How I Run a Profitable Reselling Business from my Computer [2 Sides of Online Arbitrage]

How I Run a Profitable Reselling Business from my Computer [2 Sides of Online Arbitrage]

so one of the questions that I get asked
very very frequently is which online arbitrage business model is the best for
me right which one should I get started on which Avenue should I spend the
majority of my money in my attention are on going forward and I can’t really give
a one-size-fits-all answer to most people because everybody is in a
different situation right you might have different amount of money to invest you
might be willing to wait on your return on investment a little bit longer than
other people right you might have time to do fulfillment and actually ship
orders out where some people don’t actually like to do that and they want
to leverage FBA and just source for Amazon right so there’s a number of
different things which you know are questions that I need to ask most people
before I diagnose and figure out exactly what business model Oh a wise is best
for them and that’s exactly why I give away a free onboarding call when people
hop into my online arbitrage Pro 3.0 course because I want to figure out
exactly where you’re at how much money potentially have to spend how much time
you’re willing to invest etc etc etc before I feel comfortable recommending a
particular business model or a couple of them which I think are best for you to
go okay so shameless plug before we get into this first link in the description
online arbitrage pro 3.0 you can get in for 50% off if you’re one of the first
three people to claim through that link and there are two sides of my online
arbitrage business now I don’t recommend this for everybody but I’m gonna break
down exactly how I approach it so you can understand the different nuances of
each one potentially and then hopefully take that information and apply it to
your situation so first and foremost I have two sides of the business like I
said right I focus about 50% of my attention and my spend on rebate
arbitrage and coupon arbitrage and then I focused 50% of my of my spend on both
the old books wholesale and liquidation depending on the time of the year and
what I’m focused on so first and foremost about 50% of my spend goes to
rebate arbitrage and coupon arbitrage if you don’t know what those are
rebate arbitrage basically means you’re spending for retail on a product you’re
getting full retail back so maybe I buy into a product at 20 bucks I get $20
back and then I have a free product to resell back on Poshmark Macari or ebay
as you see here which we’re gonna go over the specifics here in a second I
intend with these two business models now to resell back on ebay Poshmark
Macario okay so that is rebate Shosh coupon arbitrage you are literally
buying into a product that might be twenty dollars but you’re getting a
coupon code from the seller to maybe buy that product for 50 cents maybe a dollar
maybe three dollars it depends product to product now there are a million
different rebate sites there are a million different cap coupon sites
excuse me and I have playlists on both of them I will drop them at the bottom
of the description if you want to check them out and learn a little bit more
about them and some of the websites that you can source from now like I did say I
spend about 50% of my money in my time focused on rebate arbitrage and coupon
arbitrage is the reason being yes I do content creation and that pays me very
well right I do I create courses we all know the premium of course that I just
plugged obviously I create udemy courses Skillshare courses courses all over all
over the place and they pay me very very well right and it’s passive income I
also do online arbitrage in a more scalable fashion like we’re gonna talk
about here in a second and I don’t need to invest as much time in fulfillment
but that said I still me personally still love the rebate in coupon
arbitrage business model when you’re fulfilling it yourself because it’s
basically free cash flow with barely any risk right so to outline some of the
benefits and the negatives and why I focus on this I do intend like I said to
resell these back on ebay Poshmark Macari you’re not selling these back on
amazon anymore I’ve covered why I don’t do that
some people do you can but that’s not something I want to get into today’s
video so I do handle the logistics when I do this right the distribution and the
shipping myself I get these products then I send them out through eBay
Poshmark Macari to those buyers literally myself I do it every morning a
lot of people are like oh I don’t have the time for this I barely have any time
you know regardless on what I do I’m sure you’re very very busy too that said
if I can do it it only takes me about an hour to source in the morning right for
all these things and do the fulfillment myself right package a few things up and
ship them in I got one dollar going out right here I got one right there I’ve
got a couple books over there that I’m fulfilling merchant fulfilled because
I’m trying to go after maximum approval on Amazon so it barely takes me any time
in the morning and any it can be anywhere from like two items all the way
up to like 20 depending on the day at the end of q4 it was really getting kind
of out of hand and it was taking me like two hours but that’s not most days okay
so it is easy it’s very very low risk and it’s consistent cash flow okay
because you’re getting products super super cheap or free to
your door barely spending any time to source them so you’re not going out to
like stores or Goodwill’s or thrift shops or anything like that or garage
sales and spending time and doing product research you’re literally
literally getting free and very very cheap products your door which you can
then resell back online for a hundred percent we’re very very high profit
margins I also use a cash back credit card to make extra money on those
purchases so there’s two that I recommend I’ll link them in the
description I think you can get like a fifty dollar credit or a forty dollar
credit depending on the on the card I haven’t looked into that in a while
it helps both of us out you get a credit on your statement so do I the one that I
use most of the is the discover it card the other one that I use is the Amazon
store card they both work very very well and they both give you high cashback
because a lot of these the majority of the rebate arbitrage and to keep on
arbitrage products if not practically all of them are gonna be purchased on
Amazon okay so like I said I use a cash back credit card to make extra money if
I’m spending like three grand a month on cashback or coupon products right and
I’m earning 5% well let’s do a little bit of math there right how much
actually is that extra that I wouldn’t have spent so three grand is you know
probably typical on most times and remember I’m not actually spending this
I’m just using it on my credit card getting the money back most of the time
and maybe after coupon products I’m getting like 2800 backer like 28 five
back or something like that so I’m barely spending any money for hundreds
of products so if we take three grand is when I’m spending even though I’m
getting it back and I get five percent on that three grand
that’s an extra one hundred and fifty dollars every single month just for
using a cash back credit card that you otherwise wouldn’t get if you did it
right so you use a cash back credit card if big if here if you’re responsible and
you can pay it back always pay it back don’t let it build up that’s a bad way
to go if you know if you’re not responsible
just use a debit card or use what you have you can use a credit card also to
track your cost of goods it’s another benefit of using that cash back credit
card that way you can literally at the end of the of the month or the or the
quarter or however you want to do it right or the end of the week if you
really want to do it weekly you can focus on okay this is your cost of goods
this is what you profited this is what you got back how profitable are you
right and I keep organized spreadsheets that cover this a million times as well
on this channel to track literally everything in the overall profitability
now it’s better doing it with this in rebate coupon arbitrage rebate or coupon
arbitrage excuse me because you want to track all those things you want to track
to see if you’re getting your rebates back that way you can kind of focus and
maintain that now every single website obviously tracks that for you but you
don’t want to trust the website that’s gonna tell you hey you got your coupon
code back or sorry you hey you got your cash back you want to track it as well
and make sure that you’re profitable also track your profit on each sale it’s
very very easy to do a lot of people this is another route that people
complain on it’s like I don’t have all the time to track it like I said I’m
very very busy I’m sure you’re busy very very busy – it doesn’t take very
long at all you can simply set up a spreadsheet if you guys any ever need
and I have spreadsheets for all of them including these ones like we’re gonna
talk about if you guys ever need a spreadsheet email me at Brian at invert
Medianet I popped that up on the screen for you for a reference right now simply
ask for the spreadsheet but make sure you give me a specific spreadsheet
sometimes people email me or they message me and they’re like hey can I
have an online arbitrage spreadsheet and I’m like which one like I do all sorts
of business models and they’re all slightly different so specify the
spreadsheet right say hey I want the bulk deal spreadsheet hey I want the
book spreadsheet hey I want the cash back or the rebate spreadsheet whatever
specify the spreadsheet and the online arbitrage business model or business
models right if you’re doing multiples that you want because they’re all
slightly different okay then the next thing that I do is I focus half my spend
and this is not getting any money back right this is literally spending into
products like normal arbitrage we’re gonna have to wait for that return on
your investment right so I spend fifty percent of my money and fifty percent of
my time focused on more scalable business models right so I have my cash
flow side of things with the rebate and coupon arbitrage where I do all the
fulfillment on ebay Poshmark and Macari myself and then I had the more scalable
side where I’m sourcing from my computer and shipping in FBA to leverage Amazon’s
FBA and distribution right so that includes things like bulk deal books
wholesale liquidation arbitrage all those depending on the time of year now
I’m getting more into wholesale and liquidation now because it’s past q4 and
it’s almost the end of book season but for a while there in q4
I was literally only focused on bolte on books because it was it was the end of
q4 so the bulk deal has a lot of top brands where you can flip and they flip
candy in q4 it’s still good now don’t get me wrong you can do both deal and
any of these all year long but at the end in heart of q4 was like both deal
was like crazy crazy profitable and they were flipping so fast right books same
thing right so the books flipped a little bit in q4 but really I was just
buying into a lot of inventory I spent thousands of dollars on books probably
from like September all the way into like early January and literally they’re
flipping like candy right now because it is textbook season so you want to be
prepared next textbook season I forget exactly when the textbook seasons are it
might be like April or May or something like that look into it there’s two main
ones and then there’s a summer one as well you can google that information
very very easily but what you want to do is you want to identify when that
textbook season is currently textbook season is running from like I think it’s
like mid to early January all the way to like mid February or something like that
roughly but the key here is you want to buy into book inventory ahead of time
and then ship it into FBA right before that window and mark all your products
up what that’s gonna do is because there’s so much demand during textbook
season for students to buy textbooks all that inventory is gonna gonna be sold
out and you’re gonna be able to sell it at higher profit margins and students
need those textbooks right so they’re all gonna resell they’re all gonna sell
for high margins and think about it I’ve been a student before myself right most
students at least the students that I know you know most of them have parents
or you know they’re just charging it up or taking out loans to buy these books
they’re not thinking it’s not like it’s their money most of the time right so
it’s not like they’re sitting there thinking on the internet like I gotta
find the book for like $10 less I gotta find the best deal on this book no
they’re literally going googling it or searching Amazon for the book that they
need if they don’t buy it in the store and they’re buying whatever one is on
the by box right so that’s the best way that you can make money on textbooks you
can make money on textbooks all year like I said that said you do want to buy
them ahead of time before textbook season and ship them all in pre textbook
season so that when textbook season hits boom you’re gonna profit thousands of
dollars if you have thousands of dollars in inventory I think I spent like three
or four grand I spent a couple grand I don’t know the numbers I’d have to look
at my spreadsheets right and I probably made at least double that back right so
you’re not gonna find a better return on your investment at that profitability
right so you’re spending like a couple great
to make a couple grand back literally like in a month it doesn’t happen like
that anywhere else if you’re doing both deal it’s you have to sell more units
right whereas books you literally can be profiting like a couple hundred bucks a
book if you’re buying good high-quality textbook so I’ve covered that many many
times like I said I’m gonna drop all these down at the bottom of the
description too so the bulk deal playlist along with the cash back in the
coupon playlist the book playlist the wholesale playlist and the liquidation
playlist all six of those playlists down at the bottom of the description if
you’re more interested in any one of these in particular right so I’ve
covered that before I’m not gonna get too too heavy into sourcing books in
this video but this is basically what I do right fifty percent on this because
it’s easy cash flow every single month basically free money and then 50 percent
of the more scalable side of business where I’m spending my money and letting
Amazon do all the film at the distribution the customer service and
I’m leveraging FBA and their employees time right with these specifically my
intention is the resell back on Amazon and I’m sourcing with specific product
listings in mind right so I’m looking for a book I’m finding that product
listing and I’m saying I’m seeing okay you know what is what is the the
competition on that look like how what’s the sales Wasi right is it gonna be
profitable reselling it back on that listing okay whereas the other ones I’m
focused on on reselling on other platforms eBay posh marker Macari where
this I’m specifically focused on reselling back on Amazon okay a little
bit of a discrepancy there right and like I said with that you’re able to
actually judge the potential sales velocity the competition and how deep
more importantly you want to go into inventory because you can obviously look
at the competition you can look at the Kiba chart right and you can also look
at the potential sales each month and how much it’s actually selling so you
know how many of that specific book were that specific you know product to buy
and ship in okay you can leverage FBA which is huge that’s why it’s way way
way more scalable now there are Hart higher ROI is here with both deals and
books and wholesale and liquidation although it is more risk because while
you can look at the you know the sales velocity and get a good identifier of
you know how much it’s selling and what the competition is you are not guessing
the wrong word but there isn’t necessarily a sure thing here you can do
everything you know obviously throughout the checklist checklists that I go over
in all the tutorials and make sure that you’re as close to you
know sure as possible but at the end of the day bestseller ranks change you know
competition changes sales velocity is gonna change and all that stuff changes
so it is a little bit more of a higher risk especially because you’re spending
actual money to make your money back whereas a lot of these if you’re buying
coupon products you’re only risking like a dollar or two here and there when
you’re buying rebate products you’re literally getting all your money back so
you’re only really risking your time to fulfill it whereas with these you’re you
are risking higher higher amounts of money right so if I’m buying into a book
that’s going to you know make me 200 bucks chances are I probably spent like
50 bucks to get that or like 30 bucks to get that or like even like 90 bucks to
get that whereas it can resell back on Amazon for like a hundred or 200 or 250
right so it is a little bit more higher risk and you do have to you know wait a
little bit potentially longer for your return on your investment now if it’s
both deal you might not be waiting as long but you might be spending like 15
bucks to make like you know five bucks after all the fees and your your product
sells right maybe you’re buying it for like 15 the product sells at 30 all the
fees and shipping into FBA you’re only netting $5 right so it is a little bit
more higher risk the the margins and the ROI is can be higher typically although
you do have to have less time one of the benefits though is you do have less time
invested with like listing and fulfillment and shipping out if you
don’t like that type of stuff right you can spend a lot more time and people
always ask me this is like you know how much do you how much time you spend
which what are the best websites use them all right but one of the best
things about this is you don’t you can spend a lot of time sourcing because
once you do find a couple of good products you can buy a lot of that
product whether it’s bulk whether it’s books whether it’s wholesale right if
it’s liquidation that’s a little bit different cuz you’re buying the pallet
but you can focus on the liquidation arbitrage playlist if you’re interested
in liquidation okay so I also use the cash back credit card and make extra
money on these purchases same thing and I also keep organized spreadsheets to
track everything and overall profitability
with these although I am looking into into an inventory lab to actually test
that out I don’t personally want to recommend that yet because I haven’t
actually set it up and and kind of mastered it myself but obviously if
there’s a good software out there like inventory lab or something that can
actually do that for you and save you time I’m a big proponent of that but I
want to learn it master at first or I’m comfortable recommending it to
you guys so I hope you like this outline that is the two sides of my online
arbitrage business one where I do the fulfillment but it’s less risk and it’s
easy cash flow and one where I leverage FBA and they do the fulfillment right
and it’s a little bit higher risk but a little bit higher returns on my
investment so hope you guys like this any questions drop them in the comment
section down below I would love to help you out

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About the Author: Oren Garnes


  1. ey man whats upp. Im 20 and studying electricity at the moment. I have barely a thousand euros in my bank account… Im from Spain. Some little advice for how can I make money online?

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