May 26, 2004

StartupJournal.com Says Online Auctions Offer Entrepreneurs Opportunity to Start a New Business

Both employed and unemployed professionals, who hope to start businesses of their own one day, have discovered a shortcut to fulfilling their entrepreneurial dreams: launching their new ventures part-time on eBay(R), according to StartupJournal.com, The Wall Street Journal's site for entrepreneurs.

"Selling items on an online auction site is a low-cost, low-risk way to test your skills as an entrepreneur, while at the same time supplementing your regular income," says Tony Lee, editor in chief of StartupJournal.com. "Dabbling in online auctions also can help cover short-term expenses and provide an emotional boost if you're between jobs."

For the underemployed, including entrepreneurs hitting slow patches in the weak economy, selling online through eBay(R), Amazon.com(R) and other auction sites can fill an income gap. Online marketplaces have made it easy for new entrepreneurs to get started with minimal investments. To be a serious seller requires a degree of commitment, but eBay(R) and similar Web sites walk beginners through the process.

If you are interested in becoming an online entrepreneur, StartupJournal.com offers some basic guidelines:

* Focus on selling items you know well, so that you can safely determine the final auction price compared to your cost of buying the items.

* Decide whether you'd prefer to sell via a "fixed-price" sales format
that allows buyers to purchase without haggling or waiting, or via an
auction format.

* Be prepared to pay a small fee to post items, and a small percentage of each sale, depending on the price, as well as a fee to relist any items that don't sell the first time around.

* Consider using a payment system that allows buyers to securely use
credit cards, such as PayPal(R), which forwards all payments to you for a small fee.

* Learn to take digital photos of your items to help attract interest, and work on developing a punchy descriptive writing style.

* Create a system for packing and shipping the goods that you sell in a timely way.

For more information and guidance on starting and running a new business, visit www.StartupJournal.com.

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