Auction Information

How To Save Franchise Fees and Set Up Your Own Ebay Drop Off Store


There has been a flood of publicity generated regarding the "Small Business Opportunity" being offered to would be internet entrepreneurs.

The plan is for you to purchase a franchise operation to sell products on consignment via eBay. Selling on consignment means you take a customer's product into your business, and pay the client the balance of the sales proceeds when and if the item sells.

The parent company guides you through the process of setting up a brick and mortar type of store located in a strip mall or similar location, and shows you how to attract customers using traditional advertising methods by which you sell their items on eBay. Your income is generated after all the fees are subtracted from the franchiser and eBay, along with the related standard business expenses listed below.

All of these items are considered overhead or business operating expenses:

1. Rent/Lease
2. Agreeability of Items
3. Bonded Insurance
4. Utilities
5. Employees
6. Fiduciary Insurance
7. Fiduciary Responsibility
8. Advertising

To start an eBay Consignment Business using this method, you will first be charged a Setup Fee ranging from $5,000 to $15,000 depending on the franchise you choose. There is also a range of fees to be paid to the Franchiser on every sale. You need to do the math for this type of operation after paying the franchise and setup fees to see if it is viable.

Setting Up An eBay Consignment Auction The Right Way

Eliminate the rental or lease and work out of your home. You can easily rent a storage facility for $50-$100/month to store your products, and you can meet your clients there. Remember, they do not expect or need an elaborate storefront; they want their items sold quickly with the least amount of effort.

You can obtain inexpensive insurance to cover the items in your storage facility. Advertise your eBay Consignment Service in local newspaper classified ads for under $20/week, and receive more products than you can handle.

Sign up for the eBay Trading Assistant Program (See my article titled How To Have eBay Send You Less Than Wholesale Product Sources). You will be provided with leads directly from eBay to you.

Obtain an Agreement of Items, which both you and the customer sign. These are available for under $29 at Legal Resource Online.

See the list below for Items to target in local classified ads. Indicate in your ad that you will sell items for "No Fee Charged - Pay Small Percentage of Sale"

* Computer Hardware/Software
* Toys and Video Games
* Consumer Electronics
* Antiques & Collectibles
* Jewelry/Luxury Goods
* Clothing & Accessories
* Sporting Goods
* eBay Auto Parts & Accessories

Services You Offer To Your Customer:

1. Inspect their product to make sure it is acceptable for sale.

2. Take photos of their product; then write the copy and design a professional ad and place it on eBay.

3. When the product is sold, process the payment securely, taking out your percentage, in addition to the shipping and handling charges.

4. If the product does not sell after placing the first ad, it is relisted at no charge.

If the product doesn't sell the second time, it can either be picked up by the customer, or donated to charity.

5. Packaging and shipping the product to the eBay buyer.

6. Mailing checks to the customer.

Setting up an eBay Consignment Business the correct way can allow you to start generating income in a short amount of time with limited expense!

Check out my new Ebay Training on DVD's simple easy to follow steps on how to make money on ebay


MORE RESOURCES:

New York Times

New York Sues UBS for Securities Fraud
New York Times, United States - 46 minutes ago
Auction-rate securities are preferred shares or debt instruments with rates that reset regularly, usually every week, in auctions overseen by the brokerage ...
New York joins auction-rate fraud case The Australian
Another Day, Another Probe Forbes
UBS hit with fraud suit over auction-rate sales Globe and Mail
Schenectady Gazette - Los Angeles Times
all 407 news articles


BBC News

Producer, Alvin Hall's World of Money
BBC News, UK - 2 hours ago
In America, buying wine through auctions is becoming increasingly popular. It used to run its auctions in conjunction with the more well-known Christies, ...
Alvin Hall's World of Money: Wine BBC News
all 3 news articles


Sydney Morning Herald

Auction action all at sea
Sydney Morning Herald, Australia - 13 minutes ago
Art auctions on cruise ships have become big business. But buyers, particularly newcomers to the art world, need to take care to ensure they get what they ...


Hey, bidder! Going once. Going twice. Sold!
Chicago Tribune, United States - 9 hours ago
Subject to court approval, 41 homes sold during the auction. Industry insiders like NRC and other firms that see an increased appetite for auctions, ...


Auctions: Lots of gold, toys and more
Philadelphia Inquirer, PA - 9 hours ago
Starting at 10 am tomorrow in Chadds Ford, William H. Bunch Auctions and Appraisals will resume its liquidation of the Yellow Brick Road Toy and Doll Museum ...


DIARY - Government Debt auctions to Nov 25
Interactive Investor, UK - 10 hours ago
ROME - Treasury reopens in auction 2.5 billion euros seventh tranche CTZs (zero coupon - 30/04/2010). Subscriptions close at 0900 GMT TOKYO - 2-year ...


Grammy Charity Online Auctions To Celebrate Summer With Continuing ...
Top40-Charts.com, NY - 12 hours ago
WHAT: GRAMMY Charity Online Auctions Summer Auction Series - the July charity auction offers an array of celebrity-signed music memorabilia and VIP ...


Phones Review

eBay auctions off unlocked Apple iPhone 3G?
Phones Review, UK - 5 hours ago
Well I guess it was only a matter of time really, anyone can purchase virtually anything on eBay, and so it doesn’t really come as a shock to now see an ...


RBI injects Rs 432.60 bn via repo auction
Myiris.com, India - 7 hours ago
The Reserve Bank of India (RBI) injected Rs 432.60 billion in the 3-day repo auctions, held on July 25, 2008. However, reverse repo auctions remained ...
UPDATE 1-Indian cash rates end lower on lack of demand Reuters India
UPDATE 1-Indian cash rates lower as banks borrow through repo Reuters India
all 5 news articles


Miley Cyrus Auctions Off Date With Her
NBC5i.com, TX - 20 hours ago
The auction wraps Tuesday. The current bid stands around (at 2:00 pm Central Time) $4150. I'm surprised the bidding hasn't gone higher. ...

Auctions - Google News

home | site map
© 2006