The key to any business is finding a product at a great price and then getting the maximum amount of money for it when it is sold. While this sounds like a very basic thing, there are plenty of people that get it wrong. In order to get the best price, the business owner is going to need to know how to buy wholesale. For the purpose of our example, let’s take a quick look at the process of buying and selling wholesale flip flops.
A question mark is probably already in a thought cloud over your head with the caption, “Why buy wholesale flip flops?” The simple answer is that they are easy to sell and everyone wears them when the weather is nice. Can you imagine how many wholesale rubber flip flops are sold each year? They are a very affordable product for the first time business owner to get started. The overall investment is minimal and as long as the business in the right location at the right time of year, the product will not be sitting on the shelf for any length of time.
In order to be able to buy wholesale, it is best to get a business tax ID. This is simple enough to get as long as the business is registered. A quick Google search for “apply for tax id” will take you to the right spot and then it is just a matter of filling out the forms. At this point, a business account should also be opened. There are many wholesalers that will only deal with a “legitimate” and registered business.
Once the red tape is out of the way, it is time to find suppliers that can sell wholesale. The obvious place to look is the Internet. However, there are some traps to using the Internet that everyone needs to be aware of when buying products. Anyone can claim to be a wholesaler online. It is best to find dealers that are reputable to avoid people that are actually selling at retail prices.
After some companies are found during the search for wholesalers, bookmark the sites and start to compare prices. When the field is narrowed down further, it is time to start to do some investigating. Most legitimate businesses will be registered with the Better Business Bureau. Even if they are not, complaints can still be filed against them to warn consumers. When you are satisfied that a trustworthy dealer has been found, it is time to work the deal.
Wholesalers will often have tiered pricing. It is important to know your market so that you are not buying too much or too little of the product. Because the pricing per item will be less with larger quantities, it is beneficial to the owner to hit the number that they need as close to possible so that they sell everything that they have in stock. This way, you are getting the most for you money.
Buying wholesale flip flops can lead to much larger profits for the small business owner. As the business expands, larger quantities can be ordered, but only if they are all going to sell. Consider different and unusual styles of flip flops, maybe you could get ahead of the competition by stocking wholesale rhinestone flip flops or even wholesale flip flop sandals. Keep an eye out for clearance sales, but don’t fall into the trap of ordering yesterday’s product that can no longer be moved. Buying wholesale and selling retail is an art form that when perfected, can lead to maximized profits and a bank account that puts a smile on your face.