A idea to undertake Every day more attractive and that represents a good opportunity for anyone to generate extra income is the sale of second-hand items.
Contrary to what we might think, today this kind of business is developing with greater confidence not only in Latin American countries but now also in Spain and some European countries.
If you analyze it carefully, this kind of ideas arises as a solution to the economic crises that affect our countries and that have forced certain sectors of the population to consider the acquisition of second-hand products and equipment for the office, home and even personal use only.
The main motivator for reselling is the price since for a fraction of money you can buy a good quality product that someone no longer uses, thus obtaining significant savings.
From furniture and equipment to electronic devices to toys, clothing and even cars, the business of so-called second-hand or used items leaves you very substantial profits with much lower costs since you usually do not have to invest in inventory.
How Reselling Second Hand Items Works
The fundamental concept of the second-hand product business is the marketing of items in good condition that can be purchased and resold at a lower price than their original price.
All of us at some point have wanted to get rid of a piece of furniture, artifact or garment that we no longer use but that we also do not want to give away because we know that it still has value and we would like to recover some of the investment.
Hence the business strategy It consists of acting as an intermediary between seller and buyer.
To do this, you must choose some product lines that may interest you and receive them on consignment to the person who needs to get rid of them.
That means that you do not have to buy the product but only have space to store it for a predetermined time, which makes the business quite attractive.
The seller will give you a minimum price to negotiate and this will allow you to establish a profit margin for the sale of said product. And in the event that it is not sold after a certain time, it can be returned to its original owner without further obligation for both parties.
Meanwhile, the final buyer has the opportunity to get a product in good condition, usually with minor signs of use and for a much more accessible price than buying it new.
The Refurbished Concept
Another variant of the business also consists of the restoration of second-rate products, more elegantly called refurbished that can leave you profits of up to 100% and requires very little investment.
This method is widely used by manufacturers of electronic devices and consists of receiving a product in good condition, restoring it, eventually changing some parts, leaving it in optimal condition and reselling it for an attractive price but always lower than the price of the new product.
This is commonly done on laptops, cell phones, and is also applicable for furniture, home appliances, clothing, etc. Even in houses!
Trading Used Items
One of the great advantages of this business idea is that there are many product lines available from which you can choose those with which you feel most comfortable to work, for example:
- Electronic: desktops, laptops and accessories
- Office furniture: desks, filing cabinets, chairs
- White line: washing machines, refrigerators, stoves
- Clothes: lady, gentleman, children, shoes
- Home: televisions, stereos
- Cars: rims, spare parts, accessories
- Electronic: Cell phones, iPods, palms
- Properties: Houses, Apartments, Land
- Video game: controls, memories, consoles, CDs
- Others: Antiques, toys, books, collectibles and more
As an interesting option, you also have the possibility of handling offers or haggling on the part of the buyer, since the owner will be the one who has the last word regarding the price and you finally receive a commission for the sale.
You can organize bazaars or sales in your neighborhood and later, with a little more capital, you can buy products at a better price, especially those that you consider more attractive or that are in demand in the market. You can even have your own warehouse such as tires, household items, clothing and cars.
Finally, it is also important to note that there are options such as imported bales of clothing, shoes, tires or toys that you can buy for a very good wholesale price and sell them per unit in popular sectors obtaining an interesting profit.
You must not forget in your business plan aspects such as:
- Freight and transfers: to be covered by the buyer
- Storage: which should be considered as a fixed expense within your commissions
- Promotion: in case you use marketing tools such as radio, press or internet
- Repairs: This is an item that you can consider in order to offer owners an improvement when their article deserves it, of course with a cost for your services. The rule is: a product in better condition sells better and faster.
You already know, if this entrepreneurship idea It clicks you and you want to start today, start by looking for the items that you have stored at home, that are no longer useful and that you could sell at a garage sale in your neighborhood!
You will be surprised how interesting the assembly of this business can be.