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Get a License to Buy Merchandise Wholesale to Resell on eBay

Purchasing wholesale merchandise to resell on eBay may require that you have your state’s resale license, which identifies you as being in the business. Be sure that you have one before you try to purchase merchandise directly from another business.

Also, when you have a resale number and purchase merchandise from another business — known as a business-to-business (B2B) transaction — you probably won’t be charged sales tax when you purchase your stock because you’ll be paying sales tax when you sell the items.

When you have your resale number, you can go anywhere you want to buy merchandise. If you want to buy direct from a manufacturer, you can. Unfortunately, many manufacturers have a minimum order amount, which may be more than you want to spend (and you’d get more of a particular item than you’d ever want at once).

To remedy that, see whether you can find independent retailers who buy in quantity — and who will (perhaps) let you in on some quantity buys with manufacturers. You can buy in with a couple of local shops when they purchase their orders.

To gain access to legitimate wholesale sources, you must be a licensed business in your city or county. You also usually have to have a resale permit and tax ID number from your state.

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