Among all of the different opportunities for running a business from home, eBay is one of the more exciting options. It’s very easy to get started. Most people start off when they have nothing more than the items in their attics. However, to take it from general attic clean out to a business that brings you in needed cash, you need to make sure that you take the time to prepare for a real business. Here are some tips that you can start implementing right away.
A lot of times when people start up a business like the ones you find on eBay, they assume that it’s easy. They don’t think that it looks too hard, and they think that anyone can do it. So they list a few items. They go on their merry way. Some of them manage to make a few sales and then get bored. Those who go on to start selling more realize that they need to begin bringing in more merchandise to sell on eBay. At that point, they face a tremendous risk that they will forget what they have already sold and accidentally sell it twice. This can lead to a lowering of your overall rating as well as problems with eBay.
The best way to avoid this is to make sure that you keep a good inventory at all times. This is sometimes referred to as asset management. While some businesses invest in asset management companies, you probably can’t afford that when you’re just getting a business started on eBay. Fortunately, you don’t have to. The Asset Panda program can handle everything you need. You just have to make sure that you update all of your information and keep that inventory facts straight. If you are moving a significant amount of inventory, then you are going to need to have specific days set aside for asset management. Some businesses even go so far as to update their inventory at the end of every business day and to then host a day every month to double check to make sure that nothing is missing.
Track Your Expenses for Tax Write Offs
So long as you are running a legitimate business, eBay businesses can claim tax write offs. The key to running a legitimate business is that you are not trying to scam anyone, and that you aren’t secretly trying to use this to get special tax breaks. The great part about keeping track of your expenses, though, is that by doing this, you can get a tax break.
- When you are considering your expenses, don’t forget the following
- Business related travel expenses
- Home office expenses
- Inspections for merchandise
- Business equipment
- Camera and camera equipment
- Professional services to promote your business
You need to keep track of these accurately. Include any information that will be helpful in demonstrating the validity of your claims. The last thing you want is for the IRS to come knocking on your door and asking you for information on why you have been claiming things that you can’t justify.
The best way to make sure that your business on eBay succeeds is to ensure that you are actually on time with all of your deliveries and communications. Never procrastinate. This will save you a great deal of headache. Not only will it make sure that you don’t wind up missing important information from your customers, it will help you avoid frustrating your customers. This in turn makes them more likely to come back. Avoiding procrastination when it comes to inventory will also help you because then you will always know what it is that you have in your business.