One platform you can use to create an online business is eBay. For a small business, eBay is a great place to take advantage of the traffic that flocks to the online marketplace. While some believe opening an eBay small business is simple, in order for it to be successful, some up-front effort on your part is required. First, you must have products to sell that customers are interested in buying. Second, you need to learn how to maneuver the online marketplace as a seller, so you can get customers to buy from your eBay business and you can make money.
Determine the products you intend to sell. You may have your own products that you make and sell (i.e., diaper cakes or handmade greeting cards) or you may choose to sell products that you obtain at wholesale pricing from the product manufacturer or wholesale distributors. For example, if you decide to sell cell phones and cell phone accessories, you can become an authorized dealer for cell phone companies, such Verizon. If you are a manufacturer, eBay is a great ecommerce platform to sell direct to consumers.
As an eBay Consultant, I usually advise my clients to selling on eBay as opposed to an individual selling account. An eBay business account will usually allow for higher selling limits. If you intend to list a lot of items and run a legitimate high-volume business, then an eBay business account is right for you. Make sure you register your business with the state. You can register your business name with the secretary of state in the state where your business operates. For example, if your home office is in Texas, then you would register the name of your business with the Texas Secretary of the State. The secretary of state can provide you with the forms you need to complete for the registration, depending on the business structure you choose (sole proprietorship, partnership, corporation or limited liability company).
You will need to register your business with eBay. Opening an eBay store or listing products for sale on eBay does not automatically register you as a business with eBay. Complete and submit the online eBay form (see resources) to register your business with eBay. Apply for a sales tax use permit. Most states, including Texas, require businesses that sell products in the state to collect sales tax. You only have to charge residents of the state where you are shipping the products you are selling to when they reside in your state. Contact your state department of revenue to apply for a sales tax permit and instructions for paying the state the taxes you collect from product sales.
Once your account is open, you will need a PayPal business account as well. Both accounts will require all basic business information such as a federal tax ID number, business address, business phone, ect. The next step is to link your PayPal business account to your eBay account. Once that is completed it is time to find the best eBay store option for you.
Opening an eBay business account will open your business to millions of new perspective customers around the world. It will increase online sales and help grow your business.