Dropshipping 101

If you have heard of the term 'Dropshipping', chances are you are involved in online auctions, eBay, buying wholesale, selling retail or you are interested in owning a web store.  This site will serve to educate you on the in's and out's of using dropshippers and how this system is an intricate part of online auctions and web stores.

Dropshipping is the term used to describe the action of a wholesale company sending merchandise directly to your customer in a manner where it looks as if the merchandise came from your company. 

For example, you list an item for sale in an auction or on your e-commerce website.  Your customer would order an item from you and pay the price that you set.  You would then send that order to the wholesale company and pay them their wholesale price, keeping the difference as profit for yourself.  The wholesale company then ships that item directly to your customer without any type of advertising or label to indicate their own company name.

Why Use a Dropshipper
There are many reasons why a person would want to use a dropshipper.  If you have a home-based business, there are  zoning laws in some counties that disallow the type of business in your home that would have inventory and shipping from out of your home.  They don't want UPS up and down your street everyday.
Or maybe you don't have the capital to purchase huge bulk orders in the beginning.  Running a stockless Internet store is just about the easiest home-based business you could run.  The work in the beginning involves setting up your website, or if you prefer to sell only on auctions, no store is needed.

Business Licensing
Some dropship companies require you to have a business license or Sales Tax (Resale) license in order to open an account with them, some do not.  You are far better off becoming licensed for a few reasons.

Dropshippers that do not require you to have a license are "Middlemen".  THEY have a resale license and are purchasing directly from the wholesale company and then raising the price for you.  If there is some reason you cannot get a license, then you don't have much choice. However, if able, I would highly suggest getting one.

The Infamous "Lists"
There are literally thousands of 'lists' of one million dropshipper out there for sale.  Anyone who knows how to cut and paste will make their 'own list' and sell it.  The problem is that these people don't even know what they're selling.  They've never visited the links (otherwise they would know 90% of them are links to non-existent websites).  More importantly, these people haven't ever sold products online.  How can they know anything?

The Good Guys
There honestly is only ONE directory of dropshippers and wholesalers that is very well researched and put together. 

It is the Dropship Source Directory by Worldwide Brands.  It is copyrighted and backed by the BBB Online Reliability Program.

If you plan on selling online, using dropshippers, this is the only directory you should consider.  Chris Malta is the founder of Worldwide Brands and the creator of the Dropship Source Directory.  He is an extremely honest person and his company's website is absolutely filled with fantastic articles, tips and information to assist you with your online business.

I never recommend products that I do not completely believe in.  My company runs six websites, all geared towards helping you be a successful online seller.  If you want to sell on eBay and other auctions sites or own an e-commerce website, look no further for products.  You will find virtually anything you want to sell in this directory.

The Dropship Source Directory

We encourage you to visit their website and read all the information before deciding to purchase.  They have excellent articles about selling online.

Be sure to download their free eBook "Starting Your Internet Business Right"