How to calculate your eBay profits

eBay Doctor: How much does it cost to sell on eBay? – Episode 7

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This tip will teach you how to calculate your REAL profit.

When I first started selling on eBay, I was working from home and my profit calculation was very simple—at least that’s what I thought. I didn’t take into consideration some of the most basic expenses, such as returns and bookkeeping.

Let’s look at this example:

You sold an item for $100.

Minus your cost, minus eBay and PayPal fees, your profit is $7. You’re selling 200 items per month, so your monthly profit is $1400. But let’s say you had 2 returns—that’s already $200 less for your bottom line.

And what about other expenses such as bookkeeping, advertising, fraud, ebay store fee, listings design and so on?

When you calculate your profit, you must take into account ALL types of expenses, including the yearly ones. Only then will you have a clear idea of your bottom line profit.

Thank you for watching. I’ll be back next week with more tips to help you sell more on eBay.

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