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How to Start a Profitable eBay Business With £50!


Can you really start a profitable eBay business with less than £50? Yes, you can and in today’s blog post I’ll guide you through the exact system you can use to create a real business on eBay with a tiny starting budget!

Quite often I get emails from people who want to start selling on eBay but they’re out of cash. Literally. People who have lost their jobs or students who are simply students! I almost always recommend that they start with the Used Goods concept as that’s the only business model on eBay where you can turn a decent profit WITHOUT investing huge amounts of money buying wholesale stock.

If your budget is at least £500, I recommend you check out these two concepts instead:

But if your budget is smaller than that, stick with me as in this guide you’ll learn exactly how to start selling on eBay and more importantly – make profit from day one!

We’ll get into more detail on how this concept works in a minute, but for now let’s just get clear on what you’ll need to run this system:

  1. An eBay account
  2. A PayPal account (if you haven’t done so already, you need to upgrade to a Premier account)
  3. £50 (you can start with less, but £50-£100 is ideal)
  4. 1-2 hours a day to spend on this project (or more if you like!)

Basically that’s all you need to make this work!

If you’re totally new to eBay and your account has no feedback, I recommend you get some feedback before you start selling anything. People are very wary of buying anything from an account with 0 feedback! It’s really not worth it to start selling with 0 feedbacks when you can easily get 5-10 feedbacks in a few hours’ time.

The easiest way to get this done is by buying some cheap stuff on eBay in the first place. I’m talking about £0.99 items with free shipping. Just make 5-10 purchases and get your first 5-10 feedbacks.

You can purchase some presents, household goods OR even stuff you’ll need for your business. For example: paper, shipping labels, envelopes or jiffy bags – all in small quantities just to get you going. I’d say 5 feedbacks is the minimum to start selling but if you can stretch it to 10, that would be much better.

Many sellers will leave automated feedback when you make payment OR when you leave positive feedback for the seller. So what you want to do is simply buy the item, make payment and leave positive feedback straight away. In the vast majority of cases you’ll get positive feedback automatically.

On the rare occasions that this doesn’t happen, simply contact the seller and ask them to leave feedback for you. Here is a sample message that you can use for this:

“Hi XYZ,

I recently purchased this item from you and have left you positive feedback. I would be most grateful if you could do the same for me.

Thank you,
Andrew Minalto”

You don’t need anything more complicated than that!

Sell off unwanted items from your house!

Once you have 5-10 feedbacks from buying cheap items from other sellers, you’re ready to start selling yourself! You’ll have to upgrade your eBay account to a Seller’s account (free) if you haven’t done so already. eBay will simply ask you to verify your identity, ask how you’ll pay your eBay fees and what payment methods you’ll accept. This process will take just a few minutes in total.

When you’re done, it’s time to start listing your first items! But before you do, there’s one more task you need to take care of – you have to learn how to create listings that sell! Don’t be put off by how daunting this sounds – there’s no magic involved here and listing creation is something that anyone can do. I have actually put together a complete guide to walk you through the process, which you’ll find here: Anatomy of a Perfect eBay Listing.

Listing creation skills will be crucial to your success with this system, so don’t skip this step! Learn how to create good looking listings – it won’t take you more than an hour or so. Once you create your first listing, then you can simply duplicate that listing for all the other items you sell.

If you take decent product pictures, use eBay listing template from Spicy Auction Templates & format it following my guide, you simply can’t go wrong here. It’s a simple copy and paste process.

Speaking of product images – don’t be too concerned here about image quality. Sure, it goes without saying that you want GREAT images BUT you don’t need professional equipment to make it happen. Even a decent, modern smartphone with a good camera is okay to use. Product photography is very important for all eBay sellers, especially if you’re selling used goods (people are less sure about the condition) so I’ve written an extensive guide on every aspect of product photography which you can find here: Product Photography Guides

But remember, you’re selling USED products in this system, so no one expects PRO quality images! Most importantly – I DO NOT recommend using any stock images (images from Google etc.) with this system! You want your customers to see the EXACT item that’s for sale. Not some fancy stock images!

Okay, so once you have mastered the art of creating listings that sell, you can actually start selling! To get some practice, start with unwanted items you can find around your house. Stuff like:


Anything that is gathering dust on your shelves will be perfect for this task! The main idea here is to get you some experience before you move onto selling money making items.

PLEASE NOTE! If you’re already selling on eBay or have done it before, there’s no need to execute this step. You can start off directly with money making items.

The main goal for this step is to:

  • Improve your listing creation skills;
  • Earn more feedbacks.

But if you already have an established account with at least 30-50 feedbacks AND know how to take good pictures and create listings, you can skip this step completely and move onto…

The System

The idea behind the Used Goods Concept is very simple – you buy undervalued used items on eBay and sell them back on eBay for a healthy profit.

First, you have to understand what an undervalued item is.

eBay is a massive marketplace where millions of people buy and sell on a daily basis. A large number of the sellers are professionals (like you and me), but most of them are actually “normal people” who use eBay to get rid of their old stuff – unwanted games or a movie they only watched once. They’re the people and listings we’ll target in this eBay business concept.

To make this more visual, let’s take a real life example and go through the steps you need to take to make this system work. Let’s imagine you have £50 you can invest in this business. For that money, these are the kind of items you’re looking for:

  • Video Games
  • Blu-rays, DVDs
  • Toys
  • Clothing
  • Mobile Phones
  • Tablets
  • Handbags, accessories
  • Sports Equipment
  • Other similar items

In a word – you’re looking for used items that can be purchased for less than £50. If you’re good at or have knowledge about a specific category of goods, choose that! It’s always easier to work with items you know a lot about, and it will make the buying/selling experience much easier. But even if you don’t have “expert status” in any of these categories, you can still make this work with simple goods such as video games, movies or toys.

For our example, let’s pick video games – one of the most suitable category of goods for this system. First of all, this market is massive. Secondly, new games/versions come out on a regular basis and many people just put their used games up for sale on eBay.

What you do is simply check Amazon or any other large online video game shop and pick one popular game to start your research. It can be any console and any game, not just the latest releases.

I picked Grand Theft Auto 5 for PS4 for this example.

Now, my task is to determine the TRUE market value for this used game. The first step in this process is to get some invaluable data for our item using…


What is Terapeak you may ask? It’s the world’s most popular and feature-rich eBay research tool. With the help of Terapeak you can easily check a product’s price, competition, total sales, best listing format and much more!


If you’re serious about starting an eBay business, even if it’s just a hobby for you, I strongly recommend you get a Terapeak subscription as without it, you’ll simply be wild-guessing about the potential of ANY product and this basically means gambling with your money on products you have no real idea about at all.

So if you haven’t done so already, sign-up for Terapeak (a 7 day free trial is available) and check out some of my tutorials so that you can use it to its full capabilities.

Okay, now back to our system:

Login in to your Terapeak account and do a search for the game you’re interested in, in this example: Grand Theft Auto 5 for PS4.

In Terapeak, make sure you have:

  • Enabled the USED filter (so that results are displayed only for used games)
  • Narrowed down results to the most suitable category (in this case Video Games & Consoles > Games)



Click the magic GO button and wait for the results!


What we’re looking for here are:

  • Average Price (in my example it shows £25.96)
  • Sell-Through Rate (in my example it shows 91.30%)
  • Total Sales (in my example it shows £5605)

IF the sell-through rate is below 50%-60%, drop this item and look for a different one as it’s quite difficult to sell an item with a sell-through rate of less than 50%. Ideally this number should be in 60%-80%+ range.

The sell-through rate is VERY IMPORTANT as it tells us how much demand there is for this item on eBay. A 90% sell-through