Proven Businesses You Can Start From Home – Introduction and eBay Business

Last Updated: July 21, 2010

Introduction

An increasing number of people in many types of job are looking to work from home, however many people simply carry on with their existing job. There are a range of potential businesses that you can run from home, allowing you the freedom of self-employment, with the benefits of staying at home.

One of the most important things to remember about home (as well as small) businesses, is that they are almost always more successful when based around your existing skills, abilities, and knowledge. This is one of the reasons why many home businesses are started in the same profession that the business owner was in before.

There are two types of home business, most involve working entirely for yourself, and some involve freelance working for another company (e.g. Writing for magazines). This means that although you are self-employed, the company you are working for may see you in a similar way as an employee.

Although these businesses are based at home, it is important to remember that many of them may involve meeting customers outside of the home (e.g. To arrange details), or working in their premises (e.g. Providing entertainment at a party location).

eBay Business

Running an eBay business will involve the purchasing, selling, payment taking and posting for any number of different products through the internet auction site. Most users of the site are c asual, but by selling a large number of items you have the potential to create a profitable business. You will need to know how to use the auction system, and be prepared to do a lot of research into the popularity and prices of the items you sell.

The most important parts of eBay selling are setting the right starting price and making sure you appear trustworthy. The eBay feedback system encourages buyers and sellers to leave positive or negative feedback about each transaction. This means that your potential buyers will be able to see exactly what your past customers think at the click of a mouse; and makes providing good customer service essential.

All you need to use eBay is a PC and an internet connection (preferably 150k or above), there are over 114 million users worldwide. The system is so simple that there are already thousands of UK entrepreneurs running eBay businesses; with plenty of room still left in some areas.

As you can run an eBay business simply from a home computer, the running costs are very small. The main costs are for the products you sell, packaging materials, and eBay selling fees. There are two main selling fees; a set fee (between 15p and £2) is charged for listing an item, this is relative to the starting bid price you set; and a final value fee, which is a percentage of the selling price (5.25% of the first £29.99, 3.25% of £30 to £599.99, and 1.75% of any value above £600).

You can try to ensure profit by using a fixed “Buy it now” price, or on larger items you can set a reserve price, below which the item will not sell. Remember though, these may put many buyers off from your auctions.

Larger eBay sellers can pay to have an online shop where all their items are displayed; this allows buyers to look at all of your products in one go; and allows you to promote your businesses directly.

You can buy items from other eBay users (I.e.: Find bargains and sell at normal price), through warehouses or distributors, or direct from the manufacturer; but you will need to be sure that you can sell the products for a profit before you buy.

The potential to earn money on eBay is huge, you can sell thousands of items at a time; but you need to make sure that you avoid selling items too cheaply by encouraging bidders. Although even if your eBay business isn’t too successful, the risk of losing a lot of money is small. You could combine an eBay business with a home party business to give yourself a much wider range of potential customers.

eBay businesses usually attract business by using ‘featured listings’, which cost a little more but give your auction a stand out space. Using an eBay shop allows you to promote your business elsewhere, and direct people to your store site. You should remember however, that eBay itself attracts millions of visitors; so a large number of people will see your auctions anyway.