Let's say you are selling jewelry or reselling items. You want to price your items about 2.5- 3 times the amount that you purchased it for in order to make a profit. So if you buy an item for $3... you want to try to sell it for at least $8-$9, possibly more.
If you are selling a service like design or sewing, you want to base your price on a time rate. For instance, if it takes you 2 hours to do a design, and you charge $20 per hour, you will need to quote a price of $40 for the design.
If you are reselling an item and working on it, say your making jewelry or clothes. You must price your item based on about 2.5-3% more than what you paid for the materials plus the amount of time you spent on making it. For example: you spent $5 on materials, and 2 hours of your time with a rate of $15 per hour. You should then price your item at $45. ($5x3= $15 + $15x2= $30 total= $15+$30=$45)
Building your clients
No matter what you are selling, whether it's a service or an item, you want to make sure to have as many return customers as possible. Make sure you collect email addresses of the people who buy from you so that you can email them and let them know when you are having a sale or to remind them about your service or new item. The people that buy from you once are the most likely to make another purchase, so be sure to keep them happy! Send a thank you note or email to know that you appreciate their purchase. Make a facebook fan page for your business and add friends and clients to remind them about your business. Give them a reason to come back.
A big hint I would like to give you is to remember that huge overnight success is not very likely. When you are trying to make an extra couple bucks by reselling items, it is possible to reach your goals in a short time, but keep in mind that long term success on a regular basis takes time to achieve and you have to tell yourself to not give up. The majority of people who have started their own business kept a part time or even full time job also for months, even years before their own business venture was able to supplement their income. So basically, don't quit your day job right away. You may need to spend money upfront to cover the costs of buying inventory, supplies, shipping materials, ads, etc... to get started and keep going strong. Don't let it discourage you though. Many businesses have been started on a small budget. You have to be creative, think outside the box and keep reaching for your goals. The main ingredient in a business is always to do what you love!
