A Hustler's Guide to the Fastlane - by Michael Grey.

[GuestUser140]

Not to mention, correct me if I am wrong, the OP said he sells one item at a time to prevent multiple listings/confusion...maybe we are missing something, because that would equal more than 24 hours a day worth of work

See above + the following:

I use the equivalent of CL in my country (we do have CL, but few people use it). I use multiple accounts with different photos.

When I buy stock, it's usually something in the lines of:

25x .....
15x....

Every person who calls and offers 90-100% of the asking price, gets it. You basically try to "undiversify" and focus on the most productive stock, and sell that over and over and over. Since my prices are at market average, many people think my price is great for a used but still great looking device.

 

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[GuestUser140]

I wouldn't be so sure that a retail location will increase your sales. You have to consider the market.

If I'm buying used electronics, I'm either going to buy it from a established retailer (for convenience/peace of mind), or CL (for price). The market you are serving on CL may well not WANT to buy from a retail establishment, where they will assume the prices are jacked up.

Yea, it might be a viable option though. You could market it as a store that sells new as well as ex-showroom models in a-ma-zing condition at a 30% discount with full warranty. Because that's where my prices are, it's a genuine possibility.
Naturally, accessories and a repair service should be offered as well, but these are secondary.

At first, I could manage the store on my own. When it does well, train an employee and open a second location. Rinse and repeat.

The reason I think about retail B&M: visibility (more sales, hardly anybody knows my business now) + business value (I don't see how I can sell a "dormroom CL hustle" to a multimillion dollar competitor.

 

[DeletedUser394]

How would you divorce it from your time? Hmmm. Not sure if this can be done with physical products. BUT, an information product like an ebook would be divorced from your time once you write it.

What is with you and physical products.. Of course it can be done with physical product... you can outsource and automate anything. Now whether you should is a different matter, but obviously it can be done.

So if information products are the panacea, can you show us your latest offering and tell us how well it's doing? Gracias.

 

[DarkZero]

I've done buying and selling electronics on CL and online (mostly smartphones and laptops). I've never got into huge quantities though.

I would assume it's difficult unless you find a good supplier, which you have. So I definitely applaud you for being to do it.

When investing into suppliers in the beginning, how do you avoid getting scammed or rather, having your money/information stolen? I guess the latter is my biggest fear when dealing with overseas sales because of the horror stories. I've never used escrow or anything of the sort. I've only used Paypal for online sales.

 

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[yaleinnovator]

Congratulations OP! I'm 21 as well and have just recently started my life in the fast lane. Where do you see yourself about three-four years from now?

 

[GuestUser140]

When investing into suppliers in the beginning, how do you avoid getting scammed or rather, having your money/information stolen? I guess the latter is my biggest fear when dealing with overseas sales because of the horror stories. I've never used escrow or anything of the sort. I've only used Paypal for online sales.

Do your due dilligence: have a postive-critical attitude towards the business. How does their website look? Do they have physical locations you could visit? Even if you can't because you are on the other side of the world, it's important. Ask this when you call them, too. Can you visit them? How long have they been in business? Credentials? How many employees? Then ask for a test order of a couple of units.

Paypal is great for overseas business.

Oh, and instead of asking for a purchase "minimum", ask for their upper limit. We're not here to dream small, are we?

 

[IceCreamKid]

Hey Michael I took your advice about not looking too far for wholesalers of premium products. I made a few phone calls to some companies to see if they're willing to unload their "surplus" stock to me. None of them were willing to offer their surplus stock unless it was a pallet of broken products. Tablets with cracked screens, video game consoles in terrible condition, etc.

Any ideas going forward?

 

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[GuestUser140]

Congratulations OP! I'm 21 as well and have just recently started my life in the fast lane. Where do you see yourself about three-four years from now?

Best of luck, where are you based in the US, and what are you doing exactly?

3-4 years from now? Impossible to predict.

Ideally, 10 B&M stores, $100,000/month. Set up more in a neighbouring country. Make it hands-off, set enough personal money aside, use it as an ATM or sell it.

But then again, when I have 1-3 stores making $20,000 total x 15 months and someone would offer $300,000+, I wouldn't hesitate. Unless I see much more growth potential.

Honestly, $500,000-750,000 would do it for me. I'd be able to live slow, enjoy life and travel around with that black '67 Mustang fastback I've always dreamt of having - among other things. I'd be able to pursue photography and not give a damn about the income. Same thing with organising local parties/events. I wouldn't lose sleep over profitability - of course it matters, but 500K in the bank can make one think things through slowlier.

You know what would make me feel great? Have a successful business (20k/m hands-off) here about 10 months from now, come over to the US and do the same thing there. Starting with little to show it can be done, taking everyone aboard who's got the passion and drive.

Any ideas going forward?

Act big when you call them. "We're already working with a few suppliers, but we've basically outgrown them and are constantly looking for more XXXXX".

Just read your blog post, nice seeing you taking action. Keep going. Talk to thrift shops, buy larger and larger amounts from them. Get to the source. Where are thrift shops getting their stuff from? Individuals, yes, but also clothing stores. Get in, dig deeper.

 

[yaleinnovator]

Best of luck, where are you based in the US, and what are you doing exactly?

3-4 years from now? Impossible to predict.

Ideally, 10 B&M stores, $100,000/month. Set up more in a neighbouring country. Make it hands-off, set enough personal money aside, use it as an ATM or sell it.

But then again, when I have 1-3 stores making $20,000 total x 15 months and someone would offer $300,000+, I wouldn't hesitate. Unless I see much more growth potential.

Honestly, $500,000-750,000 would do it for me. I'd be able to live slow, enjoy life and travel around with that black '67 Mustang fastback I've always dreamt of having - among other things. I'd be able to pursue photography and not give a damn about the income. Same thing with organising local parties/events. I wouldn't lose sleep over profitability - of course it matters, but 500K in the bank can make one think things through slowlier.

You know what would make me feel great? Have a successful business (20k/m hands-off) here about 10 months from now, come over to the US and do the same thing there. Starting with little to show it can be done, taking everyone aboard who's got the passion and drive.

Optimistic approach, it sounds like a nice plan. I would keep it going and who knows how much you can make this grow. It all depends on you. Money is nice but the drive to succeed in your business, expand, and reach higher can be just as nice, while still allowing time for photography and travel. You seem level headed and I wish you luck.

I'm in the NYC area and in the Electronic Dance Music industry. Starting a major record label and event company, we launch U.S wide in two months with never before attempted talent and an uncontested market space.

 

[Autonomust]

Thinking about doing something like this myself so I'm watching threads like this one. Great work meeting your goals so far keep it up.

 

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[MMatt]

You said you only sell the "real" products, how did you find "real" products on alibaba? Are you talking sony/samsung real, or just high end off brand chinese products. When going the importing route branding your products is important in order to compete.

 

[GuestUser140]

Are you talking sony/samsung real

Is Sony the first brand that comes to mind when you ask yourself what people buy a lot? Focus on what people want first, than go source it.

Never buy branded products over Alibaba. I'd love to be proved wrong on this one, but it's all fake. The Louis Vuitton, the HTC, the Omega Speedmasters, everything.

 

[MMatt]

You said you sell electronics, hence my brand reference to sony.

 

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[smartman]

Hey Michael I took your advice about not looking too far for wholesalers of premium products. I made a few phone calls to some companies to see if they're willing to unload their "surplus" stock to me. None of them were willing to offer their surplus stock unless it was a pallet of broken products. Tablets with cracked screens, video game consoles in terrible condition, etc.

Any ideas going forward?

out of curiosity, did you get actual invoices of what would be on the pallets? I am very interested, and think it may be worth it to find an employee to repair these items, to then resell.

 

[-L-]

Good job with your business. From what I read, we're from the same region (The Netherlands/Belgium?).

I would like to have your thoughts on something:

In Belgium, people still have issues buying online. They are not entirely trusting established websites and only a small %age of the population relies on online marketplaces where you and I can operate (Kapaza is an example). What's your view on this?

Selling unbranded items like you do should be difficult, especially electronics. If we're talking about accessories, then ok.

 

[IceCreamKid]

out of curiosity, did you get actual invoices of what would be on the pallets? I am very interested, and think it may be worth it to find an employee to repair these items, to then resell.

Yea I got some actual invoices. It crossed my mind to repair them for resale. Truthfully, I found them to be ridiculously expensive to the point where it would practically eliminate any profit to be made.

 

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[GuestUser140]

Yea I got some actual invoices. It crossed my mind to repair them for resale. Truthfully, I found them to be ridiculously expensive to the point where it would practically eliminate any profit to be made.

Exactly, why else would these companies unload the stock? Everything that can be repaired in house, will be. Don't fall for that overpriced garbage.

I'd say in general, never buy broken items from an established company as it's not worth it. A car dealership isn't going to unload surplus damaged lamborghinis unless they can repair them cost-effectively.

Buy from private parties if you can. Sorry to be so blunt, but the herd usually doesn't have a clue about market value.

Best of luck!

 

[GuestUser140]

You said you sell electronics, hence my brand reference to sony.

No hard feelings... and yes, I do.

However, think of it as:

I just happen to sell anything and everything used for which there exists demand.

Reread the line above. It's one of the best insights about this type of business. It's the original Hustler thread condensed.


Step 2 is to then find it 20% or more under market value.

Electronics just happen to fit the bill - for many of you -: demand + margin + small budget needed

 

[GuestUser140]

Selling unbranded items like you do should be difficult, especially electronics.

I don't sell unbranded. I buy unbranded accessories to go with it, but that's where it ends.

You can't sell Chinese goods and give a warranty... You just can't, believe me I've been there. The quality is nowhere... which means warranty issues, safety issues(?), and no customer referrals.

PM'ed you.

 

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[GuestUser140]

Hi guys,

This will be an intermezzo, an update on all the important things I've learned since starting this thread. To me, this is solid gold.

1. Success is a crooked line, even little success.
​

In an ideal world, I sell out all stock weekly. I then buy more, using the profits from last week, and 3 days later my order arrives. Rinse and repeat, no limits.

However, opportunities are lost ALL THE TIME:
- Defective items have to be repaired under warranty, lose all profit on that sale.
- Shipments arriving after the weekend when weekend = selling time.
- Bank guy forgot to submit my credit line increase form. Just found this out 12 days later.

NEW opportunities come along, just like that:
- A few customers buy in bulk. After 5 months, $60/sale sucks. Now it's at times $30 x 10 units, same time investment (15 minutes).
-A customer of mine (woman, 40's) now buys in bulk: 15 units at a time and growing. I make 1000 USD per week off her. She has ambition to file for a business ID if it continues to go well. She's very customer oriented, much better with nagging people than I am. I might convince her to open her own store. Since she's not an employee as such, much less micromanagement than employees. Don't have to deal with the minutiae of customer problems.

Even little success is one hell of a bumpy road. There is no smooth sailing, never. Anyone experience desensitization to downs, but also ups? I seem to.

2. On happiness. Must read.​

I thought $10,000 / month would be the dream.
Now that I'm here, a $120,000 orange Lamborghini Gallardo Spyder still seems so far off. I have ZERO patience. I hate having to wait, sit around. I'm restless (in a negative way I think...) as long as I'm not financially free.

What do I do during down time (because I still don't have enough cash to buy all the stock I need weekly)?
I lift weights, and I write out the Facebook post I'm going to submit when I've "made it". A positive message directed towards my closest friends who think I took a one way ticket to Siberia this year. Figuratively speaking, of course.

Something that might help a lot of you:

Rob Dahm's story. Here you go:

Secret to Success - Rob Dahm | Secret Entourage​

The guy is living a great, happy life, and is in my eyes imensely successful making perhaps a $150,000 annual net profit? He's been doing that for 10 years now, was patient and finally bought his dream car. Makes you appreciate how much $150,000 actually is.
My impatience and restless got better by watching his videos:

What I do for a living to afford a Lamborghini. - YouTube​

How to buy a Lamborghini. Part 1 - YouTube​

Look, I intend to reach the $125,000 in-the-bank-mark by Dec. 31. I will feel genuinely confident and take a month long trip abroad, I don't want to burn-out. Seriously, it's a pretty tough life, and this is coming from a guy who's about to deadlift nearly 400 lbs. for reps tonight.
$125,000 (+- €100,000) will give me room to breathe and think what I really want to do business-wise. Direct customer contact is boring and makes one insensitive to new people after a while.

As said, I want something bigger. I want to go to the US in February and see if it's possible to do something similar: me being the teacher/wholesaler to stores / like-minded individuals who want to take this to the next level. I wouldn't even care about me taking only 25-30% of the profit margin. I know there are a lot of youngsters out there who have the dedication to build up success. Who knows where this could go?

There are always alternatives out there, too. I would love to buy a house, rehab and sell I love interior design and know what it can do with the value of a house. I know of an established business owner (totally different industry than RE), who does this "as a hobby" with relatively inexpensive houses. He lets teenagers do 80% of the easy work as a summer job. Reading up on RE (books, fora), working together with him to learn the ropes, is something I see myself doing in a few years' time, if not next year. It requires less day to day (or should I say hour to hour) running around to make a buck.

This was long, and it helped me personally get to grips with a few thoughts of mine. You don't have to reply, and next time I'll keep it shorter :')

 

[GuestUser140]

TAKING IT TO THE FASTLANE.... IDEA, STRATEGY & ACTION BUCKET

To simplify it, there are two sides to analyze.

THE BUYING SIDE
If you look at it from a distance, one would say buying these things cannot be made fastlane other than buying from wholesalers.
I currently buy my electronics from wholesalers, but honestly, many are a joke. The sales rep of the company I order from told me he could supply in excess of $150,000 worth of stock, every week.

Which is a great deal, but guess what... now I'm ordering $20,000 weekly and I'm having problems getting enough stock. I have that wholesale company reserve stock in advance and even then it's getting difficult. It's hard to believe I'm just a small customer of theirs at this point in time.

I feel like I'm making them too much easy money. Come on, they know if they find stock a little cheaper than they charge, I immediatly jump on it and pay them. Their prices are the best around, but still. I feel like I want to get closer to the source and cut out the middle men.

My idea: a service that buys back electronics from the public. Exists in many countries, but not here. I know that my wholesaler gets 70% of their stock this way. They buy back at $60 below the price they give me, while I make $65 on my side when retailing them. Imagine me buying directly from the public and making $60 + $65= $125/sale.

Maybe I should build an online platform where people can get a price quote on their used smartphone / tablet / laptop, then they send it in, we pay them fast.
Dealing with stolen items wouldn't be a problem as we can access the necessary legal databases to check up on serial numbers that are blacklisted. Would this work?

One thing: I don't think people would accept the "low" prices we would give for their used stuff. If they put it on Facebook or CL here, they average my selling price. Does it make sense to offer $125 less to save them from the inconvenience of putting up an ad online / dealing with strangers / negotiating with friends about price?

I know you guys have brighter minds than I have. Let your ideas flow!

 

[GuestUser140]

THE SELLING SIDE

here's my ideas, let me know yours!


1.Build up more capital:
- Next to my current "great looking" used electronics, offer "new" condition used electronics in deluxe packaging at $50 extra. Double the margin. I already sell these wholesale to that woman mentioned above. Seems to be a demand for that as well. Some people want a good price, others an okay price but fabulous condition goods.
- sell more wholesale (slow summer months for retail at full margins)

2. advertise:
Mainly off-line. Never done this. Options:
- regional newspaper (seems to work for local businesses here)
- CL (I list on my country's similar website, on which you can pay to have a preferred listing.

3. improve website
Few people buy strictly online. Need incentives to make customers pull the trigger.
-discount prices when people buy online? Don't want to commoditize and end up in a downward spiral.
-have them pay after they received the product? not receiving an item (espec. $300 ones) is people's main concern. Safety check: have them fill-out a form + upload copy of ID: too much hassle for people? Safe for me? Or offer Cash on Delivery service? Margins allow that.

4. Open store when 500 units sold. Almost there. Looking at locations, rent prices, price of basic interior design, cost and process of setting up card payments.
Ideally, have my wholesale customer open a store. Divorces it from my time, while she keeps buying more and more stuff.

 

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[MyDuckets]

What's the Ryan thread you keep mentioning?

 

[GuestUser140]

l

What's the Ryan thread you keep mentioning?

Here you go:

https://www.thefastlaneforum.com/ge...9-hustlers-guide-buying-selling-anything.html

 

[GuestUser140]

IMPORTANT UPDATE: Instead of posting volumes of info, as of now, I will write an update on my progress bi-monthly.


I'm on my way to making $100,000 by Christmas and working hard to push it towards $150,000. Considering I started the year with $1250 and it took me at least 4 months before I was earning a regular salary, this business has potential. For the record, I am still packing and selling every device on my own.

One future problem I may face is SCALE, my sales will stagnate given the small country I live in.

I need to keep putting my capital to work, and there's only so much people needing a ***** at any given moment.

I can:

A) Expand to lower margin items.

B) Focus on area of expertise, but also wholesale and export.

Medium-long term (February - June), I have plans to visit the US and start wholesaling used electronics to independent retailers AND take Craigslist selling to the next level. The US would be great to scale things up. European countries next to mine are a pain in the a$$ because of the language differences.

Anyone hustling right now? Where are you from and what go you here?

 

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[David P]

@MichaelGrey : Hello Michael,

If language is a problem, I could help with at least one.
If this is of interest to you, drop me a line and lets talk.

You have nothing to loose.............

Later

D

 

[David P]

Thanks a lot for the insightful response.

Maybe it's just me, but I am VERY unconfortable with overhead (retail location) and fixed costs. Like, I would rather pay people on commission only instead of paying them a wage. It just feels like pressure. Anyway, I'll get as uncomfortable as needed to make my dreams happen.


About my projected #'s: I know. I feel good if I keep breaking last week's sales. Only thing that matters now is provide great service to my customers, keep my head down and get up to $20,000 profit/month before August.
The main reason I contemplate selling B&M retail = to increase my sales. I haven't reached a ceiling selling on CL yet, but when I do, I want a system that allows me to move more stock faster.

Michael,

Have you heard of a Pop Up Store?

Do some research for companies and brands that are using it currently.

It might be an idea, seeing that you have a web site, you could get
people to come to a store that would only last a weekend. They could
try the products and stuff like that, not even sell on site, no need for stock,
just get them interested and then buy on your site.

Could give them a coupon at the store, so that the purchase on line is cheaper....

Up to you, but it's something that has been used successfully in the past.

Do your research, on the front page of your web site, ask your customers who would come
if you were to do this sort of thing.

Good luck

 

[GuestUser140]

@MichaelGrey : Hello Michael,

If language is a problem, I could help with at least one.
If this is of interest to you, drop me a line and lets talk.

You have nothing to loose.............

Later

D

Hi David,

Strong reply after 1+ year.

Posted an update in this post.

 

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[early riser]

Realize this is old, but a good read nevertheless and congrats.

Are you still using myibidder or found a better one?

I always thought about reselling on ebay some of the stuff from craigs, but never the other way around.

-Early Riser

 

[David P]

Hi David,

Strong reply after 1+ year.

Posted an update in this post.

Never too late, Michael.

So you need help, or not?

D