Make Money with Wholesale
In this article we aim to tell you all about how to make money from wholesale goods. The possibilities of buying or selling wholesale are limitless as anything is available at cost price. In this article we are going to inform you on how you can do this, where you can do this and also why you should, in order for you to make money from wholesale.
What is Wholesale?
Wholesale is basically buying items in large quantities for just above manufacturing cost, which is known as cost price. This is so that the company or person producing the goods can make their slice of profit, but also leave enough profit potential for you to sell it on for yourself.
The cost of wholesale goods very much varies depending on maybe the items popularity or such like, for example products that are likely to sell at a high price and are expected to sell a lot of tend to be a lot higher with lesser product margins. But with this comes a greater chance of selling a huge amount of them. There is no set percentage for what manufacturer can charge on the items they are passing onto you or other wholesalers again it all depends on the popularity of the product.
More often than not though you will not be buying direct from the manufacturers, you will be buying from middle men known as wholesalers. These companies will buy large amounts of various products and store them in warehouses etc and sell them onto you at a wholesale price which is again slightly higher than cost price, which is what they buy it for. We advise that if you can go direct to the source then do it as this will save you a lot of money and also cutting out the middle man.
How can I get hold of wholesale goods?
To make money from wholesale you will need to know how to get your desired wholesale items and where.
Many online wholesalers encourage you to register accounts with them so they can entice you into making premium accounts to pay less per item but pay a sort of monthly subscription fee. This has both good and bad points the good side is that you will get more bang for your buck per item and so long as you are selling plenty then this will be the best option. But on the other hand basically the complete opposite to that if you are not selling enough of the product or products you may not be able to justify paying the monthly subscription. So what we suggest is that you do your thorough research, look on forums etc and see what other people in your position are saying about wholesalers you are considering. But from our own experiences we would say that paying the extra to be not tied down is the better option. You can always upgrade should you change your mind, but it will be a lot harder to downgrade.
There are hundreds of wholesalers on the internet, and you don’t have to look hard to find them but we suggest that you use wholesale directories to pick out the range of products you are looking to sell and from where they are based e.g. china, UK, U.S.A.
Below is a useful list of wholesale directories where you can find everything you will need to get going:
These are just a few examples but there is definitely no shortage a very quick search will provide you with hundreds of options.
Why should I buy and sell wholesale?
There are many reasons why you should buy wholesale goods to sell on. The main being the extreme amount of money that can be made if you invest wisely and you know the market that you are competing in.
There are so many ways you can sell your goods, literally anything you see in shops has been bought through wholesale and depending upon which platform you choose to sell will depend on the profits that you can rake in.
Selling wholesale via the internet is probably the most profitable as it requires the least amount of investment so far as monthly or annual overheads go. By this we mean that you are only paying small amounts to keep your business going. For instance if you sell on online auction sites such as eBay your only overheads will be your listing fees and postage costs all of which you will incorporate into your selling price anyway so you will not notice that you are spending money because it will be taken as your selling. Whereas if you decide that you want to open a shop to sell your products you have a lot of day to day maintenance costs that you need to consider such as selling space rentals, electric bills and many others that will be a drain on your profit. And also having a high street retail does not necessarily guarantee you sales, and you see a lot of businesses fail because they do not understand there appropriate costs, and what they can turnover.
Our advice is that if you intend to make money from wholesale, then you carefully assess all your options. But speaking from experience we advise that you go down the online retailing option. This does not restrict you though as you may think, there are many places you can sell online. As I mentioned before using online auction sites such as eBay, Amazon or Play Trade are probably your best bet because of the sheer amount of traffic they generate and you cannot put a price on having that many people possibly seeing your products.
You can of course consider setting up your own website from which to sell your products, we recommend you maybe try this once you have seen how well your products can sell via the online auction sites. This is because creating an e-commerce website is not a quick fix and requires a lot of work to get it to top standard to sell and there are a few reasons for this. Firstly you will need to either design your website or have a website designed for you which can be very costly. Then you will need someone to create the website for you, unless of course you are blessed with being able to do this for yourself. But if you do have it designed and created for you we know that this is not a cheap exercise, and can take a while to get it to where you want it visually. Then you have to consider the costs of having your website hosted which on top of what you have already paid for the creation will amount to a fairly large fee. But on the up side you will have your own website and are free to use however you wish.
So to summarise we recommend that should you decide to take up buying and selling wholesale as a way of making money then you give your products test time on online auction sites to see how they fare. Then once you feel confident enough to try for your own website then go ahead and give it a try.
Remember to do your research and make sure that you know what products will sell and wont because a lot of money can be made through this technique but also a lot can be lost. But should you do the prior research and investigate thoroughly this wont happen.
This is just another one of our money making ideas from 100 ways to make money Do you ever think to yourself How Can I Make Money? Why not take a look at all our different ways you can make Money both Online and Offline
Category: 100 Ways to make money
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