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How to Start a Reseller Business: Tips and Ideas for 2024

A reseller business can be a great option for first-time entrepreneurs. With this business model, you don’t need a revolutionary new product idea to start your own ecommerce business . In fact, you don’t even have to manufacture your own products, meaning it’s less of a hassle to get the business started.

Interested? Then read on to learn the meaning of “reseller,” why you should become one, and how to start a reselling business online.

What is a reseller?

A reseller is a person or company that buys products from different suppliers and sells them to their own customers (usually at a profit). Resellers often provide some value-add in terms of the customer experience, which enables them to mark up the price of the items they sell. This could be something as simple as an in-depth product description, a customer loyalty program, or live chat support.

Sourcing products isn’t necessarily easy and often requires a large capital investment. Resellers are able to navigate this by purchasing products only after they’ve made a sale and have been paid by the customer. Think of reselling as a form of dropshipping , where individuals source materials and products from a variety of suppliers but do not commit to selling through any purchased inventory upfront.

Reselling can be a profitable business model, particularly if you possess niche expertise. You can leverage your knowledge and skills to promote different products within your area of specialization. Curate a selection based on market trends and customer preferences and you’re likely to build a loyal customer base.

What are the advantages of being a reseller?

There are a number of benefits to starting an online resale business:

Launch your business sooner

Becoming a reseller allows you to start a business quickly. You don’t need to wait for inventory to arrive or wait for anything at all, for that matter. You can set up and launch the same day you build your online store. After you’ve added a few great reseller products and some content to your store, you can start marketing your business.

Carry no inventory

Another advantage of becoming a reseller is that you don’t have to carry inventory. You can source products from dropshipping suppliers, who allow you to resell without having to purchase inventory in advance. You only pay for goods as customers order them from your website, making it a great choice for new entrepreneurs. Even if you sell niche products or boutique clothing , you can still make a profit without holding stock.

Resell an extensive range

If you become a reseller, you’ll be able to sell a vast range of products. If you resell clothes, you can offer shoes, jewelry, accessories, handbags, lingerie, or related products as your business grows. Adding other products to your reseller online shop won’t cost more, as you only pay for goods that customers buy from your store.

Lower your financial risk

A benefit to starting a reseller business is that the financial cost is low. This is the perfect business for budget-conscious and risk-averse entrepreneurs. You won’t need to buy bulk inventory. Shipping fees aren’t sky high in a reseller business. You only pay for goods as customers order them through your reseller online shop. Thus, the financial risk of doing business is low.

Set your own margins

When you become a reseller, you’re free to set your own margins. You can choose to price your products however you want. Since the cost of goods is low, you can price your products to ensure your reseller business is profitable. The higher you set your price, the more you can make. Be sure to look at industry standards for product pricing.

How to become a reseller

1. register your business.

Get a business license where you do business and/or are incorporated. To resell in other states, you’ll need to file a foreign qualification .

2. Check into state laws

In most states, you should be able to use an out-of-state reseller’s permit that eliminates the need to pay sales tax on resale items. However, this won’t apply in every jurisdiction. Make sure to check the state laws on reselling before you open for business.

3. Get a resale permit

Apply for a reseller permit in each state where you buy and sell goods. Note that there might be fees associated with this permit.

Sales tax laws vary by state, with each state setting its own rates. According to the Tax Foundation , 45 states and the District of Columbia impose statewide sales taxes, and 38 of these also collect local sales taxes. To understand your obligations, it’s best to check with your local authorities.

In the United States, businesses holding a reseller permit don’t pay sales tax on products they purchase for resale. Instead, these businesses are required to charge and remit sales tax to the state from their customers’ purchases.

If your business operates across multiple states, such as having a headquarters in one state and a distribution center in another, you need a reseller permit for each location. For instance, if you’re registered in New York but also operate in New Jersey, you will need a permit for both states to legally charge and remit sales tax.

Additionally, you will need an employer identification number (EIN) to pay federal taxes and open a business bank account. Obtaining an EIN is free, and you can easily do so by visiting the IRS website and following the instructions provided there.

Choosing a fulfillment method for your reseller business

When starting an online reselling business, you need to decide how to fulfill customer orders. Here are three main options:

1. Third-party logistics (3PL)

You can employ a third party to manage your inventory, fulfillment, and shipping. This differs from dropshipping because you own the inventory and pay for its storage. This method suits those looking to resell bulk wholesale products without managing the distribution process. It’s vital to be aware of any high fees associated with your third-party provider.

2. Dropshipping

Dropshipping allows you to run the front end of an ecommerce platform without holding any inventory. When customers place orders on your online shop, you pass these orders to a supplier who owns the products and fulfills them. Starting a dropshipping business is cost-effective as it requires no initial stock. However, you may face challenges such as less control over product quality and higher per-unit costs, which can lower your profit margins.

3. In-house fulfillment

If you choose this method, you store all inventory and oversee the packing and shipping yourself. This approach works well for small, unique, or specialty item inventories. Managing your inventory in-house helps maintain control over the entire process.

Finding suppliers for your resale business

DSers is a great tool for those seeking reliable suppliers for their resale business. While DSers is a dropshipping solution, the same principles apply to a reseller product dropship program. You’ll be able to resell goods from a manufacturer without carrying inventory and more.

Find suppliers for sale business via DSers

Here are a few other great reasons to consider DSers:

One-click product import. You can choose to add hundreds of items to your store with one simple click. You can sort through order volume, high reviews, and seller rating to find the right products for your reseller online shop.
One-click order processing. DSers’ reseller dropship app allows you to process orders in one click. Rather than manually typing in the customer’s address, you can click a button and all of the customer details will be sent directly to the corresponding supplier.
Choose from millions of products. As someone selling reseller products, variety allows you to find the best products to sell to your customers. You can choose from millions of great products to sell to your customers. By offering customers variety, you’ll be more likely to land a sale.
Suppliers ship products for you. In a reseller business, you won’t have to package or ship goods to customers. Your suppliers will do that for you. This saves you time and money from fewer labor costs. You’ll have more time to focus on marketing and growing your store’s sales.
Automatic price changes. When a supplier changes its price, you can have your store automatically update your product pricing. This allows you to maintain a profitable business or offer special discounts.
Track shipments. You can easily track your customers’ shipments in the DSers app. When customers ask questions about their package, you can give them specific information, as tracking information is easily accessible.
Easily find products with affordable shipping. With DSers, reseller businesses can sell products with affordable shipping costs. You can choose to sort items with free shipping or ePacket shipping . This allows you to send customers their products quickly and affordably.
You can earn more money. You’ll be able to set your own margins and keep your reseller business costs low. This type of business model gives you a better chance to earn more money than many competing brands. With low product pricing, you’ll be able to offer market pricing, which still allows you to run a profitable business.

To use DSers, you’ll need to have a store on Shopify. Learn how to create a Shopify store in less than 30 minutes .

5 reseller business ideas/opportunities

In a reseller business, you can sell virtually anything. You can start a clothing store or resell shoes or even vintage products. The fact that you don’t have to invest in manufacturing and product development makes reselling a great home business idea to start and grow as you see fit.

1. Clothing business

Clothing is a huge opportunity, as you can resell to women, men, and children of all ages. When running a reseller clothing business, you can test a few different clothing niches at a time and decide which ones work the best for you. You can remove low-performing styles without incurring any cost and add new items as they come into fashion.

When setting up a reseller business idea like clothing, it is important to plan ahead, because clothing lines are cyclical depending on seasons and popular holidays.

2. Pet supplies store

Pet supplies offer a wide range of choices—from clothing to food to leashes and everything in between. Pet parents always need supplies, so there’s ample opportunity to turn a profit by reselling.

Dog and cat parents are the most popular audiences to target, but you can also resell products that appeal to owners of niche pets like rodents, pigs, or fish. Use social media to share your products and get customers to show off their purchases online in order to gain traction.

3. Cosmetics business

Selling cosmetics online can be a great way of making money, as shipping is relatively low and order volume is normally larger than the average.

Cosmetics don’t just mean makeup, though. It can mean skin care creams and hair care products also. This means you can start a reseller business that caters to men and women of all ages in one store.

4. Car accessories business

Starting a reseller business for car accessories can be very profitable if you understand the market. People spend a lot of time in their cars nowadays and want to make them as comfortable as possible.

Research what your customers want and source them from reputable resellers to ensure your reviews are always positive. Some product ideas are car seat storage bags, car seat back hooks, luminous car parking cards, radio receiver tuner with FM transmitter, and car Bluetooth speakerphone.

5. Sneaker business

Sneakers come in a wide range of styles, from high-performance sports models to trendy streetwear options. Resellers can introduce new styles each season to keep their inventory fresh and appealing.

Take Packer Shoes , for instance. This New Jersey–based business began as a small local shop and has expanded by adopting a multichannel selling strategy. It now offers both popular brands like Adidas and its own unique designs.

How to make money with a reseller online shop

You likely want to make money fast with your new reseller business. Fortunately, there are many strategies you can implement to ensure your reseller online shop grows and remains profitable.

Optimize your site

When looking for opportunities to improve the profit potential of your resale business, it’s a good idea to start with your own ecommerce store. Consider using tactics that would increase your conversions, such as:

Optimize product listings. Include high-quality images and detailed descriptions to make each product page informative and appealing.
Streamline checkout process. Ensure the checkout is quick and easy, with minimal steps and clear instructions to reduce cart abandonment.
Offer promotions and discounts. Use limited-time offers or volume discounts to encourage larger purchases.
Implement live chat support. Provide immediate assistance to answer product questions and resolve issues, enhancing customer confidence and satisfaction.
Utilize customer reviews. Display positive feedback prominently to build trust and influence buying decisions.

By using these tactics, you’ll set up your site to capture more sales and improve customer engagement.

Price your products well

While marketing your products is important, pricing your products well is essential to ensure your business remains profitable. Take into account all expenses, including marketing, employee salaries, and platform fees such as Shopify. These factors should all influence your pricing strategy.

Pro tip: Use a pricing calculator to help determine the right prices. These tools consider your costs and desired profit margin, ensuring you set prices that are competitive yet profitable.

Sell authentic items

Authentic products typically sell at higher prices due to their guaranteed quality and brand assurance. However, distinguishing genuine items from counterfeits can be challenging. To assist you, here are some tips to identify authentic products and reliable suppliers:

Check for quality and detail. Authentic items usually have superior craftsmanship, including even stitching, precise logos, and high-quality materials. Compare the product to official images from the brand’s website.
Verify with serial numbers. Many authentic products, especially high-end items, come with serial numbers that you can verify with the manufacturer or through official brand verification services.
Research the supplier’s reputation. Look for reviews and feedback about the supplier from other buyers. Established and reputable suppliers are more likely to sell authentic goods.

Run social media ads

In general, Facebook ads tend to be the most popular choice for resellers. But TikTok and Instagram ads are also gaining traction due to their growing user base and commerce features.

You’ll need to experiment with different platforms to see where your brand resonates best with the audience. Perhaps TikTok could be your best-performing marketing channel, especially if you’re good at making personalized short videos. Experiment, analyze, and double down!

Create content around your business

From video marketing to blogging, content creation can help elevate your brand’s presence. The more high-quality content you create, the more likely you are to drive traffic back to your store. By consistently creating content for your brand, you’ll find that, over time, your sales will grow.

Need more marketing ideas? In our post How to Market a Product , you’ll find 24 different effective marketing tips that can help you drive more traffic to your store. Using the tips in the article, you’ll be more likely to land your first few sales in your reseller business.

Start your reseller business today

Reselling is a low-risk way to dip your toes into launching and running an ecommerce business. Your website can be designed and styled any way you like, and you just need to add products without investing in inventory upfront. Promotions, sales, and product pricing will all be done by you. Follow the tips above to launch and grow your resale business today.

How to start a reseller business FAQ

Is being a reseller profitable.

In general, resellers earn anywhere from 15% to 40% profit on the products they sell. However, your exact profit will be determined by several factors, such as your markup and overhead costs.

What products are the easiest to resell?

The simplest products to resell typically include books, electronics, fitness equipment, and skin care products. These categories often see consistent demand and can offer good profit margins. To identify potential hot items, you might want to explore popular trends on various online marketplaces and tailor your ecommerce strategy accordingly.

How much does it cost to become a reseller?

The expenses involved in starting a reseller business depend on your product selection and how you plan to fulfill orders. If you opt for dropshipping, you can begin with less than $100, since you don’t need to hold any inventory. On the other hand, if you decide to buy products in bulk, your initial costs could range from hundreds to thousands of dollars, due to minimum wholesale order requirements.

How do you become a reseller?

Get a business license.
Research state laws and regulations.
Prep all the necessary documentation.
File for a resale permit.

Want to learn more?

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Comprehensive Guide to Writing a Business Plan for a Reseller Business

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Are you considering starting your own reseller business? As the most popular business model in the US, dropshipping offers resellers a chance to earn profits without the hassle of inventory or shipping. In fact, according to recent statistics, the global dropshipping market is projected to reach a staggering $557.9 billion by 2025 , growing at a CAGR of 28.8% . With such incredible potential, it's crucial to have a solid business plan in place to ensure your success. In this article, we will guide you through the 9 essential steps to help you write a comprehensive business plan for your reseller venture.

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Identify Target Market

One of the crucial steps in writing a business plan for a reseller is identifying the target market. This involves understanding and defining the specific group of customers or businesses that will be likely to purchase the products or services being offered.

1. Define your ideal customer: Start by creating a profile of your ideal customer. Consider factors such as age, gender, location, interests, and purchasing behavior. This will help you tailor your marketing strategies and product offerings to meet their specific needs and preferences.

2. Conduct market segmentation: Divide your target market into specific segments based on characteristics such as demographics, psychographics, and behavior. This will enable you to develop targeted marketing campaigns and reach the right customers with the right messaging.

3. Research market demand: Determine whether there is a demand for the products or services you plan to resell within your target market. Analyze industry trends, customer preferences, and market data to assess the viability of your business idea and identify potential opportunities.

Tips for identifying your target market:

Utilize online surveys or questionnaires to gather insights and feedback from your potential customers.
Observe and engage with your target market on social media platforms and online communities to understand their needs and preferences.
Monitor industry reports and publications to stay updated on market trends and changes.
Consider conducting focus groups or interviews with a sample of your target customers to gain deeper insights.

By identifying your target market, you can effectively tailor your business plan and strategies to meet the needs and preferences of your potential customers, increasing the likelihood of success as a reseller.

Reseller Financial Model Get Template

Conduct Market Research

Market research plays a crucial role in a reseller's business plan, as it provides valuable insights into the target market, competition, and customer preferences. By understanding market trends and customer demands, resellers can make informed decisions and develop strategies that will set them apart from their competitors.

1. Define your target market: Start by identifying the specific demographic, geographic, and psychographic characteristics of your ideal customers. This will help you tailor your marketing efforts and product selection to meet their needs and preferences.

2. Analyze market trends: Stay informed about the current trends and developments in the reselling industry. This includes understanding the demand for certain products or services, tracking changes in consumer behavior, and identifying emerging market opportunities.

3. Research competition: Study your competitors' strategies, pricing models, product offerings, and customer reviews. This will help you identify gaps in the market and determine how you can differentiate yourself to attract customers.

4. Understand customer preferences: Conduct surveys, interviews, or focus groups to gather insights into customer preferences, pain points, and buying habits. This information will assist you in selecting the right products or services to resell and tailoring your marketing messages to reach your target audience effectively.

Make use of online tools, such as Google Trends and social media listening platforms, to gain insights into popular products and customer sentiment.
Consider exploring niche markets that are underserved or have less competition, as this can provide lucrative opportunities for resellers.
Keep track of industry reports, trade publications, and industry conferences to stay up to date with the latest market trends and developments.

Analyze Competition

When starting a reseller business, it is crucial to thoroughly analyze the competition in your target market. This step will help you understand the competitive landscape and make informed decisions about your business strategy. Here are some key points to consider:

Identify direct competitors: Research and create a list of businesses that offer similar products or services in your niche. Look for both local and online competitors to get a comprehensive view of the market.
Evaluate their strengths and weaknesses: Analyze your competitors' products, pricing strategies, marketing efforts, and customer reviews. Identify what they do well and where they may be lacking to find potential opportunities for your reseller business.
Understand their target market and positioning: Determine who your competitors are targeting and how they differentiate themselves in the market. This information will help you identify gaps or niches that you can target effectively.
Assess market saturation: Consider the saturation level of your market and the number of competitors already operating. If the market is already crowded, think about how you can differentiate your business to stand out.

Tips for analyzing competition:

Study competitor websites: Explore their websites to understand their product offerings, customer experience, and overall branding.
Follow them on social media: Monitor your competitors' social media accounts to gain insights into their marketing strategies and engagement with customers.
Read customer reviews: Look for customer feedback and reviews about your competitors' products or services. This will give you an understanding of their strengths and weaknesses from the perspective of consumers.
Attend industry trade shows or events: Participating in industry events can provide valuable networking opportunities and allow you to observe your competitors' presence and interactions with potential customers.

By thoroughly analyzing your competitors, you can gain valuable insights that will inform your own business decisions. This knowledge will help you identify competitive advantages, distinguish your reseller business, and develop strategies to capture your target market effectively.

Determine The Products Or Services To Be Resold

When starting a reseller business, it is crucial to determine the products or services you will be reselling. This decision will heavily impact your target market, competition, pricing strategy, and overall success. Here are some important steps to consider when determining the products or services to be resold:

Conduct market research: Research market trends, consumer preferences, and demand for various products or services. Identify gaps in the market that you can fill with your offerings.
Assess your expertise and interests: Consider your knowledge, skills, and interests. Choosing products or services that align with your expertise and interests can give you a competitive advantage and enhance your passion for the business.
Evaluate profit potential: Analyze the profit margins, competition, and potential demand for the products or services you are considering. Ensure that they offer a reasonable profit potential to make your business financially sustainable.
Consider the target market: Determine who your target audience is and what products or services they are seeking. Catering to a specific niche or addressing a particular customer need can help you stand out in the market.
Research supplier options: Explore potential suppliers or manufacturers who can provide you with the products or services you plan to resell. Look for reliable partners who offer high-quality products and competitive pricing.
Stay updated with market trends and evolving customer preferences.
Consider diversifying your product or service offerings to appeal to a broader customer base.
Test different products or services through pilot programs or small-scale trials before committing to a full-scale reselling operation.
Keep an eye on your competition's products or services to differentiate yourself and offer unique value to customers.

By carefully determining the products or services to be resold, you lay a strong foundation for your business plan and increase the likelihood of attracting customers and achieving profitability. Take the time to thoroughly assess your options and make informed decisions that align with your goals and target market.

Develop A Pricing Strategy

Developing a pricing strategy is a crucial step in creating a successful reseller business. Your pricing strategy will determine how much profit you can make from each sale and will also impact your competitiveness in the market. Here are some important considerations to keep in mind:

Understand your costs: Before setting the price for your products or services, it's essential to have a clear understanding of all the costs involved. This includes not only the cost of acquiring the products from your suppliers but also any additional expenses such as shipping, packaging, and marketing.
Research market prices: Conduct thorough market research to determine the prices that other resellers are charging for similar products or services. This will give you an idea of the current market rates and help you position yourself competitively.
Consider your target market: Different customers may be willing to pay different prices based on factors such as perceived value, brand reputation, and convenience. Take into account the preferences and purchasing power of your target market to set your prices accordingly.
Factor in your desired profit margin: Determine the profit margin you aim to achieve for each sale. This will depend on various factors, including your business goals, competition, and overhead costs. Calculate the price that allows you to generate the desired profit while remaining attractive to customers.
Consider offering tiered pricing options to cater to different customer segments.
Regularly reassess and adjust your pricing strategy based on market trends, costs, and customer feedback.
Offer value-added services or bundles to justify higher prices.

By carefully developing a pricing strategy, you can strike a balance between profitability and competitiveness, maximizing your chances of success as a reseller.

Create A Marketing Plan

A solid marketing plan is essential for the success of your reselling business. It helps you attract customers, build brand awareness, and differentiate yourself from competitors. Here are some important steps to consider when creating your marketing plan:

Identify your target audience: Determine who your ideal customers are and understand their preferences, needs, and buying behaviors. This will guide your marketing efforts and help you tailor your messages effectively.
Define your unique selling proposition (USP): Identify what sets your reselling business apart from the competition. This could be your niche market focus, exceptional customer service, or exclusive product offerings. Highlight your USP in all your marketing communications.
Choose the right marketing channels: Based on your target audience and budget, select the most effective marketing channels to reach your customers. This could include social media platforms, email marketing, content marketing, search engine optimization (SEO), or paid advertising.
Create compelling content: Develop engaging and informative content that appeals to your target audience. This could include product descriptions, blog posts, videos, or customer testimonials. Use Hemingway App to ensure your content is clear, concise, and free of grammatical errors.
Build an online presence: Establish a professional and user-friendly website or e-commerce store to showcase your products and make it easy for customers to purchase from you. Optimize your website for search engines to increase visibility.
Utilize social media: Leverage social media platforms such as Facebook, Instagram, Twitter, or LinkedIn to engage with your target audience, share valuable content, and promote your products. Consistency is key, so develop a social media posting schedule.
Track and measure results: Regularly analyze the effectiveness of your marketing efforts. Use tools like Google Analytics to monitor website traffic, email marketing software to track open and click-through rates, and social media analytics to measure engagement. Adjust your marketing strategies based on this data.
Research your competitors' marketing strategies to gain insights and identify areas where you can differentiate yourself.
Consider offering special promotions, discounts, or loyalty programs to incentivize customers to choose your reselling business over competitors.
Collaborate with influencers or bloggers in your niche to increase brand exposure and reach a wider audience.
Encourage customer reviews and testimonials as social proof to build trust and credibility.
Stay updated on industry trends and adapt your marketing strategies accordingly to stay ahead of the competition.

Assess Funding Options

When starting a reselling business, it is essential to assess your funding options to ensure you have the necessary capital to support your venture. Here are some key steps to consider:

Evaluate personal savings: Assess your personal financial situation and determine if you have any savings available to invest in your business. This can help you get started without relying heavily on external funding sources.
Research loans: Look into different loan options, such as small business loans or lines of credit, offered by banks, credit unions, or online lenders. Compare interest rates, terms, and repayment plans to find the best fit for your needs.
Seek investors: If you require a larger amount of capital, consider seeking out potential investors who might be interested in supporting your reselling business. Prepare a solid business plan and pitch to showcase your idea and potential returns.
Consider crowdfunding: Crowdfunding platforms can be a unique way to raise funds for your reselling business. Create a compelling campaign and offer attractive incentives to encourage individuals to contribute to your cause.
Explore grants and government programs: Research available grants and government programs that support small businesses. These can provide financial assistance or resources specifically tailored to reselling ventures.
Prepare a detailed financial projection: Having a comprehensive financial projection can help you determine the exact amount of funding you need and showcase your potential profitability.
Build a strong credit history: Maintain a good credit score by paying bills on time and using credit responsibly. This can increase your chances of securing favorable loan terms.
Consider bootstrapping: If possible, bootstrap your reselling business by reinvesting profits and minimizing expenses. This approach allows you to maintain control over your business and limit external debt.
Seek professional advice: Consult with financial advisors, accountants, or business mentors who can provide guidance on funding options and assist with financial planning.

Define Legal And Regulatory Requirements

When starting a reseller business, it is crucial to understand and comply with the necessary legal and regulatory requirements. Failing to do so can result in fines, penalties, or even the closure of your business. Here are some important steps to consider:

Business Registration: Determine the legal structure of your reselling business, such as sole proprietorship, partnership, or LLC. Register your business with the appropriate local, state, and federal authorities.
Tax Obligations: Consult with a tax professional to ensure you understand your tax obligations as a reseller. This includes obtaining the necessary tax identification numbers and understanding how sales tax applies to your business.
Permits and Licenses: Research and obtain any required permits or licenses specific to your reselling business. This may include local business licenses or industry-specific licenses.
Product Regulations: Understand any product-specific regulations, such as safety standards, labeling requirements, or import/export restrictions. Ensure that the products you plan to resell comply with these regulations.
Intellectual Property: Familiarize yourself with intellectual property laws and ensure that the products you resell do not infringe on any trademarks, copyrights, or patents.
Consider consulting with an attorney specializing in business law to ensure you fully adhere to all legal requirements.
Stay updated on any changes or updates to relevant regulations or licensing requirements in your industry.
Keep detailed records of your compliance efforts, including permits, licenses, and any certifications you may obtain.

Establish Key Partnerships Or Supplier Relationships

One of the key steps in writing a business plan for a reseller is to establish key partnerships or supplier relationships . These partnerships are integral to the success of your reselling business as they will provide the products or services that you will be selling to your customers.

When looking to establish these relationships, it is important to thoroughly research and vet potential suppliers. You want to ensure that they are reliable, offer quality products, and have a good reputation within the industry. Look for suppliers who have experience working with resellers and understand the dropshipping model.

Additionally, consider the niche or target market that you have identified in your business plan. Look for suppliers who specialize in the types of products or services that cater to your target market. This will help you offer unique and in-demand products to your customers.

Once you have identified potential suppliers, reach out to them and initiate a dialogue. Ask questions about their process, shipping times, return policies, and any other concerns you may have. It is important to establish a clear line of communication with your suppliers to ensure smooth operations and customer satisfaction.

Furthermore, consider establishing mutually beneficial partnerships with your suppliers. This could include negotiating pricing terms, securing exclusive product lines or discounts, or even collaborating on marketing efforts. Building strong relationships with your suppliers can lead to long-term success and growth for your reselling business.

Regularly communicate with your suppliers to stay updated on inventory availability and any changes in their operations.
Consider establishing backup suppliers or diversifying your product range to mitigate any potential risks or disruptions in the supply chain.
Build trust and reliability with your suppliers by promptly paying invoices, respecting their terms and conditions, and providing feedback on their products and services.
Continuously evaluate and assess your supplier relationships to ensure they align with your business goals and objectives.

In conclusion, writing a business plan for a reseller in the US, particularly for a dropshipping model, requires careful consideration and strategic planning. By following the nine steps outlined in this checklist, resellers can effectively identify their target market, analyze competition, develop pricing and marketing strategies, and establish key partnerships. Successful implementation of these steps will help resellers navigate the challenges of the industry and achieve profitability in the competitive market.

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The Reseller Business Blueprint: A Step-by-Step Guide for Entrepreneurs

by Sara Sparrow , on Aug 29, 2024 4:28:41 PM

The Reseller Business Blueprint: A Step-by-Step Guide for New Entrepreneurs

Do you intend to start a business? Are you intending to venture into a low-risk, high-value business that can quickly generate impressive returns? If so, it might be time you consider a reseller business model.

But before you get overly excited over that business idea, there’s good and bad news for you.

The bad news first: 10% of all startups fail within the first year. Even worse, 80% more collapse later along the way, with most of those that sink attributing their downfall to issues related to lack of a proper solid foundation.

And now, the good news: With a proper blueprint and determination, you can easily sneak into the 10% of entrepreneurs with successful businesses.

In this article, we'll walk you through a step-by-step process of building a successful reseller business in the long term — whether starting a small or a big one. From market research and niche selection to scaling your business, we've put together a reliable startup guide to building your business as a reseller.

And by the way, just so you know, this beginner's guide focuses on general reselling business and not SEO reseller programs. But if you want to be an SEO reseller, take a look at this white label SEO service.

So, without further ado, let's get started with our topic!

Understanding The Basics Before You Start A Business: What Is a Reseller?

A reseller is simply a middleman who connects manufacturers or wholesalers with end consumers. It is a business or an individual who buys commodities from a manufacturer or a wholesaler and sells them to end consumers at a higher price.

One of the benefits of running a reselling business is that it allows you to pursue your entrepreneurial ambitions without investing heavy capital upfront or bearing the risk that comes with manufacturing your own goods.

Plus, with a reseller venture, you have greater flexibility to switch products, markets, and even channels, liberty you usually don’t enjoy readily when manufacturing your products.

9 Steps Every Entrepreneur Should Follow When Setting Up A Reseller Business

A reseller business can be a profitable venture when you do things right. And doing things right has to start with laying the proper foundation for your business.

Here are nine essential steps to follow when setting up a reseller business:

Step 1: Market Research & Niche Selection

Before you dive into selling products, know what to sell. Extensive market research is needed to know what products are in demand.

Get it right at this stage, because any misstep could seal the fate of your business even before you roll it out. The goal is to find products that are high in demand with a decent profit margin and low competition.

Google Trends, Amazon or Alibaba Best Sellers list, and Social Media insights are some of the best tools to use for this task. They’ll provide information as to what's trending.

But in most cases, some of the most profitable niches you need to know include:

Electronics and accessories
Baby products

In addition, research your target audience to get insights into their pain points and preferences. It will help you know what area of weakness you can capitalize on when offering your services.

Step 2: Understanding the Reseller Model & Fulfillment

Once you've discovered what products you should resell, choose the type or reseller fulfillment model that best suits your business.

There are several of them:

Dropshipping: In this model, you enter into a prior agreement with the supplier of the products you want to resell to supply the products to your customers. You then market the products like your own. Once you get a customer, the supplier delivers the product to them, takes their cut, and pays you the remaining amount.
Retail Arbitrage : In this case, you procure products at discounted rates and store them ready for resell at a profit.
Online Marketplaces: In this model, you can sell your products on platforms like Amazon, eBay, or Etsy.

When choosing the model to use, ensure that the pros and cons of each are evaluated. It will help you know what will help you run a successful business.

Step 3: Find Reliable Suppliers

Once you've decided what business model to run, look for suppliers. Internet, trade shows, and industry conventions are all great avenues for meeting product manufacturers.

Identify several suppliers of your product before narrowing down the list to get the best.

Here are some factors to guide you when choosing a supplier that can help you reach your goals:

Product Quality: Choose a supplier who offers high-quality, original products. Do a background check to see what the people they've previously done business with are saying.
Product Brand: Dealing with products from a reliable brand will increase the chances of business success.
Pricing: Check the pricing and the minimal order number for each supplier. The goal is to get one that will allow you to resell the products at a profit without the inconvenience of overstocking.
Terms & Conditions: Check out each supplier's terms of service. This includes payment terms and delivery time frames.
Customer Service: Choose a supplier you can easily reach and who is ready to listen to you should any issues arise.

Step 4: Create A Business Plan

Creating a business plan may sound obvious. But do you know that 16.8% of businesses operate without one?

Creating a business plan may sound obvious, but did you know that 16.8% of businesses operate without one?

That's right — as per a research report by Good Firms.

Being a newbie in this category can be a direct ticket to your downfall. A well-crafted business plan will help you keep track of all the important aspects of your business.

You can go with a simple one, but ensure that it captures:

An overview of your venture
The product or service you're offering
A list of suppliers
Your financial projections
Your marketing and sales strategies
Growth plan
Your operations and logistics plan

Step 5: Register Your Business

You don't want to fall victim to legal consequences. So, before you begin your operations, first register your business with the pertinent authorities in your area.

There isn’t a fixed procedure for doing this, as it varies from country to country. However, more often, you must select a business name and then register it with the local government authority or applicable regulatory body.

You'll also need to state the type of business (what you'll be selling) and whether you intend to run a sole proprietorship, limited company, partnership, or corporation. It's important that you find out more about the different types of structures and the applicable licenses and permits for the one you choose to avoid legal repercussions.

Of course, an Employer Identification Number (EIN) is also mandatory, so obtain it from the Internal Revenue Service (IRS) if you’re in the US. You will need this number to file your taxes and open a business bank account.

Step 6: Step 6: Setting Up Your Business

Currently, more people opt to purchase things online. Backlinko projections show that eCommerce sales could hit a staggering US$6.86 trillion by the close of 2025, having been at US$4.98 trillion in 2021.

This means if you want to remain relevant in the current competitive landscape, online presence is a prerequisite — even when running a physical store. In fact, do you know that 81% of people who still shop in physical stores will conduct online research before walking into one?

One recent study has revealed this. So, create a nice website and optimize it for user friendliness and search engine visibility. At this point, remember also to choose a nice logo.

Also, remember to set up social media accounts and get all the necessary equipment to run your business. Of course, if you intend to have a physical store, you should have your physical facility well set up at this point.

Step 7: Procurement of Products

If your reseller model requires you to hold inventory, then it's now time to procure your products. Factor in the minimum order number of the supplier you're dealing with and the capacity of your facility when procuring the products.

But for the initial batch, it's highly recommended that you keep it lean. You can increase the order number of items with time as the business picks up.

Step 8: Market Your Reselling Business Online

Once your physical or virtual store is equipped with the products, let the world know what you're selling. It's at this point where marketing comes in.

Proceed and use the marketing channels earlier outlined in the business plan to promote your business. Some of the effective marketing avenues include:

Social Media: Leverage social media to boost your startup visibility . Facebook, X (formerly Twitter), Linkedin, Instagram, and TikTok offer the best chance to meet and interact with potential buyers.
Email Marketing: Send weekly newsletters to subscribers detailing your products and offers.
Influencers: If possible, use celebrities who've built solid reputations in the niche to enhance your brand identity.
Paid Advertisements: Google Ads and Facebook Ads are other options that can help you reach a wider audience for a fee.
Content Marketing and SEO: This marketing strategy involves using well-optimized content to help drive organic traffic into what you're selling.

Step 9: Scaling and Growth

Plan for growth, you may choose to expand your product range, increase marketing efforts, or set up additional stores in different locations

You now have your reselling business up and running! Congratulations! But it's every entrepreneur's wish to expand their venture.

As time goes by, you'll get to know what's working for your business and what isn't, making it easier for you to do that.

You may choose to expand your product range, increase marketing efforts, or set up additional stores in different locations. Whatever strategy you decide on, ensure that it aligns with the goals outlined in your business plan.

Pros & Cons of Reselling Business

Before becoming a reseller, know the benefits and drawbacks of running that kind of business.

Low start-up costs
Wide range of products to choose from
High profits if you do your market research well
No manufacturing or production costs
Flexibility for running it part-time or full-time.
High competition
Little control over product quality and prices
Reliance on suppliers for timely delivery of products
Potential legal issues if you don't follow regulations.

A reselling business can be rewarding as long as you've set the right foundation and are doing everything else correctly. But then, like any other business, patience, time, and effort remain prerequisites for success.

Keep in mind that with the changing landscape, you must recognize the importance of constantly monitoring the market. This will help you know where to update your business. Your entrepreneurship journey can yield great rewards with the proper strategies in place.

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Published on Sep 12, 2023

What is reselling? Unfolding the reseller business model

15 min read

The resale of used goods has always been a popular side hustle or even a full-time job. From shrewd buyers at antique fairs to flipping goods on eBay or Craigslist, people have always found ways to turn a bargain into profit. However, reselling is going through a resurgence thanks to the proliferation of online platforms connecting consumers with both new and used goods.

Starting a reselling business is a great way to make money if you have an eye for a deal and a flair for marketing. Let's explore the finer points of the reseller business model to see if it could work for you.

Definition and basics of the reseller business model

Before we take a deep dive into how to run a reselling business, we should define reselling to ensure there is no confusion.

What exactly is the reseller business model?

A reseller buys goods from one party and sells them to another. In essence, resellers are intermediaries that get goods from one place to another and take a cut of the action along the way.

Reselling is a great way to start your own eCommerce business. You don't need a novel idea, produce goods, or even have a load of starting capital to get started. All you need to be able to do is attract customers for your resale goods.

The used goods resale market is one of the fastest-growing resale business areas and expected to reach $188.5 billion by the end of 2023. Consumers have become more discerning about the impact of fast fashion and other consumer goods on the environment. As such, they are looking at alternative business models that fit within the circular economy . Reselling makes this possible with the added attraction of more competitive pricing.

It should also be noted that reselling is also a popular model in software and telecoms. In these situations, the reseller acts as an intermediary between a vendor and the consumer. However, it's important to note that the goods are not used. The reasons why vendors and resellers conduct these relationships include increasing marketing reach and passing on duties like customer support and service to the intermediary or reseller.

Comparison with traditional retail

Traditional retail stores typically operate within brick-and-mortar premises. They use point-of-sale (POS) systems, have vast storage facilities, and have close relationships with suppliers and distributors. Their profit margins typically come from the scale of their operations. For example, a national or multinational retailer can come to the negotiating table with the advantage of making substantial bulk orders. Manufacturers find this appealing because it's a guarantee of sales, so they are more amenable to discounts.

Online reseller businesses, on the other hand, operate differently. While they may take advantage of things like bulk discounts, they can't do it at the scale of traditional retailers. Instead, they act as intermediaries between retailers, manufacturers, wholesalers, liquidators, and private individuals, finding areas where they can find a profit by selling to end users.

Here is a good example that highlights the difference between the two models.

Retailer: During a Black Friday sale, a large retail chain offers a limited number of home stereo systems at a 60% discount from the recommended retail price. Andrea queues up and secures one of these home stereo systems.

Reseller: Andrea keeps the home stereo system packed and unopened and waits for the sale to end. Once the deal has expired, and the price of the home stereo system returns to its previous levels, Andrea posts the item on to an online marketplace and sells it to another person for something nearer the original price.

While retailers and resellers have similarities, resellers have more flexibility about what items they buy. They don't need to buy in bulk or commit to contracts, and they have fewer overheads and fewer expectations when it comes to warranties.

Types of reselling models

There are lots of different online resale business models that you can use to sell items for a profit.

Dropshipping

Dropshipping is one of the most popular reselling business models. One of the significant advantages of dropshipping as a reseller is that you don't own the goods and, therefore, don't need to worry about storage, inventory costs, and management.

Dropshippers operate exclusively online. They research goods and then use online websites or platforms to market these items to their audience. When a user buys an item from the drop shipper, the drop shipper places the order with the manufacturer or company. They provide the user's address, and the manufacturer sends the goods.

The drop shipper pockets the difference between the selling company prices and what they charge the end users. In essence, they are an intermediary.

Of course, unless you have some exclusivity agreement with the manufacturer, your business is vulnerable to competitors. For example, let's say you're operating in a niche market like pet supplies. There is little stopping your rivals or customers from discovering your supplier and buying directly from them, eliminating your role as an intermediary.

Consignment

Consignment selling is popular in fashion, antiques, and home decor. Essentially, the model works when an individual entrusts their goods to a consignee or online store that sells the items on their behalf in return for a cut of the profit. The advantage of this model is that you don't have to make significant investments in inventory.

Consignment reselling offers two potential points of interest for entrepreneurs. They can concentrate on sourcing goods and partnering with online stores that offer consignment services. Alternatively, they can build their shop and work with sellers, taking a cut of the profits.

Liquidation

Liquidation resale business models seek to take advantage of situations where a retailer or wholesaler is stuck with goods they can't sell. There are various reasons why an opportunity like this could spring up, such as a company bankruptcy, overstocking, damaged goods, or returns.

The potential profit margins for buying bulk liquidated goods are immense. However, while buying something at 90% off the retail price means higher profit margins, there are also risks to consider when purchasing damaged or unwanted stock.

White labeling or Private labeling

White labeling is an interesting form of reselling. The practice has been around for a long time in supermarkets, where big chains will buy products and attach their name to them. However, this model has become popular with private eCommerce resellers in recent years.

One of the more appealing aspects of white labeling is that it is adjacent to product development but without a hefty R&D budget or associated risks. Here are two ends of the white labeling model.

a) A brand buys an existing product and adds its own packaging and labeling. They then add it to their online store and market and promote the product.

b) The reselling business works with a producer to customize a generic product and add their own labeling.

Examples of this reseller business model include things like celebrity-fronted alcoholic drinks, vitamin supplements, and foods of different kinds.

Arbitrage as a concept comes from the financial markets. It basically describes the process of taking advantage of price differences between one place and another. Here is a simple example.

A store near your home is selling TVs for $400. Everywhere else sells them for $500. You buy one for $400, sell it for $450, and pocket the remaining $50.

Arbitrage opportunities can exist anywhere. Sometimes, a retailer might be overstocked with specific items, forcing them to offload at knock-down prices.

Subscription boxes

Subscription boxes are a type of resale business. You buy various goods, curate and package them, and sell them for a profit. This type of reselling business is an example of how you can use an excellent customer experience to add value to your offer.

For example, if you run a wine or hot sauce subscription service, you must work to find suppliers offering interesting wines or sauces. Your customers are prepared to pay a premium for novel selections that they can't necessarily access locally.

Vintage or used reselling

One of the most time-honored reselling business models involves going to thrift stores or garage sales and finding items you understand are inaccurately priced. For decades, people have been doing this with clothes, antiques, records, electrical equipment, furniture, and more. Ensuring this becomes profitable requires you to have niche expertise to value the goods and predict they will sell online.

Economics of reselling

Most successful reselling businesses thrive because of the "buy low, sell high" business model. However, it's not just about having access to goods that you can flip for a profit. Some customers are prepared to pay a premium for excellent service and access to a curated selection of goods.

Let's take an antique reselling business as an example. A customer is in the market for a Mid-century modern vase. They know that these antiques are out there in shops, car boot sales, thrift stores, and more. However, they don't have time to access these places. And what's more, they don't know how to tell if these goods are authentic or replicas. As such, they are prepared to pay above market value to a trustworthy store that can find and authenticate these pieces. This example is just one of many ways to add value to your service.

Costs of running a successful reselling business

Like any venture, if you want to start a reselling business, you must invest some starting capital. How much you'll need depends on the industry or niche, your business model, and other factors.

Startup costs

Here are a few start-up costs for a reselling business.

All the necessary documentation to run a business, such as a business license, registration fees, resale permit

Inventory costs and storage space, where applicable

Website or eCommerce platform subscriptions

Initial marketing costs and materials

Ongoing costs

Of course, there are also day-to-day business expenses to consider, too.

You'll need to pay sales tax on your profits

Ongoing marketing costs to attract customers

Continued inventory investment

Shipping costs

Employee salaries

Is being a reseller profitable?

As a general rule, resellers look to make a 15% to 40% profit on each sale. However, some reseller business ideas allow for an even bigger profit. Marketing and operating costs eat into these profits, but you can make good returns if you're disciplined, smart, and patient.

In addition to appropriately pricing your resale goods , a big determining factor for the profitability of your resale business is sourcing products at the right price. You can achieve this by developing relationships with manufacturers, monitoring online prices, or finding places for steady bargains, such as yard sales, liquidations, or online sites.

The other side of the coin is finding ways to add value that prompts your customers to pay enough to allow you to profit. You can appeal to a specific target market with an eye for quality, great marketing, and an exciting mix of products. Adding other perks, such as a customer loyalty program, excellent shipping and delivery, and a hassle-free shopping experience, can help build a loyal consumer base.

So, yes, being a reseller is profitable, but you need to find an edge. Offering competitive prices can land you sales, but you need to ensure something is left when you take out your expenses.

Pros and Cons of reselling

Like any business, reselling has its advantages and disadvantages.

Pros of reselling

Sustainable: A reselling business means that you can become part of the circular economy and ensure that used or unwanted goods find a home, reducing the impact of production on finite resources.

Low startup costs: You don't necessarily need deep pockets to start a reselling business. Many models, like dropshipping or consignment, allow you to get paid upfront before passing on a portion of the sale to the individual or business. All you need to invest in are the marketing costs and a platform to start selling online.

Lower inventory storage costs: If you don't need to carry inventory, you can immediately lower one of the high costs of starting your online store.

It can align with your interests: If you're a fashion, literature, art, or antique lover, you can start your own business in a space you love.

Flexibility: Reselling offers a lot of flexibility in terms of the goods that you sell. You can choose between suppliers if you're not tied to agreements or purchase obligations. Moreover, if you operate primarily online, you can work from different locations.

Scalability: If you don't store inventory or use a fulfillment center, you can scale your business quickly. Additionally, specific resale business models like dropshipping mean you only buy goods once you have an order, meaning cash flow shouldn't be a big issue.

Cons of reselling

Competition: Manufacturers have an advantage over competitors because they have exclusive rights to goods. However, if you resell products, you need to find alternative points of differentiation. The problem here is that if you're not competing on price, you need to spend a lot on marketing to get ahead of your competitors. Customer acquisition costs (CAC) are constantly rising, so getting an edge can be pretty expensive.

It can be a very involved business: Finding a steady supply of resale goods can take a lot of work. You must also negotiate with buyers and sellers, ship goods, deal with returns or customer complaints, handle marketing, track inventory, etc. It's not exactly a passive income type of business.

Lack of control over products: Typical reseller businesses place you as an intermediary between a manufacturer and the end customers. However, you don't have much oversight into quality control. Furthermore, if you run a dropshipping business, you might be unable to choose shipping lines. If problems occur, you can find yourself resolving issues while dealing with multiple companies and an angry customer demanding you take responsibility.

Popular industries for reselling

Here are some of the most popular industries for reselling. It's important to note that many of these niches are very crowded. So, they're not always the best reseller business ideas for small business owners trying to break into the game.

However, they have a lot of demand and potential stock circulating in the wild. So, opportunities are there if you know what to look for.

Fashion is a popular resale business idea. Many apps and platforms like eBay have a massive demand for low-priced clothing, shoes, and accessories.

Luxury goods

The surging living costs have not dampened people's appetite for luxury goods, but it has made them less affordable. Luxury goods, at discounted rates, are very appealing to the modern consumer.

Designer clothing and jewelry are two of the most popular luxury goods resale markets. Customers will pay a premium if you can ensure the provenance of these goods.

Sports and concert tickets

Consumers are prepared to pay inflated fees for concert and sporting event tickets. If you can secure early ticket access, you can make huge profits on secondary markets and social media platforms.

Books & Records

Books and records are popular resale items. In particular, there is good money to be made from rare or first-edition books. Again, the success of this model hinges on finding books and records in good condition at low prices. Big stores like Amazon have cornered most of this market, so finding a profitable niche can be challenging.

Home decor, like furniture and vintage antiques, can be excellent money spinners. However, these niche markets require a constant supply of quality items at a low price. Expertise in the area is a huge advantage.

The sneaker resale industry is remarkable. The proliferation of limited-edition trainers means people are prepared to spend astronomical sums to secure the right pair.

To a large extent, a profitable sneaker resale business is about access. Many sneaker retailers have run app lotteries when new pairs are released. Sneaker resellers use bots or multiple accounts to give themselves a better chance of getting the winning ticket. Generally, these methods violate terms and conditions. However, there are ways of operating a legal and profitable business model in the sneaker resale market.

For example, you can get an advantage by understanding which trends and sneakers will grow in value. This skill requires an excellent understanding of your target customers and the sneaker industry.

The used phone market is massive. With new phones retailing at up to $1000, selling less recent models at lower prices is definitely a business opportunity. Again, accessing a steady stream of used phones can make or break this reseller business idea. If you can add a phone repair element to your business, you can truly buy low and sell high.

Supply chains and the resale model

Resale models have become so popular in recent years that some significant chains are pivoting towards re-commerce. Big names like Target and Ikea have programs that support the idea. An important reason behind these changes is a commitment towards a more sustainable, kinder type of business. Another significant factor is well-publicized supply chain issues experienced by retailers worldwide.

Circular supply chain strategies within the resale model typically can't benefit from economies of scale. However, they don't need dedicated HGV trucks ferrying goods from one country to the next. Sourcing pre-loved items involves pickups and drop-offs. However, many deliveries can be done locally, through the national post office, or via courier services.

How to become a reseller

Here is a quick step-by-step guide to starting a reselling business.

Think about a niche or target market that you could serve

Form a business plan and research a resale business model that you think could work

Research local laws and regulations and apply for a resale permit where applicable

Set up a website or an account for a reselling or eCommerce platform

Start marketing to get the word out

Tools and resources of the resale age

Thankfully, there is a lot of technology that helps you when purchasing products for resale. Some of them help resellers find bargains, keep on top of market prices, store and manage inventory, and market their online store to prospective users.

Web scraping technology

In the past, you needed to be a developer to make these tools. However, these days, you can buy software bots that constantly scan websites for low prices. For example, you could set a bot to look for consumer electronics that dip below a specific threshold and provide a notification.

Reseller inventory management tools

Inventory management tools help you record where your inventory is stored and all the electronic details you need to run an online business. These tools can integrate into your content management system (CRM), ensuring your website always stays up to date.

Marketing automation tools

AI-assisted marketing automation tools can help you with product photos and descriptions and even manage Google and Meta ads, ensuring your marketing gets the best results at the best prices.

The future of resale in the digital age

Several trends in the retail and eCommerce business space point towards the growth of resale in the digital age. Some of these trends include:

Online sales are growing each year

The taboo around used goods has become almost non-existent

Customers want to engage in more sustainable or circular business models

Customers desire a more personalized and curated experience that larger retailers can't offer

Technological advances like automation mean small businesses can compete with larger operators by reducing staffing overheads.

When we consider the above, it demonstrates that resale businesses can thrive in the digital age. Perhaps the most notable aspect of digital transformation involves increasing connectivity between people. This connectivity allows an online business to reach and connect with customers in novel ways and across various channels.

Starting a resale business is an opportunity to work in a niche you love. Indeed, knowing your market can give you an edge because you'll know what people want and have a strong sense of what items will sell and at what prices.

There are lots of different resale business models. Some minimize the risk of spending on inventory, allowing you to make sales and pay for the resale of goods. Others require investing in bulk items and hoping you can market them to recoup a profit.

The most important thing to remember is that because you don't sell your own products, you need to find a way to offer value to your users. Competitive pricing can work, but it will only bring rewards with high volume. Great marketing and even better customer service alongside a shrewd purchasing strategy are the road to success. Mix those qualities with knowledge and hard work, and you can become a great reseller.

Make anything rentable in just a few clicks.

Article written by Akseli L.

A marketer who gets excited about all things e-commerce. Outside of office hours, you'll most likely find Akseli from the countryside, hiking and shooting landscapes.

Flipping furniture: How to sell used furniture for profit

Sep 26, 2023

Unlocking the world of reselling: Top reselling business ideas and models

How to Start a Reselling Business

Starting a reselling business can be very profitable. With proper planning, execution and hard work, you can enjoy great success. Below you will learn the keys to launching a successful reselling business.

Importantly, a critical step in starting a reselling business is to complete your business plan. To help you out, you should download Growthink’s Ultimate Business Plan Template here .

Download our Ultimate Business Plan Template here

14 Steps To Start a Reselling Business :

Choose the Name for Your Reselling Business
Develop Your Reselling Business Plan
Choose the Legal Structure for Your Reselling Business
Secure Startup Funding for Your Reselling Business (If Needed)
Secure a Location for Your Business
Register Your Reselling Business with the IRS
Open a Business Bank Account
Get a Business Credit Card
Get the Required Business Licenses and Permits
Get Business Insurance for Your Reselling Business
Buy or Lease the Right Reselling Business Equipment
Develop Your Reselling Business Marketing Materials
Purchase and Setup the Software Needed to Run Your Reselling Business
Open for Business

1. Choose the Name for Your Reselling Business

The first step to starting a reselling business is to choose your business’ name.

This is a very important choice since your company name is your brand and will last for the lifetime of your business. Ideally you choose a name that is meaningful and memorable. Here are some tips for choosing a name for your reselling business:

Make sure the name is available . Check your desired name against trademark databases and your state’s list of registered business names to see if it’s available. Also check to see if a suitable domain name is available.
Keep it simple . The best names are usually ones that are easy to remember, pronounce and spell.
Think about marketing . Come up with a name that reflects the desired brand and/or focus of your reselling business.

2. Develop Your Reselling Business Plan

One of the most important steps in starting a reselling business is to develop your business plan. The purpose of a business plan is to ensure that you fully understand your market and your business strategy. The plan also provides you with a roadmap to follow and if needed, to present to funding sources to raise capital for your business.

Your business plan should include the following sections:

Executive Summary – this section should summarize your entire business plan so readers can quickly understand the key details of your reselling business.
Company Overview – this section tells the reader about the history of your reselling business and what type of reseller business you operate. For example, are you a distributor, wholesaler, retailer, or a dropshipper?
Industry Analysis – here you will document key information about the reselling industry. Conduct market research and document how big the industry is and what trends are affecting it.
Customer Analysis – in this section, you will document who your ideal or target market are and their demographics. For example, how old are they? Where do they live? What do they find important when purchasing products like the ones you will offer?
Competitive Analysis – here you will document the key direct and indirect competitors you will face and how you will build competitive advantage.
Marketing Plan – your marketing plan should address the 4Ps: Product, Price, Promotions and Place.
Product : Determine and document what products/services you will offer
Prices : Document the prices of your products/services
Place : Where will your business be located and how will that location help you increase sales?
Promotions : What promotional methods will you use to attract customers to your reselling business? For example, you might decide to use pay-per-click advertising, public relations, search engine optimization and/or social media marketing.
Operations Plan – here you will determine the key processes you will need to run your day-to-day operations. You will also determine your staffing needs. Finally, in this section of your plan, you will create a projected growth timeline showing the milestones you hope to achieve in the coming years.
Management Team – this section details the background of your company’s management team.
Financial Plan – finally, the financial plan answers questions including the following:
What startup costs will you incur?
How will your reselling business make money?
What are your projected sales and expenses for the next five years?
Do you need to raise funding to launch your business?

Finish Your Business Plan Today!

3. choose the legal structure for your reselling business.

Next you need to choose a legal structure for your reselling business and register it and your business name with the Secretary of State in each state where you operate your business.

Below are the five most common legal structures:

1) Sole proprietorship

A sole proprietorship is a business entity in which the owner of the reselling business and the business are the same legal person. The owner of a sole proprietorship is responsible for all debts and obligations of the business. There are no formalities required to establish a sole proprietorship, and it is easy to set up and operate. The main advantage of a sole proprietorship is that it is simple and inexpensive to establish. The main disadvantage is that the owner is liable for all debts and obligations of the business.

2) Partnerships

A partnership is a legal structure that is popular among small business owners. It is an agreement between two or more people who want to start a reselling business together. The partners share in the profits and losses of the business.

The advantages of a partnership are that it is easy to set up, and the partners share in the profits and losses of the business. The disadvantages of a partnership are that the partners are jointly liable for the debts of the business, and disagreements between partners can be difficult to resolve.

3) Limited Liability Company (LLC)

A limited liability company, or LLC, is a type of business entity that provides limited liability to its owners. This means that the owners of an LLC are not personally responsible for the debts and liabilities of the business. The advantages of an LLC for a reselling business include flexibility in management, pass-through taxation (avoids double taxation as explained below), and limited personal liability. The disadvantages of an LLC include lack of availability in some states and self-employment taxes.

4) C Corporation

A C Corporation is a business entity that is separate from its owners. It has its own tax ID and can have shareholders. The main advantage of a C Corporation for a reselling business is that it offers limited liability to its owners. This means that the owners are not personally responsible for the debts and liabilities of the business. The disadvantage is that C Corporations are subject to double taxation. This means that the corporation pays taxes on its profits, and the shareholders also pay taxes on their dividends.

5) S Corporation

An S Corporation is a type of corporation that provides its owners with limited liability protection and allows them to pass their business income through to their personal income tax returns, thus avoiding double taxation. There are several limitations on S Corporations including the number of shareholders they can have among others.

Once you register your reselling business, your state will send you your official “Articles of Incorporation.” You will need this among other documentation when establishing your banking account (see below). We recommend that you consult an attorney in determining which legal structure is best suited for your company.

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4. Secure Startup Funding for Your Reselling Business (If Needed)

In developing your reselling business plan, you might have determined that you need to raise funding to launch your business.

If so, the main sources of funding for a reselling business to consider are personal savings, family and friends, credit card financing, bank loans, crowdfunding and angel investors. Angel investors are individuals who provide capital to early-stage businesses. Angel investors typically will invest in a reselling business that they believe has high potential for growth.

5. Secure a Location for Your Business

There are a few things to consider when looking for a location for your reselling business. You’ll want to think about the type of products you’ll sell, how much space you’ll need, and your target customers.

Suppose you’re selling products that take up a lot of room, like furniture or large appliances. In that case, you’ll need a spacious location to display your items. You can get away with less space if you sell smaller items, like clothes or jewelry.

Think about the type of customers you want to attract. If you’re targeting busy professionals, you may prefer a high-traffic area with tons of foot traffic. If you’re targeting stay-at-home moms, a location near a grocery store or shopping mall might be more appropriate.

Once you’ve thought about these factors, start touring different locations and see which one feels the best for you. Talk to the landlord or property manager and get a feel for how they do business. If you’re comfortable with them, sign a lease and set up your new reselling business.

6. Register Your Reselling Business with the IRS

Next, you need to register your business with the Internal Revenue Service (IRS) which will result in the IRS issuing you an Employer Identification Number (EIN).

Most banks will require you to have an EIN in order to open up an account. In addition, in order to hire employees, you will need an EIN since that is how the IRS tracks your payroll tax payments.

Note that if you are a sole proprietor without employees, you generally do not need to get an EIN. Rather, you would use your social security number (instead of your EIN) as your taxpayer identification number.

7. Open a Business Bank Account

It is important to establish a bank account in your reselling business’ name. This process is fairly simple and involves the following steps:

Identify and contact the bank you want to use
Gather and present the required documents (generally include your company’s Articles of Incorporation, driver’s license or passport, and proof of address)
Complete the bank’s application form and provide all relevant information
Meet with a banker to discuss your business needs and establish a relationship with them

8. Get a Business Credit Card

You should get a business credit card for your reselling business to help you separate personal and business expenses.

You can either apply for a business credit card through your bank or apply for one through a credit card company.

When you’re applying for a business credit card, you’ll need to provide some information about your business. This includes the name of your business, the address of your business, and the type of business you’re running. You’ll also need to provide some information about yourself, including your name, Social Security number, and date of birth.

Once you’ve been approved for a business credit card, you’ll be able to use it to make purchases for your business. You can also use it to build your credit history which could be very important in securing loans and getting credit lines for your business in the future.

9. Get the Required Business Licenses and Permits

A reselling business requires some licenses and permits that may vary depending on the location and the products and services. For example, you may need a business license, a seller’s permit, and a zoning permit. Contact your local licensing agency or business licensing office to find out what licenses and permits you need.

10. Get Business Insurance for Your Reselling Business

The type of insurance you need to operate a reselling business will depend on the scope of the operation.

Some business insurance policies you should consider for your reselling business include:

General liability insurance : This covers accidents and injuries that occur on your property. It also covers damages caused by your employees or products.
Auto insurance : If a vehicle is used in your business, this type of insurance will cover if a vehicle is damaged or stolen.
Workers’ compensation insurance : If you have employees, this type of policy works with your general liability policy to protect against workplace injuries and accidents. It also covers medical expenses and lost wages.
Commercial property insurance : This covers damage to your property caused by fire, theft, or vandalism.
Business interruption insurance : This covers lost income and expenses if your business is forced to close due to a covered event.
Professional liability insurance : This protects your business against claims of professional negligence.

Find an insurance agent, tell them about your business and its needs, and they will recommend policies that fit those needs.

11. Buy or Lease the Right Reselling Business Equipment

To start a reselling business, you will need to invest in some essential equipment. This equipment includes a computer, printer, scanner, and a reliable internet connection. Once you have these basics in place, you can start sourcing products to sell.

12. Develop Your Reselling Business Marketing Materials

Marketing materials will be required to attract and retain customers to your reselling business.

The key marketing materials you will need are as follows:

Logo : Spend some time developing a good logo for your reselling business. Your logo will be printed on company stationery, business cards, marketing materials and so forth. The right logo can increase customer trust and awareness of your brand.
Website : Likewise, a professional reselling business website provides potential customers with information about the products you offer, your company’s history, and contact information. Importantly, remember that the look and feel of your website will affect how customers perceive you.
Social Media Accounts : establish social media accounts in your company’s name. Accounts on Facebook, Twitter, LinkedIn and/or other social media platforms will help customers and others find and interact with your reselling business.

13. Purchase and Setup the Software Needed to Run Your Reselling Business

To start a reselling business, you will need access to software that can help you manage your inventory and orders. A popular option for this is Shopify, which allows you to create a custom store and manage your products, orders, and customers from one central location. Additionally, you will need a payment processing solution to accept payments.

14. Open for Business

You are now ready to open your reselling business. If you followed the steps above, you should be in a great position to build a successful business. Below are answers to frequently asked questions that might further help you.

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How to Start a Reselling Business FAQs

Is it hard to start a reselling business.

There is no one-size-fits-all answer to this question, as the difficulty of starting a reselling business will vary depending on the products you sell and the market you target. However, some general advice for those considering starting a reselling business is to do some research on the best reseller business ideas , and be prepared to put in the hard work required to make your business a success.

How can I start a reselling business with no experience?

If you're looking to start a reselling business with no experience, the best way is to sell online. You can create an online business or join an affiliate program. Another option is to become a dropshipper, which doesn't require any inventory or upfront costs. You can also start a social media reselling business by finding products to sell on platforms like Instagram or Facebook. The key is to find a niche that you're passionate about and start marketing to your target audience.

What type of reselling business is most profitable?

The most profitable type of resale business is one that specializes in a particular product or niche. This allows you to become an expert in your field and provide valuable information and products to your customers. It also makes it easier to market your business and attract customers.

How much does it cost to start a reselling business?

The cost to start a reselling business varies based on several factors, including the type of products or services, the size of your business, and the location. However, a ballpark estimate is around $1,000-$10,000.

Startup costs may include the cost of inventory, marketing, and other necessary expenses. Of course, you can always start small and scale your business as needed. For example, you may only need to spend a few hundred dollars to get started if you plan to sell products that you already have on hand. Whatever the case may be, it's important to do some preliminary research and plan accordingly to ensure that your business can be successful.

What are the ongoing expenses for a reselling business?

There can be many ongoing expenses for a reselling business. Some of the most common ones include inventory costs, shipping supplies and handling fees, and advertising and marketing expenses.

How does a reselling business make money?

A reselling business makes money by buying products at a lower price and then selling them for a higher price. This can be done in a number of ways, such as through thrift stores, flea markets, garage sales , or through online resale business and marketplaces, auctions, or retail stores.

Is owning a reselling business profitable?

There are many reasons reselling can be a profitable business . One reason is that there is a large market for goods and services, and people are always looking for ways to save money. Additionally, more people are looking to buy used items versus new ones as the trend towards environmentally conscious shopping rises. Finally, opportunities to source products at low prices can increase profitability potential for reselling businesses.

Why do reselling businesses fail?

There are many reasons resale businesses fail. One reason is that it can be difficult to compete with larger businesses who have more resources. Additionally, it can be hard to make a profit if the business is not able to purchase products at a low price and sell them for a higher price. Finally, the business owners may not have a good reselling business model or the skills or knowledge to make it successful. They may not know how to market their products effectively, or they may not have a good understanding of what customers want. As a result, they end up losing money and eventually have to close down.

Start Your Reseller Business

Putting time into sourcing quality products, taking decent photos and writing detailed product listings pays off. Most importantly, having good communication with your suppliers and customers is crucial to the survival of your business.

As with any new business, a lot of work is needed for it to kick off, before you know if it will be a success. Recent studies show that the growth rate of selling second-hand items online is increasing much faster than that of brand new items. With the resale industry booming, it seems like the prime time to create your own reseller business.

When getting started, it is beneficial to draw up a business plan to stay on track with a clear vision of how to make your business a success. Conducting market research will give you insight and clarity to determine particular aspects of your business, such as deciding what products to sell, and where you will source them from.

Research will help you predict the profit margin and profitability of the products you wish to sell. You will also need to consider how and where you will store inventory, and create a system to keep on top of what has been sold and what has not.

The next thing to think about is finding the right platform to suit your needs. With many options, most resale platforms specialise in selling certain types of products, so naturally using one that aligns with your intended product will help you reach your target audience.

Ecommerce resale platforms will often offer a business account to sellers, which will help you setting up your profile, listing your products, and processing sales. At this stage, it is worth checking to see if there are any product listing fees, or if there is a limit on how many listings you can have on the site.

In order to be able to process your orders, you will need to decide on which payment gateway to use, also taking into account any transaction fees. Learning about the local and international postage costs, including packaging, will equally be important to know when it comes to pricing your products. It is also useful to set up an account system and keep track of all income and expenses, as well as any income and sales tax.

Let’s take a look at some best practices and advice from successful resellers to see how these steps contributed to their success.

Case Study #1

Justin , who sells roughly $5300 worth of items on eBay per month

He began by buying one used motorbike, dismantling it, and reselling the parts. Using the money made from the first sales, he gradually increased his earnings and inventory each month, reaching around $39,000 in inventory online.
Justin learned that negotiation and respectful bargaining was crucial to getting a good deal on his purchases in order to make a good enough profit on his sales, while maintaining a good relationship with his suppliers.
He makes use of assisting systems like eBay Labels and the Global Shipping Program to make the shipping process easier and less work.
When interacting with customers, he is upfront in his listings and makes it easy for buyers to return items if they do not meet their expectations.

Case Study #2

Marvin , who made $10,000 reselling on Amazon in 4 months

He started by choosing his product niche in the grocery sector, initially spending $500 on inventory.
With a background in finance, he quickly deduced that focussing on selling cheaper items with around 20% ROI and just $2.00 profit. The lower margins meant he was able to have a higher turnover, which increased his income quickly.
Over time, he built up a good relationship with his suppliers, so much so that they often offer him deals in order to clear their shelves quicker.
To keep track of everything, Marvin built an inventory spreadsheet, which enabled him to have an overview of the profitability of each item each month.

Case Study #3

Oliver , who made a £70 000 profit in 2017 by reselling on Depop

After conducting market research, he found he could sell an item of clothing on Depop for double the price he paid for it.
By sourcing authentic, unique, limited edition items that are in high demand, he discovered buyers were willing to spend more and he was able to put prices up.
Using studio lighting enables Oliver to take high-quality photos, which he knows to be important when creating listings and marketing on social media.
Oliver has developed his reseller business and now sells pre-owned designer products and streetwear from his own ecommerce platform.

Key Takeaways

As we can see when looking at these examples of successful reseller business owners, by doing meticulous market research and planning, they were able to scale up their businesses.

Final recap: Do’s and Don’ts

Don’t	Do
Don’t jump in blindly!	Do market research to learn about the landscape and competition, to determine what product to sell and where you will be sourcing it from.
Don’t expect to see results without putting a detailed plan in place.	Do formulate a and obtain a reseller business license.
Don’t think you have to do it alone.	Do create a business account on a platform that offers you support with reselling.
Don’t withhold information about the origin and condition of the product.	Do include a detailed, honest with your product listings.
Don’t use stock photos or small, low resolution photos that are difficult to see.	Do add real, from all angles of the product as this will help consolidate the buyers expectations.
Don’t charge too much for posting. Also don’t charge too little, otherwise it will eat into your profits.	Do make sure you package items properly so nothing is damaged.
Don’t disregard communication with your customers, or the importance of .	Do set up a customer service system to answer buyers’ questions, and always be upfront, fair, and responsive.
Don’t expect customers to always find you.	Do create a marketing plan to reach your intended audience.

Emily Da Silva

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How to Start a $4.2M/Year Reselling Business

Have you ever wondered how to become a reseller? Becoming a reseller with an online store can be a great way to start your own business or add another revenue stream to your existing business.

Tia Hall started Sneak City in her parents’ garage in 2018 and has since opened two retail locations. Today, she and her business partner Anastasia Lemley make $4.2 million annually.

They started reselling shoes they found at thrift stores for just $50. Now their business is one of the best shoe resellers worldwide.

Want to learn from Tia’s success? We have all the info you need:

What is a Reseller Business?

How to make money reselling, is a reseller a home-based business, how much do resellers make, step 1. what can i resell to make money, step 2. research your niche market, step 3. create a reseller business plan, step 4. find resale products, step 5. create your resale business model, step 6. implement your sales strategy, step 7. start marketing your reselling business, step 8. manage your inventory and sales, step 9. expand your reselling business, go resell with your own ecommerce business.

Keep reading to learn how to become a reseller business, or click any of the links above to jump to the section you need.

A reseller purchases products from a manufacturer or distributor and then sells them to customers for a profit through an online store or retail location. Tia explained how to begin a reseller business:

The easiest way to start a reselling business is to go to thrift stores and find items you can start selling online.

Check out our interview with Tia below.

You have to spend money to make more money. The trick is to find products that people are selling that you can buy and sell for more than your costs as the seller, which include the following tasks:

Buy the products
Pay business expenses

For most industries, you’ll want to pay somewhere between 30-70% of what you can sell directly to your own customers. That’s what makes a reseller profitable.

Yes. Resellers can be home-based businesses, but it really depends on your living situation. Each local jurisdiction and homeowners association may have policies about whether you can start a business from home. Tia told us:

I started Sneak City out of my parents’ garage, but had to get my own shop after it started taking up too much space.

You might also want a shop if you have a large local customer base. Letting them pick up locally can improve the customer experience and reduce your business costs like gas and shipping.

Typical profit margins for reselling products or services vary widely depending on the industry and the products or services sold.

In general, resellers can expect to make anywhere from 10% to 50% profit margins on their sales. However, some industries may have higher profit margins, such as luxury goods or high-end technology products. Others have lower profit margins, such as basic household items or low-cost services.

Tia explained how much she makes to resell shoes:

We use the StockX price minus 30% to calculate the offer price when we buy items to resell.

That gives her a 30% gross profit margin in her reseller business. Keep reading to learn more about how to become a reseller business.

How to Become a Reseller Business

To become a reseller, you’ll need to:

Decide what resale items you’ll sell
Research your market
Create a business plan
Find products to buy and sell
Start your business
Create a sales strategy
Start marketing
Manage your inventory and sales
Expand your reselling business

Keep reading to learn the straightforward steps you’ll take to become a reseller.

The products and services you can resell are virtually endless. The key is finding and selling items or services with high demand and a good profit margin. With the right strategy and execution, anyone can become a successful reseller.

Here are some possible business ideas as a reseller:

Consumer Electronics
Resell Clothes and Accessories
Software and Digital Product Reselling
Car Accessories
Antique Furniture
Collectibles

Find out more about each product category and why a small business might want to resell items.

Electronics

One of the most common products that resellers sell is consumer electronics. This includes items like smartphones, laptops, tablets, and gaming consoles. These products are always in demand and have high profit margins, which makes them an attractive option for resellers.

Mike Wilson is an eBay seller who started a reseller business to fill his time in retirement. He told us:

The best products to resell are the ones that you know about. From sealed VHS tapes to electronics and clothes, use your life experiences to establish what it’s worth, and you’ll make a great living. Check out our interview with him below.

Clothing and Accessories

woman holding a phone with clothes on the background

Another popular product category for resellers is clothing and accessories. This includes items like shoes, handbags, jewelry, and clothing. Resellers can purchase these items in bulk from manufacturers or wholesalers and sell them at a markup to customers.

Software and Digital Products

Software and digital products are also popular among e-commerce store resellers. This includes items like software licenses, e-books, and online courses. These products are excellent for resellers who want to start a reselling business with low startup costs.

You can either use affiliate programs, open source software, or whitelabel digital products to resell software. Check out our interview with Mat Diggity to learn his approaches.

Not into selling physical goods? Let’s have a look at some services you can resell.

young woman with a headset working on a computer

Finally, services can also be resold. This includes things like web design, marketing, and consulting services. Resellers can partner with service providers and sell their services to customers at a markup. This can be a lucrative and profitable business model for those with expertise in a particular area.

The products and services that can be resold are virtually endless. The key is finding a product or service with high demand and a good profit margin. By building the right relationships with suppliers, you’ll be on your way to becoming a successful online reseller yourself.

Now that you have an idea of how to find suppliers, let’s look at getting customers.

Before diving into the world of reselling, it’s crucial to understand your target market. Researching your target market will help you:

Identify potential customers
Create a buyer persona
Analyze your competition

This knowledge will guide you in selecting the right products to offer and crafting an effective marketing strategy.

Identify Potential Customers

man using a magnifying glass on a wooden figures

You can begin by identifying your niche. This involves determining the specific product categories or industries you want to focus on. By specializing in a particular niche, you’ll better understand your target customers and the products they’re searching for, making it easier to cater to their needs.

Create A Buyer Persona

Creating buyer personas to represent your ideal customers is a smart way to keep your focus on your target audience. These personas should include demographics, interests, and buying habits. This information will help you tailor your marketing efforts and product selection to appeal to your ideal customer base.

One of the aspects of the persona you really want to understand is what your customers can afford. Jim Sears makes $62K per month because he recognized that selling packs of sports cards in addition to individual and boxes of cards can be highly profitable as a reseller. He told us:

The younger generations are our target demographic, and they can’t afford boxes that sell for hundreds or thousands of dollars, but they can afford packs.

Hear more from Jim in the video below.

Research Your Competition

Finally, analyze your competition. You can research other resellers in your niche to understand their strengths and weaknesses. This will enable you to differentiate your offerings and identify growth opportunities to position yourself as a go-to source for your target market.

Make sure to document everything you learn and share it with others to develop your niche expertise.

laptop on a table with screenshot of how to write a business plan

A reseller business plan should:

Include an executive summary
Define the products or services
Identify your target market
Explain the pricing strategy and how you will make a profit
Include a marketing and sales strategy
Provide financial projections and a break-even analysis

Check out our blog about writing a business plan to learn more about these aspects.

To resell products you’ll have to find the product offerings at reasonable price points. Try these tips to get started:

Search for directories of suppliers online
Go to places you can purchase products
Vet suppliers
Get samples
Negotiate the terms of the agreement

Search for Supplier Directories Online

For those of you who want to sell your own products or other companies new products, you’ll want to research reliable wholesale suppliers or manufacturers to source products. Look for industry-specific directories or databases that list suppliers and manufacturers in your niche. You can also use search engines to find potential suppliers and manufacturers.

Some of the popular ones are:

Reference USA : The website claims to have over 400 data points on the majority of businesses in the U.S including which wholesale supplier provides each of their products and when the last shipment was.
ThomasNet : Search a wholesale database by size of company, compliance standard, types of products, and annual sales.
Wholesale Centra l : Search their database or check out one of their tradeshows.
Worldwide Brands : This wholesale supplier directory only lists the highest level of wholesalers and dropshippers. Cut out middle men and get the lowest prices possible.

Go To Places That Sell Items

Another way to find resale items is to go to places where people sell products. Many resellers will go to places like:

Online Marketplaces
Trade Shows
Industry Events
Used Clothing Store
Social Media Sites
Other Retailers
Estate Sales

Tia told us: When we first started, most of our sneakers were found in thrift stores, but as we grew, people started coming to us.

If you’re buying from another business, you’ll need a resale license if you don’t want to pay sales tax.

Vet Potential Suppliers

Once you have a list of potential suppliers or manufacturers, it’s important to vet them thoroughly.

Be sure to read reviews and check their ratings on platforms like Google, Yelp, or the Better Business Bureau to ensure they have a good reputation. Then, check their credentials, such as licenses, certifications, and insurance. Ask for references and contact them to learn about their experiences working with the supplier or manufacturer. Check out this article on vetting suppliers .

Request Samples

Next, request samples of products to test their quality and ensure they meet your standards. If they don’t, keep looking. Get ready to negotiate if the manufacturer provides a good quality product. Learn more about ordering samples .

Negotiate with Suppliers

a folder with legal documents on the table

Finally, feel free to negotiate with your suppliers or manufacturers. Ask about their pricing, minimum order quantities, and shipping options. Define your expectations and requirements, then make sure you have a written agreement before purchasing products. Rocket Lawyers has free manufacturing contract templates .

With these tips, you can find reliable suppliers or manufacturers to help you become a successful reseller.

Before becoming a reseller, it’s important to understand the legal implications of this business model. You’ll need the following components in place:

Business Structure : LLCs and corporations are popular types of businesses for resellers.
Resale Permit : Most states have a resale permit (sometimes called a resale certificate). These allow you to buy products without paying tax. Learn more about each state’s resale permits.
Business License : May be required by state or local governments to operate legally. This permit business license allows you to purchase goods from wholesalers without paying sales tax, as you will collect it from your customers when you resell the products.
Business Account From Bank : Make sure to get a business bank account to keep your business finances separate.

We’re going to talk about sales taxes separately.

You’ll need to keep accurate records of your sales and purchases for tax purposes. As a reseller, you will collect sales tax and remit sales tax to the appropriate government agency.

It’s important to familiarize yourself with your state and country’s tax laws to ensure you comply. If you reach the point that you have a national presence as an online business, you’ll have to comply with thousands of different tax requirements. Avalara is useful for sales taxes if your website doesn’t have tax handling options.

With the right strategy and execution, anyone can become a successful reseller.

You’ll want to consider multiple ways of selling your resale products when you start a reselling business. Some of the most common ways of selling include:

Listing on Amazo n: Find out how to sell products on the world’s largest online marketplace by dropshipping products .
Niche Marketplaces : Selling on specialty platforms can be a great way to sell products fast. With StockX you can resell the product immediately if there is a bid you are willing to accept on the type of product you are selling.
Your Website : If you don’t get sales through a website, you’re leaving a lot of money on the table because a business grows by collecting data and increasing lifetime customer value. Learn how to create a website.
Social Media : You can develop a following and sell on social media. Learn to earn on TikTok .
Retail Store : Sell in your own retail store or provide wholesale orders to other retailers.

Marketing your reseller business involves:

Setting Prices

Creating a brand, networking , providing great customer service.

Get ready to learn how to market a reselling business.

Competitive pricing is one of the best marketing strategies for resellers to attract customers. Customers are always looking for the best deals, so make sure your prices are the same as your competitors. You can also offer discounts or promotions to entice customers to choose your products over others.

Our dropshipping blog has an example of how pricing works.

Another effective strategy is to focus on building a strong brand image. This means creating a unique and memorable brand identity that resonates with your target audience.

Use social media platforms to showcase your brand and engage with customers. You can also invest in professional branding services to help you create a cohesive and effective brand image.

Mike Andes told us:

The goal of branding is to bring your customer acquisition costs down as low as possible over the long term.

Learn more about branding.

Networking is crucial for resellers. Attend industry events, trade shows, and conferences to connect with potential customers and other professionals in your field. This will help you build relationships and establish yourself as a trusted and knowledgeable reseller in your industry. Check out some networking groups for businesses .

Finally, customer service is key to attracting and retaining customers. Focus on providing outstanding customer service by responding quickly to inquiries and resolving issues promptly and efficiently. Positive reviews and word-of-mouth recommendations from satisfied customers can go a long way in attracting new customers to your small business.

Get some great customer service tips .

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Choosing the best inventory management and sales software for resellers depends on various factors such as budget, business size, and specific features needed. Here are some top options:

Amazon Seller Central
Zoho Inventory

Each of these services offers a range of features, such as inventory tracking, order management, and shipping management. These tools will help you provide all the necessary documentation to file your taxes. Resellers should evaluate each service based on their specific needs and budget before choosing the right one for their business.

To expand your online resale business, consider some of these options.

Upsell customers. A reselling business can do this both in person and in your own ecommerce store.
Increase your marketing spending.
Start reselling additional products.
Create a customer loyalty program.
Partner with or buy other businesses.
Add a retail store.
Expand to other regions.
Open a reselling business e-commerce store if you don’t already have one.

Now to know how to become a reseller.

You are sure to find plenty of amazing used products to resell at garage sales and the variety of other places we’ve named above. Never forget one person’s trash is another person’s treasure.

What kind of items would you like to resell?

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How To Start Reseller Business [PLAN]

by Olaoluwa
March 26, 2023 August 28, 2024

RESELLER BUSINESS STARTUP GUIDE

Though a viable option for many, a reseller business isn’t a stroll in the park.

In other words, a significant amount of work must be done to get the expected outcomes, especially in the planning and execution phases. Now, not everyone knows how to go about writing a comprehensive plan.

For many, such a procedure can be overwhelming, so this reseller Business Plan has been made available.

This is written in response to persons seeking guidance on how to write their own unique and comprehensive reseller business plans.

If you face such problems, this article should prove very helpful.

The Sections to Cover

Proper plan structuring is of utmost importance as it sets the tone for how things develop. Each section covers a specific aspect of the plan considered key to its full and proper implementation.

Also, your audience will need to find specific details that help showcase the viability of the business.

These sections include the executive summary, company description, and products & services sections.

Others are the market analysis, strategy & implementation, organization & management team, and the financial plan & projection.

Besides mentioning these critical sections of a good reseller business plan, it’s also essential to fully understand how each needs to be developed or the information to be presented.

For more clarity, we’ll get into details on each of these points as follows;

i. Executive Summary

The executive summary section is often considered the mini-plan because it gives an overview of what’s contained in the reseller business plan.

It’s a condensed version of the plan about 2 to 5 pages long and touches on each of the abovementioned sections.

It’s concise and presents an optimistic view of your reseller business. More important is the need to capture or hold the reader’s attention to make them want to learn by digging in further.

To achieve this effect, it’s necessary to give it your best shot by ensuring it’s well put together.

Areas covered in the summary include the business name and location, the services and products, mission and vision statements, and the specific purpose of the plan.

This helps reveals a lot about your reseller business.

Anyone going through the plan will want to first learn about the name. Stating its identity serves as the first step toward introducing the business.

Also critical is the need to state where your reseller business will be.

Next, provide information on the services and products to be offered. A brief explanation of these and the scope they cover should be enough.

It’s necessary to avoid getting into long, drawn-out details as you’re still within the summary. There’s a section for all of that.

Your mission statement should be a single statement that describes your business’ fundamental purpose.

This is given by stating why it exists. It should also include a hint of the solutions your reseller business plans on implementing to attain its goal.

The vision statement should state your reseller business’s current and future objectives. It’s an aspirational statement that helps articulate the goals to be achieved.

This should inspire your workforce to create a shared purpose for its attainment.

ii. Company Description

As the name implies, the company description section of your reseller business plan should focus on explaining your operations and how you intend to achieve your goals.

Areas to be touched on here include the business’s legal structure and the summary of your short and long-term goals.

How do you intend to make a profit with your reseller business? Please provide a brief history of the business as well as its nature. Also, state the needs or demands you plan on supplying through your services.

A summary of business growth with accompanying financial or market highlights will be a great addition.

iii. Products & Services

Products and services on offer are crucial and must be added to the plan.

For more comprehension, you’ll need to cover details such as products and/or service costs, suppliers, net revenue expected from product or service sales, and what benefits these offer to the customer.

Products and services still in the research and development phases need to be stated. Identify the market role of your service or product and its advantages over your competitors.

iv. Market Analysis

Your industry knowledge is tested or assessed by what you include in this section.

To have a real shot at success, you’ll need to conduct thorough market research with findings touching on crucial areas like evaluating your competitor’s weaknesses and strengths and a sketch of target customer segments.

Such sketches should be presented alongside details like size and demographics.

Further additions to the market analysis section are historical, current, and projected marketing data for services and products and an industry outlook with supporting statistics.

v. Strategy & Implementation

What are your sales and marketing strategies?

Showing how these will be implemented is also crucial to your success. Here, you’ll need to provide information on pricing, costs, promotions, and distributions.

Explain how you plan on promoting your reseller business to customers and how you’ll enter the market.

How will your business function? Will there be a need for a workforce? If so, what are your labor sources, and how will the business hire many employees?

vi. Organization & Management Team

Your reseller business’s organization and management team are central to its success.

Here, provide an organizational chart showing departments and key employees. Also, give details on the owners such as names, percentage ownership, the extent of involvement, and biography.

The management team will need details like their names, positions, primary responsibilities, and prior experience.

vii. Financial Plan & Projection

Your financial plan is essential and should be developed with the assistance of a professional accountant.

Areas covered here include historical financial data, practical prospective financial information, and a brief analysis of financial data.

Using this reseller Business Plan increases your chances of success regarding proper plan development.

9 Business Plan Examples to Inspire Your Own (2024)

Need support creating your business plan? Check out these business plan examples for inspiration and guidance.

a stock of books on purple background representing business plan examples

Any aspiring entrepreneur researching how to start a business will likely be advised to write a business plan. But few resources provide business plan examples to really guide you through writing one of your own.

Here are some real-world and illustrative business plan examples to help you craft your business plan .

Business plan format: 9 examples

The business plan examples in this article follow this template:

Executive summary
Company description
Market analysis
Products and services
Marketing plan
Logistics and operations plan
Financial plan
Customer segmentation

1. Executive summary

Your executive summary is a page that gives a high-level overview of the rest of your business plan. While it appears at the beginning, it’s easiest to write this section last, as there are details further in the report you’ll need to include here.

In this free business plan template , the executive summary is four paragraphs and takes a little over half a page. It clearly and efficiently communicates what the business does and what it plans to do, including its business model and target customers.

Executive summary for Paw Print Post detailing the business model and target customers.

2. Company description

You might repurpose your company description elsewhere, like on your About page , social media profile pages, or other properties that require a boilerplate description of your small business.

Soap brand ORRIS has a blurb on its About page that could easily be repurposed for the company description section of its business plan.

ORRIS homepage promoting cleaner ingredients for skincare with a detailed description.

You can also go more in-depth with your company overview and include the following sections, like in this business plan example for Paw Print Post:

Business structure

This section outlines how you registered your business —as an LLC , sole proprietorship, corporation, or other business type : “Paw Print Post will operate as a sole proprietorship run by the owner, Jane Matthews.”

Nature of the business

“Paw Print Post sells unique, one-of-a-kind digitally printed cards that are customized with a pet’s unique paw prints.”

“Paw Print Post operates primarily in the pet industry and sells goods that could also be categorized as part of the greeting card industry.”

Background information

“Jane Matthews, the founder of Paw Print Post, has a long history in the pet industry and working with animals, and was recently trained as a graphic designer. She’s combining those two loves to capture a niche in the market: unique greeting cards customized with a pet’s paw prints, without needing to resort to the traditional (and messy) options of casting your pet’s prints in plaster or using pet-safe ink to have them stamp their ’signature.’”

Business objectives

“Jane will have Paw Print Post ready to launch at the Big Important Pet Expo in Toronto to get the word out among industry players and consumers alike. After two years in business, Jane aims to drive $150,000 in annual revenue from the sale of Paw Print Post’s signature greeting cards and to have expanded into two new product categories.”

“Jane Matthews is the sole full-time employee of Paw Print Post but hires contractors as needed to support her workflow and fill gaps in her skill set. Notably, Paw Print Post has a standing contract for five hours a week of virtual assistant support with Virtual Assistants Pro.”

Your mission statement may also make an appearance here. Passionfruit shares its mission statement on its company website, and it would also work well in its example business plan.

Passionfruit About page with a person in a "Forever Queer" t-shirt.

3. Market analysis

The market analysis consists of research about supply and demand , your target demographics, industry trends, and the competitive landscape. You might run a SWOT analysis and include that in your business plan.

Here’s an example SWOT analysis for an online tailored-shirt business:

SWOT analysis chart with strengths, weaknesses, opportunities, and threats.

You’ll also want to do a competitive analysis as part of the market research component of your business plan. This will tell you which businesses you’re up against and give you ideas on how to differentiate your brand. A broad competitive analysis might include:

Target customers
Unique value proposition , or what sets the products apart
Sales pitch
Price points for products
Shipping policy

4. Products and services

This section of your business plan describes your offerings—which products and services do you sell to your customers? Here’s an example for Paw Print Post that explains its line of custom greeting cards, along with details on what makes its products unique.

Products and services section of Paw Print Post showing customized greeting cards with paw prints.

5. Marketing plan

It’s always a good idea to develop a marketing plan before you launch your business. Your marketing plan shows how you’ll get the word out about your business, and it’s an essential component of your business plan as well.

Business plan sample showing marketing plan for Paw Print Post.

The Paw Print Post focuses on four Ps: price, product, promotion, and place. However, you can take a different approach with your marketing plan. Maybe you can pull from your existing marketing strategy , or maybe you break it down by the different marketing channels. Whatever approach you take, your marketing plan should describe how you intend to promote your business and offerings to potential customers.

6. Logistics and operations plan

The Paw Print Post example considered suppliers, production, facilities, equipment, shipping and fulfillment, and inventory. This includes any raw materials needed to produce the products.

Business plan example with a logistics and operations plan for Paw Print Post.

7. Financial plan

The financial plan provides a breakdown of sales, revenue, profit, expenses, and other relevant financial metrics related to funding and profiting from your business.

Ecommerce brand Nature’s Candy’s financial plan breaks down predicted revenue, expenses, and net profit in graphs.

Bar chart illustrating monthly expenses and direct costs for a business from January to December.

It then dives deeper into the financials to include:

Funding needs
Projected profit-and-loss statement
Projected balance sheet
Projected cash-flow statement

You can use a financial plan spreadsheet to build your own financial statements, including income statement, balance sheet, and cash-flow statement.

Income statement template created by Shopify with sales, cost of sales, gross margin, and expenses.

8. Customer segmentation

Customer segmentation means dividing your target market into groups based on specific characteristics. These characteristics can be demographics, psychographics, behavior, or geography. Your business plan will provide detailed information on each segment, like its size and growth potential, so you can show why they are valuable to your business.

Airsign , an eco-friendly vacuum cleaner company, faced the challenge of building a sustainable business model in the competitive home appliance market. They identified three key customer personas to target:

Design-oriented urban dwellers
Millennials moving to suburbs
Older consumers seeking high-quality appliances

The company utilized Shopify’s customer segmentation tools to gain insights and take action to target them. Airsign created targeted segments for specific marketing initiatives.

Put your customer data to work with Shopify’s customer segmentation

Shopify’s built-in segmentation tools help you discover insights about your customers, build segments as targeted as your marketing plans with filters based on your customers’ demographic and behavioral data, and drive sales with timely and personalized emails.

9. Appendix

The appendix provides in-depth data, research, or documentation that supports the claims and projections made in the main business plan. It includes things like market research, finance, résumés, product specs, and legal documents.

Readers can access detailed info in the appendix, but the main plan stays focused and easy to read. Here’s an example from a fictional clothing brand called Bloom:

Appendix: Bloom Business Plan

Types of business plans, and what to include for each

This lean business plan is meant to be high level and easy to understand at a glance. You’ll want to include all of the same sections in one-page business plan, but make sure they’re truncated and summarized:

Executive summary: truncated
Market analysis: summarized
Products and services: summarized
Marketing plan: summarized
Logistics and operations plan: summarized
Financials: summarized

A startup business plan is for a new business. Typically, these plans are developed and shared to secure funding . As such, there’s a bigger focus on the financials, as well as on other sections that determine viability of your business idea—market research, for example:

Market analysis: in-depth
Financials: in-depth

Your internal business plan is meant to keep your team on the same page and aligned toward the same goal:

A strategic, or growth, business plan is a big-picture, long-term look at your business. As such, the forecasts tend to look further into the future, and growth and revenue goals may be higher. Essentially, you want to use all the sections you would in a normal business plan and build upon each:

Market analysis: comprehensive outlook
Products and services: for launch and expansion
Marketing plan: comprehensive outlook
Logistics and operations plan: comprehensive outlook
Financials: comprehensive outlook

Feasibility

Your feasibility business plan is sort of a pre-business plan—many refer to it as simply a feasibility study. This plan essentially lays the groundwork and validates that it’s worth the effort to make a full business plan for your idea. As such, it’s mostly centered around research:

Nonprofit business plans are used to attract donors, grants, and partnerships. They focus on what their mission is, how they measure success, and how they get funded. You’ll want to include the following sections in addition to a traditional business plan:

Organization description
Need statement
Programs and services
Fundraising plan
Partnerships and collaborations
Impact measurement

Set yourself up for success as a business owner

Building a good business plan serves as a roadmap you can use for your ecommerce business at launch and as you reach each of your business goals. Business plans create accountability for entrepreneurs and synergy among teams, regardless of your business model .

Kickstart your ecommerce business and set yourself up for success with an intentional business planning process—and with the sample business plans above to guide your own path.

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Business plan examples FAQ

How do i write a simple business plan.

To write a simple business plan, begin with an executive summary that outlines your business and your plans. Follow this with sections detailing your company description, market analysis, organization and management structure, product or service, marketing and sales strategy, and financial projections. Each section should be concise and clearly illustrate your strategies and goals.

What is the best format to write a business plan?

The best business plan format presents your plan in a clear, organized manner, making it easier for potential investors to understand your business model and goals. Always begin with the executive summary and end with financial information or appendices for any additional data.

What are the 4 key elements of a business plan?

Executive summary: A concise overview of the company’s mission, goals, target audience, and financial objectives.
Business description: A description of the company’s purpose, operations, products and services, target markets, and competitive landscape.
Market analysis: An analysis of the industry, market trends, potential customers, and competitors.
Financial plan: A detailed description of the company’s financial forecasts and strategies.

What are the 3 main points of a business plan?

Concept: Your concept should explain the purpose of your business and provide an overall summary of what you intend to accomplish.
Contents: Your content should include details about the products and services you provide, your target market, and your competition.
Cash flow: Your cash flow section should include information about your expected cash inflows and outflows, such as capital investments, operating costs, and revenue projections.

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Computer Hardware Reseller Business Plan

Executive Summary

By focusing on its strengths, its key customers, and the underlying values they need, American Management Technology will increase sales to more than $9 million in three years, while improving the gross margin on sales and cash management and working capital.

This business plan leads the way. It renews our vision and strategic focus: adding value to our target market segments, the small business and high-end home office users, in our local market. It also provides the step-by-step plan for improving our sales, gross margin, and profitability. In order to implement these changes and improve profitability, we plan to borrow another $100,000 long-term this year. The amount seems in-line with the balance sheet capabilities.

AMT is built on the assumption that the management of information technology for business is like legal advice, accounting, graphic arts, and other bodies of knowledge, in that it is not inherently a do-it-yourself prospect. Smart business people who aren’t computer hobbyists need to find quality vendors of reliable hardware, software, service, and support. They need to use these quality vendors as they use their other professional service suppliers, as trusted allies. AMT seeks to fulfill these needs and become the leader in business information technology for its region.

AMT provides both computer products and services to make them useful to small businesses. We are especially focused on providing network systems and services to small and medium business. The systems include both PC-based LAN systems and minicomputer server-based systems. Our services include design and installation of network systems, training, and support.

In order to accomplish our objectives, our keys to success over the next three years are:

Differentiate from box-pushing, price-oriented businesses by offering and delivering service and support–and charging for it.
Increase gross margin to more than 30%.
Increase our non-hardware sales to 20% of the total sales by the third year.

AMT was founded as a consulting-oriented value added reseller (VAR), became a reseller to fill the market need for personal computers, and is emphasizing service and support to differentiate itself from price-oriented competitors. We have one location–a 7,000 square foot store in a suburban shopping center located conveniently close to the downtown area. It includes a training area, service department, offices, and showroom area.

AMT is a privately-held C corporation owned in majority by its founder and president, Ralph Jones. There are six part owners, including four investors and two past employees. The firm includes 21 employees, under the president and four managers. Our main management divisions are sales, marketing, service, and administration. The service department handles service requests, support, training, and development. At present, we are weakest in the area of technical capabilities to manage the database marketing programs and upgraded service and support, particularly with cross-platform networks. We also need to find a training manager.

Recent changes in the computer reseller market have adversely affected AMT. These include margin squeezes, longer collection periods, and lower inventory turnovers. All of these concerns are part of the general trend affecting computer resellers. The margin squeeze is happening throughout the computer industry worldwide.

The only way we can hope to differentiate well is to define the vision of the company to be an information technology ally to our clients. We will not be able to compete in any effective way with the chains using boxes or products as appliances. We need to offer a real alliance that includes such intangibles as confidence, reliability, and knowing that somebody will be there to answer questions and help at the important times.

Our support services, with which we hope to capture market share will include such services as; training, upgrade offers, installation services, network configuration services, etc. The company will seek to aggressively pursue new opportunities. AMT focuses on local markets, small business and home office, with special focus on the high-end home office and the 5-20 unit small business office. The last study we saw published has retail sales growing at 5% per year, while Web sales and direct sales are growing at 25% or 30%.

There are several different kinds of computer retailers within the industry including:

Computer dealers: often focused on a few main brands of hardware, usually offering only a minimum of software, and variable amounts of service and support. Their service and support is not usually very good and their prices are usually higher than the larger stores.
Chain stores and computer superstores: usually offer decent walk-in service, with very aggressive pricing, and little support.
Mail order: offer aggressive pricing of boxed product. For the purely price-driven buyer, who buys boxes and expects no service, these are very good options.

None of these direct competitors provides the customization and service that small businesses such as our clients truly need.

Small business buyers are accustomed to buying from vendors who visit their offices. They expect the copy machine vendors, office products vendors, and office furniture vendors, as well as the local graphic artists, freelance writers, or whomever, to visit their office to make their sales. Many small companies turn immediately to the superstores (office equipment, office supplies, and electronics) and mail order to look for the best price, without realizing that there is a better option for them at only a little bit more.

We need to effectively compete against the idea that businesses should buy computers as plug-in appliances that don’t need ongoing service, support, and training. Our focus group sessions indicated that our target home office markets think about price but would buy based on quality service if the offering were properly presented. They think about price because that’s all they ever see. We have very good indications that many would rather pay 10-20% more for a relationship with a long-term vendor providing back-up and quality service and support; they end up in the box-pusher channels because they aren’t aware of the alternatives.

We currently depend on newspaper advertising as our main way to reach new buyers. As we change strategies, however, we need to change the way we promote ourselves. We will be refocusing on our core message of service through radio, cable TV, sales brochures, direct mailers and newspapers. We need to sell the company, not the product. We sell AMT, not Apple, IBM, Hewlett-Packard, or Compaq, or any of our software brand names.

1.1 Objectives

Sales increasing to more than $9 million by the third year.
Bring gross margin back up to above 30%, and maintain that level.
Sell $1.5 million of service, support, and training by 1998.
Improve inventory turnover to 6 turns by 1998.

1.2 Keys to Success

Differentiate from box-pushing, price-oriented businesses by offering and delivering service and support — and charging for it.

1.3 Mission

AMT is such a vendor. It serves its clients as a trusted ally, providing them with the loyalty of a business partner and the economics of an outside vendor. We make sure that our clients have what they need to run their businesses as well as possible, with maximum efficiency and reliability. Many of our information applications are mission critical, so we give our clients the assurance that we will be there when they need us.

Company Summary

AMT is a computer reseller based in the Uptown area. It was founded as a consulting-oriented VAR, became a reseller to fill the market need for personal computers, and is emphasizing service and support to differentiate itself from more price oriented national chains.

2.1 Company History

AMT has been caught in the vise grip of margin squeezes that have affected computer resellers worldwide. Although the chart titled Past Financial Performance shows that we have had healthy growth in sales, it also shows declining gross margin and declining profits.

The more detailed numbers in the Past Performance table include other indicators of some concern:

The gross margin % has been declining steadily, as we see in the chart.

Both collection days and inventory turnover are getting steadily worse.

All of these concerns are part of the general trend affecting computer resellers. The margin squeeze is happening throughout the computer industry worldwide.

2.2 Company Ownership

AMT is a privately-held C corporation owned in majority by its founder and president, Ralph Jones. There are six part owners, including four investors and two past employees. The largest of these (in percent of ownership) are Frank Dudley, our attorney, and Paul Karots, our public relations consultant. Neither owns more than 15%, but both are active participants in management decisions.

2.3 Company Locations and Facilities

We have one location–a 7,000 square foot store in a suburban shopping center located conveniently close to the downtown area. It includes a training area, service department, offices, and showroom area.

Products and Services

AMT provides both computer products and services to make them useful to small business. We are especially focused on providing network systems and services to small and medium business. The systems include both PC-based LAN systems and minicomputer server-based systems. Our services include design and installation of network systems, training, and support.

3.1 Product and Service Description

In personal computers, we support three main lines:

The Super Home is our smallest and least expensive line, initially positioned by its manufacturer as a home computer. We use it mainly as a cheap workstation for small business installations. Its specifications include …[additional specifics omitted]
The Power User is our main up-scale line. It is our most important system for high-end home and small business main workstations, because of …. Its key strengths are …. Its specifications include ….[additional specifics omitted]
The Business Special is an intermediate system, used to fill the gap in the positioning. Its specifications include … [additional specifics omitted]

In peripherals, accessories and other hardware, we carry a complete line of necessary items from cables to forms to mousepads … [additional specifics omitted] In service and support, we offer a range of walk-in or depot service, maintenance contracts and on-site guarantees. We have not had much success selling service contracts. Our networking capabilities …[additional specifics omitted] In software and training, we offer … [additional specifics omitted]

3.2 Competitive Comparison

The benefits we sell include many intangibles: confidence, reliability, knowing that somebody will be there to answer questions and help at the important times. These are complex products, products that require serious knowledge and experience to use, and our competitors sell only the products themselves. Unfortunately, we cannot sell the products at a higher price just because we offer services; the market has shown that it will not support that concept. We have to also sell the service and charge for it separately.

3.3 Sales Literature

Copies of our brochure and advertisements are attached as appendices. Of course, one of our first tasks will be to change the message of our literature to make sure we are selling the company, rather than the product.

3.4 Fulfillment

Our costs are part of the margin squeeze. As competition on price increases, the squeeze between manufacturers’ price into channels and end-users’ ultimate buying price continues.

With the hardware lines, our margins are declining steadily. We generally buy at … Our margins are thus being squeezed from the 25% of five years ago to more like 13-15% at present. In the main-line peripherals a similar trend shows, with prices for printers and monitors declining steadily. We are also starting to see that same trend with software ….

In order to hold costs down as much as possible, we concentrate our purchasing with Hauser, which offers 30-day net terms and overnight shipping from the warehouse in Dayton. We need to concentrate on making sure our volume gives us negotiating strength. In accessories and add-ons we can still get decent margins, 25% to 40%.

3.5 Technology

We have for years supported both Windows and Macintosh technology for CPUs, although we’ve switched vendors many times for the Windows (and previously DOS) lines. We are also supporting Novell, Banyon, and Microsoft networking, Xbase database software, and Claris application products.

3.6 Future Products and Services

We must remain on top of the new technologies, because this is our bread and butter. For networking, we need to provide better knowledge of cross platform technologies. Also, we are under pressure to improve our understanding of direct-connect internet and related communications. Finally, although we have a good command of desktop publishing, we are concerned about getting better at the integration of technologies that creates fax, copier, printer, and voice mail as part of the computer system.

3.7 Service and Support

Our strategy hinges on providing excellent service and support. This is critical. We need to differentiate on service and support, and to therefore deliver as well.
Training: details would be essential in a real business plan, but not in this sample plan.
Upgrade offers: details would be essential in a real business plan, but not in this sample plan.
Our own internal training: details would be essential in a real business plan, but not in this sample plan.
Installation services: details would be essential in a real business plan, but not in this sample plan.
Custom software services: details would be essential in a real business plan, but not in this sample plan.
Network configuration services: details would be essential in a real business plan, but not in this sample plan.

Market Analysis Summary

AMT focuses on local markets, small business and home office, with special focus on the high-end home office and the 5-20 unit small business office.

4.1 Market Segmentation

The segmentation allows some room for estimates and nonspecific definitions. We focus on a small-medium level of small business, and it is hard to find information to make an exact classification. Our target companies are large enough to need the high-quality information technology management we offer, but too small to have a separate computer management staff such as an MIS department. We say that our target market has 10-50 employees, and needs 5-20 workstations tied together in a local area network; the definition is flexible.

Defining the high-end home office is even more difficult. We generally know the characteristics of our target market, but we can’t find easy classifications that fit into available demographics. The high-end home office business is a business, not a hobby. It generates enough money to merit the owner’s paying real attention to the quality of information technology management, meaning that there is both budget and concerns that warrant working with our level of quality service and support. We can assume that we aren’t talking about home offices used only part-time by people who work elsewhere during the day, and that our target market home office wants to have powerful technology and a lot of links between computing, telecommunications, and video.

4.2 Service Business Analysis

We are part of the computer reselling business, which includes several kinds of businesses:

Computer dealers: storefront computer resellers, usually less than 5,000 square feet, often focused on a few main brands of hardware, usually offering only a minimum of software, and variable amounts of service and support. These are usually old-fashioned (1980s-style) computer stores and they usually offer relatively few reasons for buyers to shop with them. Their service and support is not usually very good and their prices are usually higher than the larger stores.
Chain stores and computer superstores: these include major chains such as CompUSA, Computer City, Future Shop, etc. They are almost always more than 10,000 square feet of space, usually offer decent walk-in service, and are often warehouse-like locations where people go to find products in boxes with very aggressive pricing, and little support.
Mail order: the market is served increasingly by mail order businesses that offer aggressive pricing of boxed product. For the purely price-driven buyer, who buys boxes and expects no service, these are very good options.
Others: there are many other channels through which people buy their computers, usually variations of the main three types above.

4.2.1 Competition and Buying Patterns

The small business buyers understand the concept of service and support, and are much more likely to pay for it when the offering is clearly stated.

There is no doubt that we compete much more against all the box pushers than against other service providers. We need to effectively compete against the idea that businesses should buy computers as plug-in appliances that don’t need ongoing service, support, and training.

Our focus group sessions indicated that our target Home Offices think about price but would buy based on quality service if the offering were properly presented. They think about price because that’s all they ever see. We have very good indications that many would rather pay 10-20% more for a relationship with a long-term vendor providing back-up and quality service and support; they end up in the box-pusher channels because they aren’t aware of the alternatives. Availability is also very important. The Home Office buyers tend to want immediate, local solutions to problems.

4.2.2 Main Competitors

Chain stores: We have Store 1 and Store 2 already within the valley, and Store 3 is expected by the end of next year. If our strategy works, we will have differentiated ourselves sufficiently to not have to compete against these stores. Strengths: national image, high volume, aggressive pricing, economies of scale. Weaknesses: lack of product, service and support knowledge, lack of personal attention. Other local computer stores: Store 4 and Store 5 are both in the downtown area. They are both competing against the chains in an attempt to match prices. When asked, the owners will complain that margins are squeezed by the chains and customers buy on price only. They say they tried offering services and that buyers didn’t care, instead preferring lower prices. We think the problem is also that they didn’t really offer good service, and also that they didn’t differentiate from the chains.

4.2.3 Business Participants

The national chains are a growing presence. CompUSA, Computer City, Incredible Universe, Babbages, Egghead, and others. They benefit from national advertising, economies of scale, volume buying, and a general trend toward name-brand loyalty for buying in the channels as well as for products.

Local computer stores are threatened. These tend to be small businesses, owned by people who started them because they liked computers. They are under-capitalized and under-managed. Margins are squeezed as they compete against the chains, in a competition based on price more than on service and support.

4.2.4 Distributing a Service

Small Business buyers are accustomed to buying from vendors who visit their offices. They expect the copy machine vendors, office products vendors, and office furniture vendors, as well as the local graphic artists, freelance writers, or whomever, to visit their office to make their sales.

There is usually a lot of leakage in ad-hoc purchasing through local chain stores and mail order. Often the administrators try to discourage this, but are only partially successful. Unfortunately our Home Office target buyers may not expect to buy from us. Many of them turn immediately to the superstores (office equipment, office supplies, and electronics) and mail order to look for the best price, without realizing that there is a better option for them at only a little bit more.

4.3 Target Market Segment Strategy

4.3.1 market needs.

Since our target market is the service seeker, the most important market needs are support, service, training, and installation, in that order. One of the key points of our strategy is the focus on target segments that know and understand these needs and are willing to pay to have them filled.

All personal computer users need support and service. The self reliant ones, however, supply those needs themselves. In home offices, these are the knowledgeable computer users who like to do it themselves. Among the businesses, these are businesses that have people on staff.

4.3.2 Market Trends

The most obvious and important trend in the market is declining prices. This has been true for years, but the trend seems to be accelerating. We see the major brand-name manufacturers putting systems together with amazing specs–more power, more speed, more memory, more disk storage–at amazing prices. The major chain shops are selling brand-name powerful computers for less than $1,000.

This may be related to a second trend, which is the computer as throw-away appliance. By the time a system needs upgrading, it is cheaper to buy completely new. The increasing power and storage of a sub-$1000 system means buyers are asking for less service. A third trend is ever greater connectivity. Everybody wants onto the internet, and every small office wants a LAN. A lot of small offices want their LAN connected to the internet.

4.3.3 Market Growth

As prices fall, unit sales increase. The published market research on sales of personal computers is astounding, as the United States market alone is absorbing more than 30 million units per year, and sales are growing at more than 20 percent per year. We could quote Dataquest, Infocorp, IDC, or others; it doesn’t matter, they all agree on high growth of CPU sales.

Where growth is not as obvious is the retail market. A report in CRW says Dell is now selling $5 million monthly over the web, and we assume Gateway and Micron are both close to that. Direct mail has given way to the web, but catalogs are still powerful, and the non-retail sale is more accepted every day. The last study we saw published has retail sales growing at 5% per year, while web sales and direct sales are growing at 25% or 30%.

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Rostov Oblast, Russia

The capital city of Rostov oblast: Rostov-on-Don .

Rostov Oblast - Overview

Rostov Oblast is a federal subject of Russia located in the south of the European part of the country, part of the Southern Federal District. Rostov-on-Don is the capital city of the region.

The population of Rostov Oblast is about 4,154,000 (2022), the area - 100,967 sq. km.

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Rostov oblast latest news and posts from our blog:.

4 December, 2017 / Stadiums and Matches of the World Cup 2018 in Russia .

2 July, 2017 / Rostov-on-Don - the view from above .

13 March, 2016 / Official Look of Host Cities of World Cup 2018 in Russia .

1 February, 2014 / Snow apocalypse in Rostov region .

12 January, 2011 / The most beautiful staircase of Rostov-on-Don city .

History of Rostov Oblast

In ancient times, the territory around the Don River was part of the region called Scythia (the Greeks), Stsitiya or Tanais named after the Tanais River, the present Don River (the Romans), Sarmatia (the Roman historians of the 1st century). In Russian chronicles of the 14th and 15th centuries, this land was called “Field” or “Wild Field”. Since the second half of the 16th century, the Moscow tsars, starting with Ivan the Terrible, already called all Cossack land simply “Don”.

The ancient people settled in the lands along the Don River since the Stone Age. In the 8th-7th centuries B.C., the Scythians began to settle in the steppes to the north of the Black Sea, between the Don and the Danube. Settlements on the territory of the present Rostov region were first mentioned by Herodotus. A lot of archaeological finds were found in numerous Scythian burial mounds: iron swords, daggers, special items of horse decoration, golden and silver items.

In the 6th-5th centuries B.C., the Greeks began colonization of coastal areas of the Black Sea. In 480 B.C., their largest towns (Olvia, Tira, Hersonissos) united in the kingdom of Bosporus with the capital in Panticapaeum (present Kerch). It was engaged in active trade with the Mediterranean towns.

After long and turbulent history with periods of prosperity and decline, the Greek towns fell under the blows of nomadic peoples migrating through the Don steppes from East to West. For several centuries, this flourishing region turned into a wasteland.

More Historical Facts…

In the 4th century, the Avars settled on the Don land. After them the Khazars came here, who founded their settlements and built a fortress called Sarkel. Constantly raiding the southern lands of Kievan Rus, they were a serious threat to the Old Russian state.

Later, the Pechenegs came here and the Polovtsian tribes after them. The Polovtsi captured the steppe areas of the Don, Kuban, the Azov Sea and ravaged the outskirts of Kievan Rus for decades reaching Pereyaslavl, Chernihiv and even Kiev.

In the early 13th century, the first wave of the Mongol invasion reached the Russian land. In 1223, the combined forces of the Russian princes and the Polovtsi clashed with the Mongols in the Battle of the Kalka River (the tributary of the Kalmius, which flows into the Azov Sea to the north of the Don). Due to poor coordination Russian and Polovtsian troops suffered a complete defeat.

It was the beginning of the period of Russian history known as the Mongol yoke, which lasted until 1480. In the 1470s, the Azov steppes were occupied by the Turks of the Ottoman Empire and became a constant threat on the south-eastern borders of Russia.

In the mid-16th century, runaway serfs began to settle in the area of the Don River. Later, they became known as the Don Cossacks. In 1560, the Cossack town of Cherkassk was founded. Gradually, from the late 16th - early 17th centuries, the Cossacks began to cooperate with the Russian military, economic and political systems.

In the 18th century, the land of the Don Cossacks became part of the Russian Empire and lost its autonomy. The Cossacks actively opposed this fact, which led to the peasant wars and uprisings headed by Stepan Razin, Kondrat Bulavin, Emelyan Pugachev. The Cossacks were included in the Russian army as irregular troops. They had special rights and privileges. The Cossacks were good soldiers and participated in all military campaigns conducted by the Russian Empire.

By the end of the 18th century, about 225 thousand people lived in the Don region, half a century later - 775 thousand. By the middle of the 19th century, two centers formed on the Don: Novocherkassk (military and administrative center) and Rostov-on-Don (industrial and commercial center). In 1859, the population of the region was about 900 thousand.

During the Russian Civil War, this region was one of the centers of the White movement and became the scene of bloody battles. The final blow to the Don Cossacks, who survived in the Soviet Union after the Civil War, was decossackization, dispossession and famine of 1932-1933. Rostov Oblast was established in 1937.

The shooting of a peaceful demonstration in Novocherkassk became the blackest page in the history of the 1960s. On June 2, 1962, employees of the local electric locomotive plant with their families came to the rally with demands for higher wages. In response, the troops were deployed in the city. When people tried to break through to the building of the city executive committee, the troops opened fire. According to official figures, 26 people were killed and 87 wounded.

Pictures of Rostov Oblast

Rostov Oblast - the land of the Cossacks

Author: Igor Tartanov

Paved road in the Rostov region

Author: Eugeny Gromenko

Rostov Oblast landscape

Author: Poluyan Sergey

Rostov Oblast - Features

Rostov Oblast is located in the southern part of the East European Plain and partly in the North Caucasus region, occupying a vast area in the river basin of the Lower Don. The region stretches for 470 km from north to south and 455 km from west to east.

The climate is temperate continental. The average temperature in January is minus 3 degrees Celsius, in July - plus 23.4 degrees Celsius. The nature of the region is diverse. Steppes, forests, the Don River, the coast of the Azov Sea are inhabited by more than 100 species of animals and fish.

Rostov Oblast lies mainly in the steppe zone with semi-deserts in the south-east. About 6% of the territory is covered by forests and bushes, most part of the region is occupied by farms engaged in agriculture on the fertile black soil. The largest cities are Rostov-on-Don (1,135,000), Taganrog (245,600), Shahty (226,300), Volgodonsk (168,200), Novocherkassk (163,700), Bataisk (126,800), Novoshahtinsk (103,400).

Rostov Oblast is rich in various mineral resources. The most important among them are fuel resources. Coal deposits of eastern Donbass are well-known. About 90% of coal is anthracite, which has the highest calorific content of all types of coal except for graphite. There are deposits of natural gas and oil, phosphorites.

Development of the region’s economy is based on such factors as favorable economic and geographical position (connecting the center of Russia with the North Caucasus and Transcaucasia), the availability of natural resources, high availability of labor resources, well-developed transport infrastructure.

Rostov Oblast is one of the leading regions of Russia in the level of development and variety of industries. The region’s economy is based on agricultural industry, food-processing industry, heavy and agricultural machinery, coal mining, automotive industry. Rostov Nuclear Power Plant is located about 12 km from the city of Volgodonsk.

The main treasure of the region is its fertile black soil occupying almost 65% of the territory, the fertile layer can be up to 1.5 meters. Rostov Oblast is the second largest producer of agricultural products in Russia (wheat, maize, rice, millet, buckwheat, soybeans, vegetables, fruits, and berries).

Sunflower is the main industrial crop. This region produces more than 20% of all sunflower seeds in Russia. Milk producing, cattle-breeding, sheep-breeding, horse-breeding and poultry farming are the most developed.

The federal highways E115 - M4 “Moscow - Novorossiysk”, E50 - M19, E58 - M23 “Kishinev - Rostov”, E40 - M21 “Volgograd - Kishinev” pass through the territory of the Rostov region. The railway routes to the south of Russia pass through the province - to Krasnodar krai (the Azov and Black Seas) and Ukraine. The main waterways are the Don and Seversky Donets. Taganrog, Azov and Rostov-on-Don are large sea ports.

Tourism in Rostov Oblast

Rostov Oblast attracts tourists by its rich history, charming nature, unique Cossack culture. The Don River, one of the largest rivers in Europe, with its branches and tributaries; Taganrog Bay of the Azov Sea; Tsimlyansk reservoir; Don and Azov steppes create a memorable image of the Rostov region.

In total, there are more than 8,000 objects of archaeological heritage of federal importance in this region. The cities of Rostov-on-Don, Taganrog, Azov, Novocherkassk are the main tourist centers.

Unique collections of Scythian gold are exhibited in regional museums as well as excellent ethnographic collections representing variety of national cultures of the Don region, items of everyday life of the Cossacks, pictures made by famous painters of the 18th-20th centuries.

The history of the region is closely linked to the famous Don Cossacks of the 16th-18th centuries (Yermak Timofeyevich, Stepan Razin, Kondraty Bulavin, Yemelyan Pugachev, Matvey Platov), as well as Emperors Peter I and Alexander I. Anton Chekhov, one of the greatest writers of short fiction in history, was born here. The Don River area is described in the works of Alexander Pushkin and Mikhail Sholokhov.

Numerous Orthodox churches and monasteries are visited by thousands of pilgrims every year. The climatic conditions of Taganrog Bay create favorable conditions for the development of sanatorium and resort industry.

The main places of interest located outside Rostov-on-Don and Taganrog include:

Azov Historical-Archaeological and Paleontological Museum-Reserve,
Azov Museum of Local Lore,
Gunpowder Cellar in Azov,
Archaeological Museum-Reserve Tanais with the excavation of an ancient town and necropolis,
Aksai Museum of Military History,
Museum of the History of the Don Cossacks and the monument to Yermak in Novocherkassk,
State Natural Reserve “Rostovsky”,
Manych-Gudilo - the largest lake in the Rostov region.

Rostov oblast of Russia photos

Rostov Oblast scenery

Stud farm named after Kirov in Rostov Oblast

Author: Alena Amplieva

Traveling on the roads of the Rostov region

Author: Nikolay Sevastyanov

Churches in Rostov Oblast

Church of the Don Icon of Mother of God in Novoshakhtinsk

Church in Rostov Oblast

Author: Vlad Rost

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Learn How To Become a Reseller And Start Selling Right ...
What is reselling? Unfolding the reseller business model
A reseller buys goods from one party and sells them to another. In essence, resellers are intermediaries that get goods from one place to another and take a cut of the action along the way. Reselling is a great way to start your own eCommerce business. You don't need a novel idea, produce goods, or even have a load of starting capital to get ...
How to Start a Reselling Business
2. Develop Your Reselling Business Plan. One of the most important steps in starting a reselling business is to develop your business plan. The purpose of a business plan is to ensure that you fully understand your market and your business strategy. The plan also provides you with a roadmap to follow and if needed, to present to funding sources ...
How to start a reseller business
Do formulate a business plan and obtain a reseller business license. Don't think you have to do it alone. Do create a business account on a platform that offers you support with reselling. Don't withhold information about the origin and condition of the product. Do include a detailed, honest product description with your product listings.
How to Put Together a Resale Retail Business Plan
Here's what to expect when creating a resale retail business plan - making sure your transition into entrepreneurship is as smooth and stress-free as possible. Executive Summary. Your executive summary provides the reader or potential lender with an overview of your business. It should explain your reasoning behind the particular business ...
How to Start a $4.2M/Year Reselling Business
Step 7. Start Marketing Your Reselling Business. Step 8. Manage Your Inventory and Sales. Step 9. Expand Your Reselling Business. Go Resell With Your Own eCommerce Business. Keep reading to learn how to become a reseller business, or click any of the links above to jump to the section you need.
How To Start Reseller Business [PLAN]
This helps reveals a lot about your reseller business. Anyone going through the plan will want to first learn about the name. Stating its identity serves as the first step toward introducing the business. Also critical is the need to state where your reseller business will be. Next, provide information on the services and products to be offered.
9 Business Plan Examples to Inspire Your Own (2024)
7 Business Plan Examples to Inspire Your Own ...
Computer Hardware Reseller Business Plan
AMT focuses on local markets, small business and home office, with special focus on the high-end home office and the 5-20 unit small business office. The last study we saw published has retail sales growing at 5% per year, while Web sales and direct sales are growing at 25% or 30%. There are several different kinds of computer retailers within ...
8+ Reseller Marketing Plan Templates
14 steps to build a professional reseller partner program are as follows. First, establish your company directive. Second, be sure to understand your competitors. Third, Determine the types/levels of Partners you will be working with. Next, build a framework for your program.
PDF QCommission Sample Plans Reseller Business
Resellers are firms that are in the business of reselling products to end consumers. They can source the products from manufacturers, wholesalers and distributors (generally Providers). Resellers perform an important role in the supply chain of products between manufacturers and consumers. Resellers are found in almost every type of industry ...
550+ Sample Business Plan Examples to Inspire Your Own
550+ Sample Business Plan Examples to Inspire ...
Places to visit
Answered: Hello! What are the best places to visit in Rostov or Nearby area? Are there restaurants with Halal food?
History of Rostov-on-Don
The history of the transformation of Rostov-on-Don into one of the biggest cities of the South of Russia was dynamic: from official admittance of Rostov as the city (1806) to the period of its intense growth and development (1880-1900) there passed less than hundred years. But well in advance in 1749 on the place of the modern Rostov by the ...
Retail & Ecommerce Business Plans
Children's Website Business Plan. Cigar Manufacturing Business Plan. E-commerce Internet Business Plan. E-Commerce Retailer Business Plan. E-Commerce Start-Up Business Plan. Ecommerce Fabric Store Business Plan. Fish Breeder Business Plan. Home, Garden Gifts Online Business Plan. Horse Reseller Business Plan.
Rostov and Rostov Region.Interested?
Sign in to get trip updates and message other travelers.. Rostov-on-Don ; Hotels ; Things to Do ; Restaurants ; Flights ; Vacation Rentals ; Travel Stories
Rostov Oblast, Russia guide
Rostov Oblast is the second largest producer of agricultural products in Russia (wheat, maize, rice, millet, buckwheat, soybeans, vegetables, fruits, and berries). Sunflower is the main industrial crop. This region produces more than 20% of all sunflower seeds in Russia. Milk producing, cattle-breeding, sheep-breeding, horse-breeding and ...

How to Start a Reseller Business: Tips and Ideas for 2024

What is a reseller?

What are the advantages of being a reseller?

Launch your business sooner

Carry no inventory

Resell an extensive range

Lower your financial risk

Set your own margins

How to become a reseller

2. Check into state laws

3. Get a resale permit

Choosing a fulfillment method for your reseller business

1. Third-party logistics (3PL)

2. Dropshipping

3. In-house fulfillment

Finding suppliers for your resale business

5 reseller business ideas/opportunities

1. Clothing business

2. Pet supplies store

3. Cosmetics business

4. Car accessories business

5. Sneaker business

How to make money with a reseller online shop

Optimize your site

Price your products well

Sell authentic items

Run social media ads

Create content around your business

Start your reseller business today

How to start a reseller business FAQ

What products are the easiest to resell?

How much does it cost to become a reseller?

How do you become a reseller?

Comprehensive Guide to Writing a Business Plan for a Reseller Business

Related Blogs

Identify Target Market

Tips for identifying your target market:

Conduct Market Research

Analyze Competition

Tips for analyzing competition:

Determine The Products Or Services To Be Resold

Develop A Pricing Strategy

Create A Marketing Plan

Assess Funding Options

Define Legal And Regulatory Requirements

Establish Key Partnerships Or Supplier Relationships

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The Reseller Business Blueprint: A Step-by-Step Guide for Entrepreneurs

Understanding The Basics Before You Start A Business: What Is a Reseller?

9 Steps Every Entrepreneur Should Follow When Setting Up A Reseller Business

Step 1: Market Research & Niche Selection

Step 2: Understanding the Reseller Model & Fulfillment

Step 3: Find Reliable Suppliers

Step 4: Create A Business Plan

Step 5: Register Your Business

Step 6: Step 6: Setting Up Your Business

Step 7: Procurement of Products

Step 8: Market Your Reselling Business Online

Step 9: Scaling and Growth

Pros & Cons of Reselling Business

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What is reselling? Unfolding the reseller business model

Definition and basics of the reseller business model

What exactly is the reseller business model?

Comparison with traditional retail

Types of reselling models

Dropshipping

Consignment

Liquidation

White labeling or Private labeling

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