a business on eBay is easy, but becoming a success on eBay takes work. If eBay is totally new to you, you will be more successful if you familiarize yourself with the different formats, products and pricing. Take the free tutorials at the eBay University Learning Center. (See Resources section for the link)

3. Register as an eBay member. After you have become comfortable navigating the online marketplace, you need to register as a member. On the homepage of the website you need to click the "Sell" tab; from there you need to follow the step-by-step directions. (You will need your personal and banking information to complete the steps.) An eBay membership is free, but you have to read and agree to the eBay selling policies. (See Resources.)

4. Open a PayPal account. If you do not already have a PayPal account, you need to open one to accept forms of payment other than money orders. A PayPal account is a safe way for sellers to pay for their merchandise directly from their financial institution or their credit card. In addition, it is much cheaper for you to have a PayPal account compared to paying to have a merchant banking account. (See Resources section for a link to the website).

5. Start selling your products. Once you have registered on eBay, you are ready to get started. First you need to take pictures of your products so you can upload them to your auction. This part easy and is described in more detail in the tutorials. (See Resources section.) Take high quality pictures, as this is the only way consumers can see your product. Set your selling price a little lower than your competition, (in an effort to get customers). There are three different ways to sell your products on eBay: auction format, fixed price and through an eBay store. You are prohibited from using certain formats until you have proven yourself with ten successful sales. You can read more about the eBay feedback system and the guidelines on the website. (See Resources section.)

6. Distinguish yourself from the competition. There is considerable competition on eBay, so in order to really be successful; you need to create ways to stand out from your competitors. A few ways to do this is by offering lower prices or cheap shipping, or by providing excellent customer service. Good luck!

Tips & Warnings

• Strive to be better than your competition, try to have faster shipping times and answer any questions of would-be consumers in a timely fashion. Be patient; seeing huge profits from a new start-up business takes time. Be honest and always sell high quality products.

• Ensure that you have read and understand all of eBay's selling guidelines before starting your business.

Resources

• eBay University Learning Center
• PayPal
• eBay Rules & Policies
• eBay Rules for Sellers