Make the BEST PROFIT on eBay - Stop Wasting Money!

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Everyone thinks that it's easy to make money on eBay.  

They go and buy some stuff and then write a wonderful auction, take some brilliant pictures and wonder why they aren't making as much money as they thought! 

The secret to making money on eBay is to keep your expenses low (Don't opt for high vis auctions at premium prices) and to buy your stock to a given projected mark-up!

The key to making profits on eBay is getting your "Buy Price" right at the start. That is where you make your money. WHEN YOU BUY YOUR STOCK!  

The fees are rather higher than it would seem at first glance.  Read on to see how you can increase your profit with the application of a few little guide 'rules':-

When you sell on ebay you have to take into consideration your initial buy price, the Final Value Fee (Ebay's scrape off - FVF), and the Paypal fee (if you take Paypal payments, which applies to the WHOLE AMOUNT including POSTAGE FEE).  Also any error on postage price asked also comes out of your profit - So get that right!

ALL products have a BUY PRICE ratio...  This is the difference between the price you 'buy-in' and the 'selling price'.  It is very important to allow for the fees and charges when planning your sell price - This dictates your buy price.

Here are my buying rules:

If you sell anything for less than £10, you need to make 250% profit or more to make it worthwhile. (Can be done / Must be done!)

The 1/4 rule on items selling from £10 to £25
If it is a single item that will sell for at least £10, I will not pay more than £2.50 for it.

Buy Price £2.50 - £7
Sell Price £10 - £25
The 1/3 rule on items selling from £25 to £50
If the item is selling on eBay for between £25 - £50
I will try to pay 1/3 of the price.

Buy Price £8 - £17
Sell Price £25 - £50
The 1/2 rule on items selling from £50 to £125
On items that sell in this price range I normally try to pay 1/2 price for them.

Buy Price £25 - £63
Sell Price £50 - £125

Above £125 if you can get 35 to 40% mark up you're still on the money 

The Big Pig Referee:
Bought for £1.50 sold for £9.99

One important thing to think about is this:

Here is an example of the way things work out because of the different rates for different prices...

Rough working... Let's spend £25 on stock in two ways:  

20 items bought at £1.25 (£25) and sold at £2.50 (total=£50) results in only approx £6.80 profit     


1 item bought at £25 (£25), and sold at £50 (total=£50) gets you approx £17.50 profit!

Basically - The higher the price of the things you sell the lower the ebay scrape off the profit.  BUT The lower you buy in the less this has an impact!  BUY in accordance with my guide and you'll make bigger and better per sell profits  :o)

Addendum - If you think 250% can't be done, let me say that I regularly buy in my winter stock at car-boot-sales starting in July.  I pay between 50p and £2 for children's clothing items that will sell for £6 - £12 believe it or not! That's 600%... perhaps I've been too lenient on you?  :o)

 And my very first item I bought specifically to 'sell-on' brought me around 900% profit!  ( I bought a 50p 3" soft toy Rat that I listed and was won at auction by 'RatRehome' for £5.50 minus eBay scrape off 65p.)

If you'd like to think of it another way, if you know that an item sells for £10 on eBay - You can easily work out that you need to be paying less than £2.50 when you buy it in.

Look after your expenses and your profits will look after themselves!


A final point - IF you find an auction for the 'Ebay Selling Tool - Profit Modeller', DON'T BUY IT! 

It's useless - It fails to take into account the FVF and the PayPal charge. As such it is a 'Basic Profit Modeller', what's the point of that? Basic profit is so far off the actual profit it is virtually useless as a guide!

If anyone is offering "Ebay Selling Secrets" or "Selling Tips" - Don't pay for it - Just use these guides! 

There is a wealth of FREE information out there on eBay guides - Don't pay someone to tell you something you can get for FREE!

Thanks for your time, I hope I've been helpful!

SuperCooper x

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