Question by Damainewun: I have a two fold question about buying tail lights at cost for business purposes?
I would like to open an online business, 1st question is do I use drop shipping or a wholesaler to purchase the tail lights through as they are requested. I would want the lights to come to me 1st. 2nd Question is how do I calculate or find out the cost for a business to buy them from the wholesaler versus a customer?
Answer by T
You can buy in bulk from a wholesaler that also drop ships if need be. You should probably have stock you ship yourself and depending upon the sale that you also drop ship. The savings you may realize is that your shipping charge to the customer may be somewhat less and/or the profit margin you may realize may be somewhat more than if you drop ship. Or it could also be just the opposite depending upon where you are and where your drop shipper is as well as your customer. Say you are in LA and your customer as well as the drop shipper are in NY. Depending upon what your drop shipper charges you may actually make more money drop shipping than managing the shipment yourself. But you may lose money if you and your drop shipper are in LA and the customer is in NY. Be sure the drop shipper uses only your name only on the package and any attached invoice. Drop shippers many times get a discount shipping rate which they may adjust, ideally you would use your own shipper account and get your own discount. Wholesalers need business info before they quote prices, so send them your business info. Even as an online seller you must first be registered with your home State first as a business prior to purchases from a reputable wholesaler. And reputable wholesalers may not quote you prices without business info of such nature
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