Thinking of starting a business from home? First-time business sellers on eBay pay no fees then you “Pay As You Grow” your online business.
£10 sign up bonus: Earn easy cash by watching videos, playing games, and entering surveys.
Get a £10 sign up bonus when you join today.
Join Swagbucks here >>
If 2020 has had you thinking of changing your job or maybe even starting a side hustle to earn extra money, this new scheme from eBay may be just what you need.
You may not be the only one thinking of starting a business.
The people of the UK have got the entrepreneurial spirit, and tens of thousands of new businesses have joined eBay since March.
Until the end of the year, you’re able to get started with a new business on eBay and pay no fees.
They got the inspiration from the Government “Pay As You Grow” loan repayments for small business and thought they could offer something similar for people wanting to grow a new business.
When it comes to running an online store, listing fees or “insertion fees” can be some of the biggest expenses you need to pay – and they’re non-refundable.
Even if the products you’re selling don’t sell, you won’t be able to get a refund, and you’ll just need to pay all over again, but with this new scheme, you won’t need to worry about them.
Read later > other genuine work from home jobs (UK)
“Pay As You Grow” on eBay
With the new “Pay As You Grow” scheme, you can start up an online business with little to no cost.
As a first time seller, you don’t need to pay any listing fees or final value fees for your first 100 sales each month.
If you sell more than that (well done!) you will pay discounted fees after.
You will only start paying fees with eBay when your sales begin to grow.
The fees will be reduced by 50% for the next 100 sales and reduced by 25% for the following 100 sales that month.
You’ll only then start paying fees after you sell more than 300 items a month – which is a fair amount!
So, only until you start to have increased sales, will you need to start paying any listing fees.
It’s a great way to make sure more profit stays in your pocket.
“Pay As You Grow” scheme from eBay is running until 31 December 2020. As a business seller, you’ll receive the discounts for the first 90 days after registration.
With Christmas coming up, and people obviously spending more at this time of year, now may be a perfect time to start an online business selling products.
I suppose the only question is, what are you going to sell?
Starting to sell on eBay
There are more and more new start-ups joining eBay each month as selling offline has become harder.
While it does mean more competition with other online sellers, your business can still grow.
One example is Henry Cawley, who started UK Components on eBay during lockdown.
His degree at university was put on hold, so he started selling parts for 3D printers.
He’s expecting to have a yearly turnover of £40,000 in his first year!
Henry is going to carry on growing his new online business.
Henry Cawley, the owner of the new online business UK Components, commented:
“I set up my business selling 3D printer parts on eBay earlier this year after my university degree was put on hold due to the pandemic.
“Since then, sales have been increasing month-on-month and show no signs of slowing. I’m now back at university and continuing to grow my business alongside my studies from my bedroom, which means I’ve even been able to give up my part-time job at a local supermarket.
“I can’t stress enough how easy it was to get started – particularly for young entrepreneurs like me.”
As well as eBay, also look to start a blog with an online shop, so you can sell and promote your business directly.
Do you have to pay tax selling on eBay?
If you regularly sell things online to make a profit (rather than just having a clear-out of your own things), you could be classed as a sole trader.
It doesn’t matter if you sell items bought elsewhere or if you make them yourself.
There is a checklist to see if you need to pay tax on additional income.
However, since April 2017, you can make up to £1,000 as a tax-free allowance a year from selling goods and services.
Keep track and work out how much you’d made in a tax year (running from 6 April to 5 April) without deducting and costs or expenses.
The only thing you really need to take into account is that you cannot claim expenses or other allowances, so you need to make a choice about how much your expenses are.
Otherwise, you can register as self-employed, and you’ll need to do an annual self-assessment.
:: Come and join thousands of other savvy people in the Skint Dad Facebook community to find out tips and tricks to make your money go further and make more money.
Enjoy this post? Why not also sign up to receive our newsletter.
We send out all the best money saving news and tips from the site, and as an added
bonus you’ll get an exclusive £16 cashback from Quidco (new members only)
- 25% off wine: supermarket wine offers and cheap deals - 13 November 2024
- Tesco clothing sale 2024 – 25% off F&F sale dates - 13 November 2024
- Get a free National Trust day pass for your family day out this winter! - 31 October 2024
Leave a Reply