How to sell my products wholesale?

On the Internet

[AJbeauty]

I want to start selling wholesale on the internet. I was wondering do I have to have any legal documents to do this? Particularly I want to start selling widgets (brand new) and sell them through ebay. What do I have to do?

[edited by: lorax at 8:02 pm (utc) on Aug. 3, 2008]
[edit reason] no specifics please [/edit]

[grandmastr]

You need to collect their sales tax id and should be good to go.

[lexipixel]

*** IF YOU DON'T OWN THE BRAND, MAKE SURE THE MANUFACTURER APPROVES OF YOU SELLING IT ONLINE WHOLESALE ***

I'd also only sell in quantities that make it unlikely that someone who just wants one or two of the (brand name) widgets for themselves will buy from you.

The whole idea of selling wholesale online is to create a repeat customer base who can sell the items at retail, make a profit and buy more from you.

All a TAX ID means is they are "in business"... They might not even be in the same field as the products you're selling -- just looking to buy at wholesale.

I'd do tiered pricing:

1-11 at $1.00
12-35 @ $ $0.95
36-71 @ $ $0.90
72-143 @ $ $0.85
144+ @ $0.75

That's the same as saying "Buy (6) dozen and get 15% off" .... "Buy a gross and get 25% off".

You could also offer "repeat business" discounts, (e.g.- get a $15.00 credit good towards your next order with any order over $100)... That way you get your money up front if they are going to just buy once then disappear.

[sun818]

We have "gold" buyer status with one company. Using the example above, our unit cost starts at $0.85 when we buy 1-11. This requires a rolling 30 day minimum purchase power. Otherwise, we risk getting bumped down to lower discount tier or no discount at all. Its all automated on their end, so there's no fidgeting required by a sales person. The more we buy from them, the greater our discounts.