How To Make Money On EBay

To most people EBay is somewhere to sell unwanted junk but it can also be a lucrative business.

There are two main ways to make money on EBay, either as a dropshipper or as a wholesaler. To get more information on both of these read my dropshipping page and my wholesale page.

As a quick overview, as a wholesaler you buy products in bulk and then sell them.

If you're a dropshipper you simply sign up to dropshipping company, find a product you want to sell, sell it for as high a price as you can and then once you've been paid you pay the dropshipper and they send the product.

My favorite way to make money is by dropshipping because it's more of an automated process and it requires a lot less work once the initial research has been done.

As a newbie it can be difficult to make money as a dropshipper because the profit margins are less than if you're a wholesaler. This is because you need to pay more for the items because you aren't posting them yourself.

Wholesalers also get discounts because they generally buy in bulk and then rest is then up to them to sell and deliver them.

The downside to being a wholesaler is that you will need to store the items you buy yourself and you will also need to post the items off.

This is too much work and effort for me so it's a route I've never gone down. I do successfully make money as a dropshipper but that's because I have experience of finding good items that sell for high prices and buy for low prices.

I also know the best dropshipping resources, the best one is salehoo.

I've been a member for years and it truly is the best resource especially for newbie's. It takes you by the hand in learning about what it takes to make money on EBay as a dropshipper as well as connecting you with several dropshipping companies.

The tool that I use to find profitable items is a software program called Hot Item Finder.

This is a freakishly powerful tool that will tell you exactly how much items have sold for, how many bids they had etc.

Then all I do is go to salehoo and find the exact same items at the lowest price and then sell them as a dropshipper.

Once you have this cracked it really is perfect business and if you're serious about making money on EBay I strongly recommend you sign up to both salehoo and Hot Item Finder.