Turning the hobby into a part time job.

[campyfan39]

I am finishing up a book about collecting with my late father. I interviewed dozens of successful dealers during the research and to a man they told me they don't collect anymore. It was just too hard to be a seller and a collector.
The temptation to keep stuff or upgrade was too high. I know it would be for me as well.

[Footballdude]

Originally Posted by campyfan39

I am finishing up a book about collecting with my late father. I interviewed dozens of successful dealers during the research and to a man they told me they don't collect anymore. It was just too hard to be a seller and a collector.
The temptation to keep stuff or upgrade was too high. I know it would be for me as well.

I think the general rule is "Don't fall in love with your merchandise".

[autograf]

A good key too is when things are going up, sell. Right now, if you're sitting on 1914 Cracker Jacks, it's a great time to sell. The prices will [likely] come back down. T210's is an example of this to some extent. They were sky high a few years back and have retreated some now. 1952 Mantles are hotter than ever now. Study what you want to sell and what you can buy stuff for and what and where you can sell it. What you can sell on the BST of this board, you can ensure discounting it 10-15% over what your starting price is on ebay since you have ZERO fees thanks to Leon's benevolence....joking....Buying lots is great advice and pulling a few, selling the rest. There are TONS of auction houses-Huggins/Scott, Legendary, Lelands, Hunts, etc that do larger lots where occasionally (not often) lots that contain a lot of oddball stuff or quantities of stuff will go for an amount that gives you opportunity to break them up, be patient, and make 30-40% on your $$ (or more) even with ebay/paypal fees. At the same time, you have to be ready to absorb a loss or two on things. And the don't be a collector AND a dealer is great advice. It's expensive. You will not get rich but with research and time, you can offset what you spend with what you sell and maybe pocket a buck or two in the end.

[buymycards]

You will save a ton of money buying your storage and shipping supplies in bulk. U-Line is a great place for padded bags, small photo mailers, and boxes. Buy a case of 250 or 500 and they will be really inexpensive, even with shipping costs factored in.

Buy your top loads and sleeves and team bags and graded card bags by the case.

If you list your cards ebay, make sure they are well organized. You don't want to spend 20 minutes looking for a card that you sold. If you are organized it will only take 30 seconds even if you have 500 items listed.

Get ready for sticker shock at the beginning of the month when ebay sends you their invoice for the previous month. PayPal also takes their cut.

Remember to save all of your receipts for expenses and your receipts for sales. If you are making a profit you will have to pay taxes, so make yourself a spreadsheet and be meticulous about recording every sale and every expense. If you set up at shows you will need a sales tax number. If you purchase items from out of state you will need to pay a "use" tax. Set aside 25% of your sales to pay your sales tax and income taxes. I know that many card sellers don't report this income, but I like to be able to sleep at night.

In reality, if you sell a $10 card and you paid $5 for the card, by the time you pay ebay, paypal, and taxes, you might make two bucks on the card.

Most of the cards you find will be lower grade and lower end, so you need to be able to buy low so you can sell low and still make a few bucks.

Good luck.

[savedfrommyspokes]

Originally Posted by buymycards

If you purchase items from out of state you will need to pay a "use" tax.

With my buying of inventory, my accountant indicated that based on my state's tax laws that I would not be required to pay a use tax on items purchased from out of state with the intent of reselling. This would be the same as me buying product with the intent of reselling within my state and providing my tax exempt ID # to the seller so that the transaction will be exempt of any state sales tax.

Is it possible that different states have different laws regarding their use taxes for out of state purchases intended for resale?

[buymycards]

Originally Posted by savedfrommyspokes

With my buying of inventory, my accountant indicated that based on my state's tax laws that I would not be required to pay a use tax on items purchased from out of state with the intent of reselling. This would be the same as me buying product with the intent of reselling within my state and providing my tax exempt ID # to the seller so that the transaction will be exempt of any state sales tax.

Is it possible that different states have different laws regarding their use taxes for out of state purchases intended for resale?

You are correct. The use tax isn't for resale items. Thanks for catching that.