In this post, I want to discuss how to flip items for profit.
Flipping an item is when you buy an item and quickly resell it. While you can do it for a loss in most cases people buy and sell items for a profit. Usually, these items are second hand.
For anyone looking for extra cash then this is probably the easiest and most profitable way to make money.
You, however, need to understand what items sell well and how to price them.
I also know of people who flip items on a full-time basis and make more than those of us in full-time work.
I recently came across Rob and Melissa of Flea Market Flipper who have been flipping things for a living since 2012.
They say this flipping business has enabled them to have more free time with their kids as they are making enough money to live comfortably.
I just saw one of their reports where they made over $100,000 a year flipping second-hand items.
They have now started teaching others how to grow their flipping businesses through Flipper University.
Therefore if you want to make flipping your full-time business I recommend that you try Flipper University.
What are the easiest things to flip?
In my opinion, the easiest items to flip for profit are the following:
- Electronic and electrical items. Most people are willing to pay for second-hand electronic items as long as they are reasonably priced. Therefore if you can find some second-hand items that you can resell for profit then go for it. You just need to make sure that they are in working order and have been cleaned properly. There is nothing that puts off people than dirty staff.
- Used clothes and shoes. There will always be a market for second-hand clothes and shoes. This is why there is a proliferation of second-hand shops that sell more clothes than other items. So if you can find some quality branded clothes you should be able to find a market for them.
- Furniture. Because of the tough economic conditions for young people, there is always a market for second-hand furniture. If you have furniture that you need to get rid of you can easily flip it by advertising on sites such as Craiglist or eBay.
- Children’s toys and stuff. If your child has outgrown some toys and other things you can flip them for profit easily. You can also find these items on Facebook, Craiglist, etc. A couple of months ago I was looking for a second-hand bike and I easily found one online and bought it. It is still in good condition. Most parents are looking for such kind of things.
- Websites. If you are in to internet marketing then creating websites and flipping them for profit is probably one of the most profitable businesses out there. On average people are willing to pay 30 times the monthly earning of a blog or website. Therefore if your website is making a $1,000 profit you can sell it for $30,000. It is possible from my experience to create a blog that could be earning $1000 in 12 months.
What are the most profitable things to flip?
This depends on where you live but in most places, the following are the most profitable items to flip.
- Antiques. According to Wikipedia, Antiques are items that are perceived as having value because of their historical and aesthetic significance. These are arguably the most profitable items that you can ever flip.
- Records and record players. If you think that the days of records and record players are gone then you are mistaken. These have made a comeback and are now hot on the market. Therefore if you still have your grandparents’ records and record players, consider selling them for a decent sum.
- Wood Furniture. Second-hand furniture is always in demand and therefore if you have furniture to dispose of then put it out on the market.
Is it legal to buy and resell items?
Of course, it is legal to buy and resell items. You, however, have to be aware of the laws operating in your state as they could be tax implications, etc.
If you are just reselling an item that you bought some time ago and want to dispose of then there is no likelihood that the state will trouble you.
However, if you are doing it as a business then most states would require you to get a tax certificate.
This will allow you to charge sales tax and report the same to your state’s tax department.
You may also need to be aware of the rules regarding using the brand names in selling your items.
Some brands are protected and you may require to get permission from the manufacturers.
However, if you are not using any brand names in advertising then I think it is fine.
I would still advise you to check out these facts with your lawyers or your state’s tax department to be on the safe side.
How do you flip things for profit?
With the advent of the internet flipping items has become easier. You can now buy and sell items online to thousands of people who can buy your items in the comfort of their homes. Below are some of the steps that you need to follow to flip items.
Where to buy items
Before you even think of flipping items you need to find places where you can buy the things that you may flip.
Below are some of the most common places to find items to flip.
Flea Market. This is probably the first place you can think of when thinking of buying things at reasonable prices and in abundance.
At flea markets, you can find clothes, shoes, furniture, electronic items, antiques, etc.
All these items are very marketable for flippers.
If you want to know how flea markets operate I have an article on this blog titled, How To Make Money at the Flea Market, that tackles this topic.
Thrift Stores. You can easily find some quality stuff if you keep your eyes open in Thrift stores. Things like clothes, shoes and electronic items are the ones to look out for here.
Garage Sales. This is another place where you can find some quality second stuff. And because the sellers are not professional sellers there is more chance of finding things at bargain prices. You can also easily haggle as in most cases the seller just wants to get rid of his or her stuff.
Auction Estate. A long ago I used to frequent auction houses and there was some quality stuff on sale there.
Liquidation stores. If you are looking for quality stuff that has been put for sale by the big retailers then the liquidation stores are the place to go. You can easily get quality stuff at give away prices
Craigslist, eBay, etc. These online marketplaces are another perfect to find things to flip.
Your own house. We all have stuff in our houses that we no longer use. These are some of the items we can consider flipping.
What to consider when buying items?
- Look for unique and expensive items if possible: I am thinking here about the high brand items. If you can find these you are highly likely to make a higher profit when you resell them. The unique ones also sell well and they draw people’s attention.
- Investigate the market. Before you buy things it is better to search online on sites such as eBay to have an idea on the prices of things. This way you won’t end up buying things that you will end selling at a loss.
- Start with one kind of item. As a new flipper, it is better not to overstretch yourself by dealing with so many items. It is better to concentrate on one kind of item first. Once you have mastered it then you can turn to other items. By specializing you learn fast. You can research items on the internet etc.
- You can start with smaller and cheaper items. This is because you don’t want to risk too much of your money at first before you have experience. Test the market with items that cost maybe around $10 each.
- Keep your profit in mind always. When buying stuff always consider the profit element. You are not a charity but a business. Keep that in mind when buying and selling things will keep you in good stead.
Have a timetable. Creating time for anything and sticking to it is critical in any endeavor. The same applies to flipping. You need to create a timetable detailing the things you need to do in your business.
Set up a photo station. In any online marketplace, the quality of your pictures can mean the difference between success or failure. Therefore having a good camera and a nice place to take photos of your items is very important. You need some good lighting and make sure that you clean your stuff before you take pictures. In other words, make it as professional as possible.
Price your items properly. You are in this business to make a profit. So keep this in mind all the time. However, also think of potential buyers and what they are willing to pay. It makes no sense to overprice items if no one is going to buy them. Therefore check on the internet the prices for various things before you set your prices. Sometimes you have to be willing to make a small profit to avoid storage charges or create space for new items.
Reinvest your profit. As you make profits remember to reinvest your profits in your business for it to grow. Otherwise, you will remain static.
Listing Your items.
Decide on sites to sell your items. There are various sites that you can use to sell your stuff. They include eBay, Craiglist, Etsy, Facebook, etc. As a newbie, you can start with one platform first and get to know it better before moving to another platform.
Decide whether to auction or sell outright. On some sites, you have the option of the auction or selling outright. Therefore decide the way to go for you beforehand. Sometimes auctions can make you more money than selling a thing outright as people may bid more than what you would have offered to sell outright. Some items sell well in auctions than others.
Advice on photos. For the benefit of your customers, it is advisable to have your goods pictured at all angles. You want your customers to have a full picture of the items they are buying. Make sure you highlight any damages. Trust is everything in business.
Describe your things accurately. As a seller, it is important to be in the shoes of your customers. Just as you may want to know all the nitty-gritty things of things you are buying so do your customers. Therefore make sure that you describe your goods properly. Deceit may come back to hurt you as customers will rate you down on sites like eBay
I hope the information provided above is enough for you to know how to flip items for profit.
With proper knowledge, you can even make it your full-time income.
If that is your goal then I recommend the Flipper University for you.
If however you just need some extra cash then the information provided is enough for you to feel your way in this business.