I am new to wholesale (haven’t actually started yet but am worried about purchasing stock that I wont be able to sell all of.
Has anyone negotiated terms with manufacturers to take back any stock that doesn’t move?
My supplier has a 60 day return policy but I loose 20% as restocking fee. I’d like something a bit less risk
I suppose I could just stick the products that I know do sell instead of trying to list their whole catalogue?
I used to dropship for the brand I want to start with so I’m used to listing all their products without any risk. It made my catalogue look extensive. But the supplier has hiked up their handling fees so it’s no longer competitive to dropship. So I thought a good opportunity to try wholesale, but my listings will be 1/4 what they were
@Malessa I’ve talked to a few brands that will take back stock that doesn’t move but they are few and far between. Certainly stick to their top sellers to start and branch out as you build capital. We generally don’t recommend buying product with less than 30 sales/month and that isn’t worth at least $100/month in estimated gross profit.
Hi Malesa,
I agree with Mitch, it is very rare that suppliers take back slow-moving stock, and if they do, from what I have seen, there is always a restocking fee of about 20% as you mentioned. I would be interested to hear, do you dropship on an eCommerce site or on marketplaces such as Amazon and eBay?
but am worried about purchasing stock that I wont be able to sell all of.