[AMA] Importing & wholesaling for resale on eBay.

[Ecom man]

I just read up about the 1099-K form given out to sellers who broke 20,000 gross in a year on ebay. Can someone more experienced who had filled one of these out maybe give me a idea on how much % tax I will be looking at on my profits?

Talk to a tax professional about the best way to structure your business.

 

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[MoneyDoc]

Hey @Ecom man

Great thread with lots of value.

I just had a question regarding Amazon if you don't mind. What do you consider too competitive that it's not worth pursuing that niche? Is it the multiple sellers? 20 pages of the product? Sellers with 300+ reviews already? What if the keyword search is 200k+ a month and the products matching that exact search are only shown on pages 1-3?

Thanks in advance.

 

[Ecom man]

Hey @Ecom man

Great thread with lots of value.

I just had a question regarding Amazon if you don't mind. What do you consider too competitive that it's not worth pursuing that niche? Is it the multiple sellers? 20 pages of the product? Sellers with 300+ reviews already? What if the keyword search is 200k+ a month and the products matching that exact search are only shown on pages 1-3?

Thanks in advance.

There are different ways to get to the top of Amazon than on eBay. With eBay being best match is vital so your listing gets views. Being a Top rated seller is also important so you can get that best match. On Amazon if you have the same product as someone else you don't create a listing. You put your item on the listing along with everyone else. Then it comes down to price and whether it is fulfillment by Amazon. If selling the exact same item as others it doesn't really matter how many pages there are. You will be on the same listing as everyone else with that item and can only differentiate yourself by super fast shipping and by price. If you are branding an item and going to have your own listing page it becomes even more complicated. The only solution is test, test, and test some more.

 

[mosdef]

I agree with what carburated said. Figure in the extra $8 when deciding whether to buy the item or not. Advertise the free shipping and include it as your cost of doing business. I always do free shipping and it costs me $5.35 or $10.65 for each item i ship. Include the shipping costs in as part of your sale price.

but this is my own product that i create! Im already offering free shipping, and still profiting about 10 bucks. No sales, i think people are thinking that instead of buying from Sweden and wait couple of days they can instead buy from the uk.

 

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[aa610]

I just read up about the 1099-K form given out to sellers who broke 20,000 gross in a year on ebay. Can someone more experienced who had filled one of these out maybe give me a idea on how much % tax I will be looking at on my profits?

there's an app called outright that makes this a lot easier. It pulls the data from paypal, ebay, etc.

 

[kaqm]

Sales do slow down in January. It is a part of retail. The reason why it is called Black Friday (day after Thanksgiving) is because that is when retailers start making money for the year. (Go into the black) As an online seller I make profit all year long but November and December are absolutely killer! Every product is different but sales do drop off in January compared to December in almost every category.

Is there are certain time you find sales pick up again?

 

[Dicky Dee]

Well I ended the month of Dec with $90,000 in sales which is $10,000 short of what I was hoping. Considering last December I did 25k I guess 90k isn't too bad. Goal next December is 250k. We will see what happens.

@Ecom man thats incredible! If you dont mind me asking how many products do you have selling at one time to be able to hit that kind of numbers?

 

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[SeanyHang]

It was about 38% profit on that 90k.

Wow man... Only 34k? Only scrubs make in one month as much as millions of American's make in an entire year.

Haha, it truly is amazing, inspiring, and enlightening on seeing all that you've accomplished @Ecom man . Congratulations on EVERYTHING buddy. You rock.

 

[MoneyDoc]

Wow man... Only 34k? Only scrubs make in one month as much as millions of American's make in an entire year.

Haha, it truly is amazing, inspiring, and enlightening on seeing all that you've accomplished @Ecom man . Congratulations on EVERYTHING buddy. You rock.

I personally know some people in Canada that make about 45k in 1 year whilst working 40-50 hours a week. But then again, the fastlane isn't for everyone.

 

[SeanyHang]

I personally know some people in Canada that make about 45k in 1 year whilst working 40-50 hours a week. But then again, the fastlane isn't for everyone.

Nearly all my decent friends (aged from 22 - 27) are making from 27k to 38k with two or three outliers making 45-60 (while working about 60-80 hrs). It's no bueno out in the "real world". I'd much rather be amongst the ranks of fastlaners, working my a$$ off to take back my freedom.

 

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[MoneyDoc]

Nearly all my decent friends (aged from 22 - 27) are making from 27k to 38k with two or three outliers making 45-60 (while working about 60-80 hrs). It's no bueno out in the "real world". I'd much rather be amongst the ranks of fastlaners, working my a$$ off to take back my freedom.

Exactly. I'm not alright being average.

 

[fastattack03]

Sorry about the delay in responding. I've been traveling with family and preparing for the new year.
It was about 38% profit on that 90k. I too try for $20+ per item profit but right now most of my items are in between $10 and $20 profit per sale. It was higher over Christmas but has normalized since then.

Man, this is truly inspiring!! Congrats!

I've been reading your thread 6 months ago but stopped because I've gotten busy. Biggest mistake of my life.

I'm so glad I checked this thread today as I was really motivated with everyone's progress. Keep pushing, guys!

 

[Dicky Dee]

I personally know some people in Canada that make about 45k in 1 year whilst working 40-50 hours a week. But then again, the fastlane isn't for everyone.

Im in Canada and theres a lot more people that make that and less then that a year actually. My last "job" was when i was 17-18 making about 40-50k a yr now i SPEND a lot more then that a year and work a lot less "physically" and i wouldnt have it any other way.

I cant even imagine going back to work everyday for someone else doing something i dont like doing and getting paid peanuts for my labor. You got to live in your purpose, if you can do something you love everyday and be successful then you are living in your purpose, you will all of a sudden be a morning person when you weren't before because you have something to look forward to and something to accomplish....its a pretty incredible feeling to be honest.

 

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[barren92]

This info is straight from DHL's website
1. Apply for your Import Express account number at your local DHL office
2. Send your Import Express account number to your supplier together with a Routing Order
3. Your supplier calls their local DHL office to collect the shipment
4. Your shipment is monitored at every stage by the latest tracking systems
5. DHL customs brokers arrange customs clearance for your dutiable goods
6. DHL delivers the shipment direct to your door or to a designated recipient in any other country

Import Express is easy to use. If you would like to know more about how Import Express can help your company, please contact your local Customer Service Centre for assistance.

I personally just have the suppliers roll the cost in together and pay for it all at once so I have never personally set up one of these or given a DHL account number to a supplier.

So ecom man when you do this and get your quote for x amount of units with dhl shipping to your door. You've never had any custom fees/duties/vat fees weeks later? It's just all took care of in that one quote?

Also you said you use escrow when doing your transactions how does that work does the supplier do a different listing with the quoted price or what?

Thanks in advance.

 

[Ecom man]

@Ecom man thats incredible! If you dont mind me asking how many products do you have selling at one time to be able to hit that kind of numbers?

I have between 20-30 different products listed right now. It varies some depending on if i run out of products, dropping unprofitable products and getting new ones etc.

 

[Ecom man]

So ecom man when you do this and get your quote for x amount of units with dhl shipping to your door. You've never had any custom fees/duties/vat fees weeks later? It's just all took care of in that one quote?

Also you said you use escrow when doing your transactions how does that work does the supplier do a different listing with the quoted price or what?

Thanks in advance.

I tell the supplier I want the total all in cost of getting 100 of product x to my door including shipping, customs etc.

In regards to escrow I'm saying i make purchases only through ways where I have some recourse if the supplier doesn't deliver the items. I prefer to pay with a credit card directly to dhgate, aliexpress etc. I then have those companies escrow guarantees and my credit card company's guarantee as well. I have a supplier that I have ordered different products through for about 3 years. I just spent $16,000 on my latest order from him. I paid through dhgate with my credit card. I prefer that protection rather than save a few % by sending him a money order or bank transfer.

 

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[Ecom man]

but this is my own product that i create! Im already offering free shipping, and still profiting about 10 bucks. No sales, i think people are thinking that instead of buying from Sweden and wait couple of days they can instead buy from the uk.

If there is no demand for your item at the price point you have it you have two options. Lower the price until you make sales, or quit selling that product and move on to a different one.

 

[barren92]

I tell the supplier I want the total all in cost of getting 100 of product x to my door including shipping, customs etc.

In regards to escrow I'm saying i make purchases only through ways where I have some recourse if the supplier doesn't deliver the items. I prefer to pay with a credit card directly to dhgate, aliexpress etc. I then have those companies escrow guarantees and my credit card company's guarantee as well. I have a supplier that I have ordered different products through for about 3 years. I just spent $16,000 on my latest order from him. I paid through dhgate with my credit card. I prefer that protection rather than save a few % by sending him a money order or bank transfer.

thanks for the reply ecom man. wow 16 grand investment! i can only imagine the profit! i have another question for you. i ordered my first samples on aliexpress on the 5th of january and used the free shipping method epacket just to save some cash in case the product doesn't sell like i anticipate. i plan to use dhl on my purchase of bulk if i decide to continue to pursue this product. my question is now that it has shipped i was given tracking through that service and i have checked it and the last post says released from customs and then the next says despatch from sorting center but the thing is those were posted on the 7th of january and it is now the 13th and still no update. is this normal or should i be worried? i know ems is known to be slow. also does that same tracking number usually follow through to the u.s. carrier or would it be different?

 

[Journey2Million$]

How do you get a competitive advantage on Ebay? By selling things other people aren't selling?

 

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[Ecom man]

thanks for the reply ecom man. wow 16 grand investment! i can only imagine the profit! i have another question for you. i ordered my first samples on aliexpress on the 5th of january and used the free shipping method epacket just to save some cash in case the product doesn't sell like i anticipate. i plan to use dhl on my purchase of bulk if i decide to continue to pursue this product. my question is now that it has shipped i was given tracking through that service and i have checked it and the last post says released from customs and then the next says despatch from sorting center but the thing is those were posted on the 7th of january and it is now the 13th and still no update. is this normal or should i be worried? i know ems is known to be slow. also does that same tracking number usually follow through to the u.s. carrier or would it be different?

EMS is a pain hence why I don't use it normally. I use it to get samples sometimes but all my orders are sent dhl. EMS tracking can be very erratic and sometimes not even update until a week after you get the item. I would give it 3-4 weeks from original purchase date and if you still don't receive it contact the seller you bought from.

 

[Ecom man]

How do you get a competitive advantage on Ebay? By selling things other people aren't selling?

Selling things people aren't selling is the best way to have an advantage. Fast shipping for free is another great way to have an advantage. Customers love free shipping and love to get it quick!

 

[KONIG]

I got so spoiled with the holiday shopping season, I was like wow my items are selling great! And now I am only getting about one sale a day =[

 

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[mosdef]

I got so spoiled with the holiday shopping season, I was like wow my items are selling great! And now I am only getting about one sale a day =[

And how much do you profit each sale?

 

[Ecom man]

I got so spoiled with the holiday shopping season, I was like wow my items are selling great! And now I am only getting about one sale a day =[

Christmas sales are amazing!!! Unfortunately, they end. I was selling 150-200 items a day in December prior to Christmas. Now I'm averaging 40-50 sales a day. It's a part of the business.

 

[Journey2Million$]

....

 

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[jazb]

Excellent man. Good to see you growing !!

Though I have not read of all it...you may have already done it...Take then next step and get your own ecommerce site and grow from there. use ebay to promote and gain traffic.

biophase has wonderful information on it too.

 

[Bossopolis]

Hey guys,

I am totally new to the forum, but I am a platinum eBay Powerseller and have a lot of experience in this arena. This may not be feasible or necessary for many, but is applicable if you resell many consumer products. I suggest that if you can afford it and it makes sense in your business, to go directly to the trade shows that are in Hong Kong. These are 2 largest shows and I usually attend these every year.

They are http://www.globalsources.com and http://www.hktdc.com/info/trade-events/EX/en/Exhibitions.htm

The flight is about 20 hours from N.Y. usually under $900, should be less if you are on the pacific coast and of course also a shorter flight time. Get ready for some serious jet lag with the 12 hour time difference from East coast to H.K., I recommend showing up a few days earlier to adjust to the time zone and maybe enjoy the sights at the same time. You do not want to show up the day before because you will be like a zombie for first 24 hours. For hotels I recommend www.AirBNB.com have saved huge on my trips in North America.

Sometimes the 2 shows are ran around the same time, so if you plan well, you can hit both shows. There are THOUSANDS of booths / vendors. You need at LEAST 2 days for each show and your legs will feel like rubber after all the walking you will be doing... They are mostly manufacturers and wholesalers at these shows, so you will need some capital to invest. But there are ways around ordering 1000's units at first. First thing you ask is what is your "M.O.Q." ? - Minimum Order Quantity. This is usually negotiable. Of course there are many more things you need to know, but that's a start...

I will be creating some YouTube videos over next several months. In the meantime I just wanted to show you a little about how I got started.
3 tips: 1) create your OWN BRAND ! You must stand out from the masses 2) ADD VALUE and 3) do not be the cheapest guy in your niche... the Chinese will kick your a$$ every time on this one, you cannot compete with them on their low shipping costs alone. Never mind the fact that you may actually be competing with a distributor or manufacturer directly in some cases.

I will be attending these shows again in Hong Kong in a couple of months and will record the experience so people can get an idea. Its actually quite overwhelming if you have never done one of these. But so cool and eye opening. And if you play your cards right, also profitable !

Hope my first post was worthy

Peace everyone !

 

[KONIG]

And how much do you profit each sale?

$5-10

 

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[NYCGoblin]

My sales have been doing fantastic. Have already grossed $2,100 for the month. The 4 products that I have are really solid. Ecom Man and others I wanted to ask you guys how long have have you been selling your longest product, or most profitable? And do you feel comfortable having it stay that way for the foreseeable future?

 

[AllenCrawley]

WOW! Why does Christmas always bring out the crazies?

I have spent the last 2 days emailing a lady back and forth. She purchased an item from me a month ago and now says it is defective/ not working properly. I told her that i stand behind all my products 100% and will of course accept a return from her for this item. I issued her a return shipping label and told her to simply attach the label to the package and I would pay for the return shipping. Pretty normal for a return... And then she lost her mind! She emailed me multiple times saying she wanted an immediate refund and would not return the item. I emailed her back and explained that I could not issue a refund without the defective item being returned. Now for the last 2 days she has emailed me threatening to call and report me to everyone but God Himself!

Running your own business is awesome, but sometimes it sure does make you question the sanity of the rest of the world!

Refund the money and move on. I've issued multiple refunds without ever asking them to return the product. Save yourself the headache.