Selling Products Online

It’s no mystery how money is made by selling products. You either make or buy an item and then sell it at a price that recovers your costs and provides a little extra on top as profit. Think about ordering a cola in your favorite restaurant – the cola mix costs just a few cents per serving but the customer will pay a dollar or two. That’s a huge mark-up, but it also factors in other costs like labor, the cup and lid, a straw, ice and other shared overheads like marketing that are spread over all the items on the sales list. But even when all these costs are factored in, the profit is perhaps as much as a dollar per serving. It’s one of the highest profit margins there is in any business on a single item.

It’s a business model that millions of businesses are using every day – in restaurants, in stores, at roadside stands and on the internet. So why don’t you do it too. Sounds simple – right? Well, it can be. It can also be time and labor intensive and risky. So be sure you know all the ins and outs of selling before you take the plunge. Start by doing your homework - read the lessons at the Money Tree Guide and then you'll be ready to take on the world!