Woman Wondering How to Set Up an Ebay Business

How to Set Up an Ebay Business

What is E-bay Incorporated?

This article will explain to you how to set up an eBay business so you can start earning money from home. Thousands of people around the world are doing just that and you can too but first what is eBay?

EBay Inc. was founded in 1995 by Pierre Omidyar. His consulting firm at that time was named the Echo Bay Technology Group. However, when he tried to register the name Echo Bay for his new company the name was already taken. This led to the present name of eBay.

The company is a multinational e-commerce corporation located in San Jose, California. Its focus is on consumer to consumer and business to business sales through its website.

The corporation manages eBay.com which most of us are familiar with. It is an online auction and shopping website where people worldwide buy and sell a wide variety of products.


Selling is Simple With eBay

There are three steps to selling (which includes setting up your account on eBay).

#1 How to Get Started

You can click on the word “sell” at the top, to the right of any page on the eBay website. Alternatively, you can go directly to the start selling your product page here: How to Set Up an eBay Business.

Type in the item you would like to sell in your first listing. You may see some listing templates for similar items. That is images with descriptions.


Ebay Get Started


Choose the one has the closest resemblance to what you want to sell. Click on “create a new listing” at the top right if there are no similar items.


Selling Jeans on Ebay


# 2 Create a Listing That Your Customers Will Want to Buy

eBay has a very thorough description of how to create your listing but I will mention a few of the key points. Choose a similar product and the software will automatically copy the details into your listing. I think this is useful for beginners selling popular products.

Of course, the more professional, captivating and descriptive your copy is the more viewers you will attract. So here are a few tips to help you along.

  • Use descriptive keywords in your title (brand, size, style, color).
  • Take photos of your product from different angles for uploading.
  • Write a detailed description including any unique features or flaws.
  • Price it right. Allow offers. No time limits.

Now after you click on the blue “Select One Like This” button you will need to register for an account before you can manually add or change the description. It is a very simply process to register.


#3 Wrapping Up The Sale

A customer that responds with an offer needs to be sent a counteroffer, acceptance or a polite refusal. eBay will send you an email as soon as a sale is made. Once you have the confirmation proceed to MyEbay to print off the shipping label and then ship the item to your customer.


How to Set Up a Store on eBay

There is a good chance if you are reading this article that you want to set up an eBay Store. In other words, create a real online business from selling hundreds or thousands of items on eBay. In order to do this you must meet several criteria:


  1. You must have an eBay seller account with an automated payment method on file.
  2. You need to be PayPal Verified.
  3. Premium or Anchor stores require an above standard seller performance.


Don’t start building your shop until you have your product ready because feedback is an extremely important part of eBay trading. Customers expect their purchases to be delivered the next day so if you are not prepared you risk receiving poor ratings or negative feedback.


Here is an overview of what opening an eBay store entails.

First, sign in to your account and then go to the business seller page. Everything that you need to know will be located on there or one of its associated pages. Some topics to peruse are:


The How’s and Why’s of Starting to Sell On eBay

  • Why Sell on eBay
  • Selling Basics
  • Seller Fees
  • What to Sell
  • Seller Protection
  • New Business Seller


Create, Promote, Manage Listings & Sell at The Best Price

Banner For Opening eBay Store

  • Your First Listing,
  • Listing Best Practices,
  • Pricing Guidance,
  • Photo Tips,
  • eBay Price Guarantee,
  • Verified Rights Owner Program,
  • Seller Hub,
  • Product Based Shopping Experience,
  • Product Identifiers,
  • eBay Bulk Listing Tools,
  • Third Part Listing Tools,
  • Browser Security Standards,
  • Promotion Strategies,
  • Promotions Manager,
  • Promoted Listings,
  • Boost Traffic With SEO,
  • Social Media


Running Your Store

  • Why Get an eBay Store
  • Subscription and Fees
  • Set Up Your Store
  • New eBay Stores Shopping
  • Subscriber Discounts


Shipping Before & After The Sale

  • Shipping Options
  • Calculating Shipping Costs and Handling Time
  • eBay Guaranteed Delivery
  • Selling Internationally
  • Do-It-Yourself Global Shipping
  • Global Shipping Program
  • Packaging and Shipping Tips
  • eBay Labels
  • Carrier Options


Service, Payments, and Fees

  • Customer Service
  • Returns
  • Case Resolution
  • Defect Removal
  • Top-Rated Program
  • Fees and Features
  • Get Paid
  • Funds Availability
  • Value Added Tax (VAT)
  • eBay Affiliate Program
  • Payments Intermediation


Second, start with a regular shop. It’s nearly always best to start something new at the lowest possible entry point. There is a good reason for this at eBay. “Featured shops” may have lower fees to compensate for their higher monthly fee but you need to sell a lot of products to make it worth your while which could be more difficult if you are new to opening a shop.

All things being equal though featured shops usually appear higher than the basic shops in the product listings. This leads us to shop names. Similar to website names including keywords in the shop name will be of benefit. They should be similar to those in your website domain name.

Third, once you have read enough preset up information click Start Selling. This will bring you to a new page to enter the product you would like to sell. The next step is to decide on a subscription. There are five choices. Please visit set up an eBay store subscription to learn all the details.

To be eligible for all accounts you must have an eBay seller account and be PayPal verified. Premium to Enterprise owners cannot have a below standards rating as defined by Sellers Performance standards. In addition, the following applies.



Best for sellers who list up to 100 items per month as either an auction or fixed price format.

[ $5.69 per month for a yearly plan – $9.14 per month without ]


List at least 250 items per month in a fixed price format, or list high-value items to take advantage of lower final value fees.

[ $25.24 or $32.14 ]


List at least 1,000 items per month in a fixed price format.

[ $68.93 or $86.17 ]


List at least 10,000 items per month in a fixed price format. Best for sellers who want top savings and support for high volume sales.

[ $344.87 or $402.36 ]


List at least 100,000 items per month in fixed price formats. Best for Enterprise sellers who want top savings and support for high volume sales.

[ $3449.19 for the yearly plan ]


A Few Tips to Selling Your First Product

New sellers are definitely at a disadvantage because eBay rewards established sellers with high volumes and good feedback. You are likely to be listed at the bottom of any category, to begin with.

Therefore, how can your listings be influenced? What pushes your listings to the top?

  • Some sellers believe offering free postage gives listings a boost. Including postage in the sale price increase the product price and ultimately listing fees which eBay likes.
  • The more you pay for a listing (eBay’s options) the higher it is likely to appear relative to your other listings.
  • Best selling items will appear above others
  • Items with longer to go until their end date will also appear higher than those with shorter end dates.


The 80/20 rules apply to eBay selling the same as it does for other businesses. So eighty percent of your sales will come from 20% of your listings. This means you should be part of the 25% of businesses that analyzes the impact each of their options has on profitability. It could very well be the difference between success and failure.

Never let your service provider choose the settings for you because they may not exactly fit your product. Write your own description when searching for a category to place it in. It will be more exact and help your listing.

As mentioned earlier you need to have an excellent title, captivating with keywords. Add the word “new” if it is not a used product because many customers believe eBay sells all used items.

Use good photos of the actual product from different angles. Don’t use generic shots and if there is something in the image that the customer will not receive make sure to state that in the description.

Short descriptions with your title repeated at the top are recommended. People have a short attention span so you need to make the sale or peak their interest early.

Pricing option should be “Buy it Now”. Customers know they will get it right away. You may want to add how many you would like to sell here too because it will cut down on the listing fees to sell multiples of one product and it will show you are a serious retailer.


Final Words on How to Set Up an eBay Business ..

Having an eBay shop is one way to make money online. However, please remember the store can never be owned by yourself. eBay will always be the real owners and have ultimate control over what you can and can’t do. I would highly recommend DropShipLifestyle if you are interested in building a serious e-commerce retail store.

The learning curve is probably similar to reach profitability but I believe you have a better chance of making good money online using the techniques taught. In addition, you can sell your store down the road because you will be the sole owner.

I know of one gentleman who is now retired. He started with nothing and after four years retired with half a million dollars. He worked hard for a few years and then sold off his websites. So it is important to look at the big picture as well as the short term. Incidentally, I don’t receive a commission for recommending the program.

Whatever route you choose, best of luck!


Questins and comments for how to set up an eBay business




6 thoughts on “How to Set Up an Ebay Business”

  1. This is an interesting article. I have never considered ebay selling before but this has definitely given me food for thought.

    I have researched many other ways to earn money online and am currently focusing on affiliate marketing, but this is a good introduction.

    I will certainly follow you and look into this in the future.


    1. Hi Courteney,

      Thanks! I have my hands full with the affiliate marketing but eBay seems like a good place for people to get their start earning money online. I do recommend the course through drop shipping lifestyle – it’s smarter. Ultimately involves less work and the potential to sell your website is great.

      It’s like any online business though. We need to learn and take action. It doesn’t happen overnight. Best of luck with your biz! I will follow you at WA too!


  2. I run a craft retail store and hoping to penetrate the online market. At the moment, I have about 20 items that I feel could sell for a decent price. I know eBay charges various fees but I’ve yet to work that out and see what my profit is like.

    My question is – does eBay provides training for small seller like me? Thank you.

    1. As far as my research goes, the answer is yes. 

      EBay is having a positive effect on small and medium size businesses by forming partnerships with them. They recently launched the Retail Revival Program in January 2018 in Akron, Ohio.

      You may want to check if it has reached your area yet. The results of the program in Akron are supposedly good. I hope this helps.

      Best, Devan

  3. Such thorough instructions on setting up and running an eBay store! I do have one question still, though. You mention the monthly fees for running an eBay store, but does eBay still take a percentage on each transaction too?

    I remember my father doing a lot of buying and selling with eBay when I was a kid, back when the site first started. He never made a lot of money on it. It was just a hobby he got into because he always enjoyed going to auctions. That site has changed a lot since then.

    1. Hi Shannah,

      Thanks for visiting my site! That’s a good point! Yes they do but it depends on what you are selling, the store type (basic, premium etc) and a few other factors. Maybe around 10% is a rough estimate. The monthly fees is to run your EBay store as far as i understand.

      The fees can be calculated with the eBay Fee Calculator.

      Hope this helps,



Leave a Comment

Your email address will not be published. Required fields are marked *