If you want to start an e-commerce business, opening your own eBay store can be a great way to do it. With 134 million active buyers on the platform, eBay provides access to a global customer base. Here are nine steps you’ll need to take to start an eBay store.

[Read more: How to Start Selling on Amazon

Decide what to sell

The first place to start is deciding what you’ll sell in your store. Starting with a narrow niche can help you build authority and differentiate yourself in a crowded marketplace. For instance, instead of listing all types of jewelry, you might focus on handmade beaded necklaces. Once you develop a reputation for quality in one area, you can expand your product line.

[Read more: Amazon Business Bent on Being the Go-To B2B Platform]

Register as a business seller and understand eBay’s tax requirements

Next, you’ll want to register as a business seller, since these accounts give you access to advanced selling tools, bulk listing options, and detailed analytics. You should also familiarize yourself with eBay’s tax obligations.

In the United States, eBay automatically collects and remits sales tax for most states, but you’re still responsible for reporting income to the IRS. As your store grows and sales increase, you’ll also need to track quarterly estimated taxes and business deductions. Setting up a separate business bank account and bookkeeping system makes managing your tax obligations easier.

[Read more: What Is Amazon Accelerator, and Is It Right for You?

Set up and name your store

Once you’ve selected the product(s) and registered as a business seller, it’s time to set up your store. You’ll need to choose a subscription plan — beginners often start small and upgrade as sales increase.

Naming your store is also critical. Pick something clear, memorable, and aligned with your niche. Once you’ve chosen a name, eBay automatically generates a store URL you can use for marketing outside the platform.

[Read more: How to Open an Amazon Store: Advice from People Who Have Done It

Add your inventory with high-quality listings

Your product listings determine how buyers perceive your store. eBay allows up to 12 photos per listing, and it’s a good idea to include as many photos as possible. Include crisp, high-resolution images taken from multiple angles. Since customers can’t inspect the product in person, photos are their only way to gauge its quality.

Each listing should also include a detailed description optimized with relevant keywords. This helps your products appear in eBay’s internal search results and on Google. Take time to research how similar successful listings are written and borrow their best practices.

[Read more: How Small Businesses Can Leverage Amazon Prime Day All Summer Long]
 

To maintain a strong profile and reputation, ship items on time, respond quickly to questions, and resolve disputes fairly. Communication goes a long way to keeping customers happy.

Determine your pricing

Pricing makes or breaks your sales. If you price your items too high, you’ll lose potential customers to competitors. However, price your products too low and customers may question the quality. The best approach is to research recently sold items in your category to establish a realistic range.

You can also experiment with eBay’s auction-style listings for rare or high-demand items so buyers determine the final price. Over time, use data from your own sales history to fine-tune pricing strategies.

Create a scalable fulfillment plan (DIY vs. Managed Delivery)

Shipping is a big challenge for many new sellers. In the beginning, you may package and ship items yourself. This works well when the sales volume is low, but as sales steadily pick up, fulfillment can eat up too much of your time.

When that happens, consider using Managed Delivery, eBay’s end-to-end fulfillment service. eBay’s fulfillment partners will store, pack, and ship your items for you. While it costs more, outsourcing fulfillment with Managed Delivery can help you scale your business without sacrificing customer service.

[Read more: A Step-by-Step Guide to Building an Amazon Store]

Maintain a good seller profile

As sales increase, previous customers will leave reviews, letting other people know what their buying experiences were like. Your seller profile is your online reputation, and even a few bad reviews can significantly impact your sales.

To maintain a strong profile and reputation, ship items on time, respond quickly to questions, and resolve disputes fairly. Communication goes a long way to keeping customers happy. Top-rated sellers may also receive fee discounts and boosted visibility on eBay.

Track profitability and fees

Running an eBay store involves more than just making sales — you need to ensure it’s profitable. But between listing fees, final value fees, payment processing charges, and shipping costs, your margins can shrink quickly.

You can stay on top of your finances by using eBay’s built-in Seller Hub to track fees and sales performance. You can also maintain a spreadsheet or use accounting software to log expenses, shipping supplies, and taxes.

[Read more: What Is An Amazon Business Account and How Do I Open One?]

Build your email list

While eBay gives you access to millions of buyers, you shouldn’t rely on the platform alone. Building an email list allows you to nurture customer relationships outside eBay. Start a weekly or monthly newsletter in which you announce new products, highlight promotions, or share useful tips related to your niche.

An email list also acts as a safeguard if marketplace rules change or your account is restricted. By owning your customer data, you maintain a direct line to your audience.

CO— aims to bring you inspiration from leading respected experts. However, before making any business decision, you should consult a professional who can advise you based on your individual situation.

CO—is committed to helping you start, run and grow your small business. Learn more about the benefits of small business membership in the U.S. Chamber of Commerce, here.

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