Thursday, February 13, 2014
On the Business Path: Internet Business-18
So if you are going to order from one category say for example clothing, how are you going to go about it. You can either contact the distributors or wholesalers but better yet you can take the closeouts and enjoy a healthy profit. These closeouts are brand name items but were surplus or from last season and were not sold by the original department stores so they sell to the closeouts sellers for pennies on a dollar. The more you buy from them the less per product price you will get. They rarely handle the retail side but there may be some from whom you can get sample pack to test your market. These closeouts are a good way to start your business. Sometimes they may ask that you must have a tax identification number to deal with them so that they will not charge your sales tax but even without it you can still buy stuff from most of them. Another way is to talk to distributors or wholesalers who may only give you discount in quantities, the more you buy the more you would get lower price so economies of scale count. I suggest that you get the least minimum quantity to see if it sells and then go for the big one. If you are only dealing with one category which is common, you may find many vendors from whom you can buy but then again you will be in competition with many people who may be selling similar items and it will be hard for you distinguish on only price unless you get it for pennies and that entails buying big volumes which you cannot because you are just a startup.