Is owning an eBay Drop Shop in your future?

Many Trading Assistants dream to one day grow their hobby or part-time gig into a full time retail business or "eBay Drop Shop". Running this kind of business requires a lot of research and planning to be successful. The TA must prepared to work hard and long hours and this is defineatly not a "Get Rich Quick" type of business.

There are several paths to owning a Drop Shop. Some use their own experience and expand upon it to start the retail business. Others buy into a franchise and utilize their business expertise and resources. Each method has its pros and cons.

Many factors must be analyised before making the jump. Here are just a few things to think about if you are considering owning an eBay Drop Off store.

Cash Reserves - Most businesses fail within their first year due to a lack of funding. You should have enough cash to float the business for at least 6 months to a year.

Location, Location, Location - Finding the right location for your business is critical. You want to get the most exposure as possible. Your signage should be large enough for everyone to see. Other factors you should consider is parking, safety & rent amounts. Keep in mind that the better the location usually equals higher rent.

Employees - No matter how well you know this business you cannot run it efficiently alone. You will need to consider highering employees if you want some kind of a personal life. Consider hiring part-time help (moms w/children in school are perfect for this business). Hiring family is also usually cheaper and more trust worthy alternative.

Advertising - Don't under estimate the amount of money needed to market your business. There are many options available that cost very little to alot. Tracking the results of your marketing efforts will help you streamline your efforts and in return getting more bang for the buck. eBay also has a program for retail "drop-offs" known as the Trading Post program. Click Here to read more about it.

There are many other things that need to be worked out before you start any business. Always consult with your local professionals (i.e. attorney & accountant) to ensure your business is setup correctly. Spending a little money upfront can save you a lot of money down the road!