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Using eBay to sell unwanted bits and pieces is a great way to clear up the clutter as well as making some extra cash on the side. Discover how to make money on eBay by reading our special guide.

• What you can sell
• Getting started
• Getting ready to write your listing
• Taking a photo
• Selling
• Fees
• After the hammer has fallen
• Completing the sale

What you can sell

One man’s junk is another man’s treasure so even if you think some of the things you’ve got lying around are useless, think again! eBay is the perfect place to put your possessions up for sale, just make sure they’re in a fairly good condition because if they’re broken or useless you’re unlikely to sell them..

• If something is beyond repair – think about selling its parts, they could be useful to someone
• Toys from your childhood or old magazines may be worth a lot to a collector – if you’re not sure check to see if there are similar items already listed.
• Computer, camera and video cables for machines you don’t have any more can be useful to others – the same goes for manuals you don’t need
• Just because something seems too large to ship, it doesn’t mean you can’t sell it on eBay, as you can use the “collection in person” option and find a mutually convenient time for it to be picked up.

Getting started

The very first thing to do whether you’re buying or selling is to register as a buyer. You’ll need to pick a user ID to sign in each time, so make sure you pick a memorable one.

Once you’ve registered you then need to create a sellers account, to do this click on the tab in the top right corner labeled sell and fill in the information required.

You’ll be asked to enter your credit or debit card details here – but don’t worry as it’s just for verification purposes, so you won’t be charged.

Buyers and sellers are held to performance standards although the website is largely operate on a basis of goodwill and honesty – bolstered by a user feedback system. Every time you finish a transaction with a buyer or seller, you have to rate the experience and the score becomes attached to that users profile, and vice versa.

If you’re a new seller with little or no feedback buyers might be reluctant to make purchases from you. So before your start listing items, you might want to make a few small purchases to accumulate positive feedback, and to get used to the eBay process.

Cost

It’s free to register – but you will have to pay fees for your listings when you start selling.

Getting ready to write your listing

After you’re registered as a seller you need to take a look around to see what’s already on eBay.

Click on the advanced button next to the search bar, tick the box that says completed listings and search for the item you want to sell. This will provide you with a list of auctions that have closed in the last 15 days, it will give you an idea of what kind of price you can expect to sell for, and show you which category to put your item in.

Next, get the company that made the item you’re selling to do the work for you. Mass-produced items like mobile phones, instruments, tools usually carry a product description and specification on the manufacturer’s website.

A little bit of copying and pasting will save you loads of time and effort, and give buyers all the information they need. Then just add a quick description of you particular item’s age and condition and you’ll be all set.

When you’re checking out the similar listings you’ll also be able to get an idea of:

• What kind of description gets the best results (long, short, bullet points…)
• What information you should provide
• Whether to put it up as a standard auction or buy it now format
• Whether to have the starting price low or high –starting low will often result in a high final price.

Taking a photo

Putting up more than one photo can work wonders on your final sale price. Think about whether your item needs more than one angle – if you’re selling clothes or appliances for example. Doing this will increase your chances of people bidding.

As well as taking photos of all the good elements about the item you should also take pictures of any flaws so that the buyer can work out whether it’s worth their while bidding on it. Having several clear photographs is also a good way of protecting yourself if a buyer claims the item was misrepresented.

The first photo you add is free, and each additional picture is 12p. It’s not a lot and it really can improve your final sale price. Remember to upload photos to eBay they much be either .jpg or .gif file formats.

Selling

Once you’ve decided on all the above, you’re ready to list your item. Now you’ve got to enter all this info on the sell your item form. You’ll also have to choose which categories to list your item in. If you list in more than one category, you’ve got a bigger chance of exposure which should make it worth the small fee you’ll have to pay.

Next you’ll have to choose a title for your item – take some time to think of what buyers would search for if they wanted to buy your item. Then try to get some keyword into the title. For example, if you’re selling a dress you might want to list the colour, size, make or style.

Spruce up your listing with different fonts, colours and formatting. Don’t go over the top though – as over-complication can be off-putting.

Decide the length of your listing – refer back to your research and see whether a longer listing is more profitable than a shorter one. List your item over at least one weekend as people are more likely to search eBay in their leisure time than at work.

Longer auctions will allow more potential buyers to stumble onto your sale, although most bids take place in the last few hours of an auction, so running an auction for more time doesn’t necessarily mean it will make more money.

Now it’s time to decide a starting price. If you start under 99p it’s free, and sometimes it’s worth taking a risk and starting at a lower price because it will encourage people to bid on what they think is a bargain. If you’re happy to start the bidding low, but want to make sure it reaches a certain amount then use a reserve price to protect the item. This means that unless someone exceeds the reserve price the item will not sell and you can list it again.

Fees

Once you’ve registered you can start posting items – this is where you’re going to need to consider what kind of listing you want as different listing incur different fees.

• The first fee that anyone selling on eBay has to pay is an insertion fee. This is what you pay for listing your item. The amount depends on the starting price you’ve decided on and the kind of item you’re selling. The best way to check the insertion fee is here, taking into account what kind of item it is (media, clothing, electrical) and the starting price you want to list it at.
• If you want extra features you’ll have to pay a little more – like a gallery, or the ‘buy it now’ feature. It seldom costs more than 50p, but check here to get the exact amount. These fees are all payable upfront before your listing goes live.
• After your item has sold, you then have to pay a Final Value fee to eBay. This is 10% of the final sale price up to a maximum of £40. Check out the final value fee table here.

Payment

The final things to decide on are payment and postage. Offering your buyers the option of using PayPal is a must, as it’s the second most popular online payment method (after Visa) worldwide, and first in the UK. PayPal is owned by eBay so the process is integrated and smooth.

PayPal means you can accept debit and credit card payments over the internet, the transfer of funds is completely secure and very fast which means you can get your money quickly and send the item out promptly, which will improve your feedback rating.

You can also accept cheques or postal orders to maximize the amount of potential buyers, but these methods take longer and are generally unpopular.

Remember: just because something seems too large, impractical, or expensive to ship, it doesn’t mean you can’t sell it. Simply offer the “collection in person” option – this means that the buyer and seller can find a convenient time for the item to be picked up. Buyers are usually willing to travel if the bargain is good enough and it give you the option of settling payment cash-in-hand.

What you’re going to charge for postage doesn’t have to reflect what it’s really going to cost you – but cheaper postage will encourage people to bid on your items, so before you post your listing, get down to your post office and work out how much it will cost to send in the UK.

Remember to check how much international postage will cost if you don’t mind selling to international buyers.

Completing the sale

Once the listing has ended and you’ve got a buyer, you’ll both receive confirmation through your eBay account. If you’re using PayPal, then you’ll get an email when they’ve paid, and you can post the item soon afterwards.

Never post an item if you haven’t received payment. If they’re paying by cheque this means waiting until the cheque has cleared and the money is in your account.

You’ll then get an invoice from eBay for your final value fees. The most convenient way to pay your bills is through PayPal, you can do this by signing up for automatic payments. Your fees will then be deducted from your account no sooner than 15 days after you received an invoice.

Alternatively you can make one-time payments via PayPal, direct debit, credit card, or with a cheque or postal order (although the latter is tedious and more expensive).Any account balance over £1 requires payment in full each month. If you don’t pay after reminders and warnings, eBay will freeze your account and then send the bailiffs in.

If you don’t sell the item then you won’t have any final value fees to pay and you can relist your item for free (as long as it sells the second time – then you’ll get the second relisting fee refunded).

Once the transaction is complete your buyer will leave feedback that will have an impact on your feedback score, so it’s up to you to make sure it’s all positive. Buyers will leave you a 1-5 star detailed seller rating on item description, communication, dispatch speed, and fairness of shipping charges.

Remember: if you establish yourself as highly-rated seller, you’ll be all the more likely to attract new customers and ensure loyalty from those who have bought from you in the past.

Useful links:

• eBay
• PayPal
• Related article: Do I have to pay tax on my extra income?