There are many business-savvy persons that have created a business out of reselling. JV Ortiz is one of them, he brings his insight on a side hustle that's been successful in the bold world of sneakers. It involves buying and reselling and based out of Brooklyn, NY. For over two years, he has been in the same business he ventured on since quitting his real-life job, and now brings in up to $10,000 per month. He believed he had an entrepreneurial ambition and a hustler's mindset and realized that in the business realm, people were paid based on their trading performance to become self-made millionaires.
Like any smart entrepreneur, he established strategies for his new business. His first strategy was to Buy Low, Sell High. This meant buying items at less than a fraction of his selling price. His Second strategy was to "piggyback", or join in on the popularity of existing brands because he thought there was no need to build a brand from the ground up. With a determined focus, he set out for local thrift shops and discount clothing stores looking for brand name items that he could sell on the popular online global marketplace, EBay. As a result, he determined that his third strategy was to set steep discounts. He did his research and determined that he would need to make large discounts in order to beat the online market on the items he was venturing on.
For starters, he decided to make one-dollar shirts his first profitable flip. He picked up shirts for one to two dollars at thrift stores and sold them for $10 each. At this price, he made five sales per week and earned $50 per week. This rate was profitable, but he still did not feel he was making enough money. He researched and found that high tickets items would bring in more profits, but would not bring in upfront investment, so he ditched the idea.
His next and final venture: the sneaker aftermarket. After searching on Ebay, he found that brand name sneakers, such as Nike, were going for $1,000+ and the retail buying cost was only an affordable $350. This exceeded his profit goals and helped him readopt the idea of selling high ticket items. His money goals: sell one pair of shoes at $500 per week, or for a lucky streak, double that amount per week, or even a day! He started off his venture with a $190 pair of Jordans, which went for $300 just after several hours. After fees and taxes, his first set of profits was at $80.
Four months into the business, he bought $900 shoes and flipped them for a $200 profit, learned how to secure $1000 shoes, and was able to clear a huge $10,000 by the end of the fourth month. He states his biggest accomplishment was staying on top of sneaker news. He follows sneaker and fashion publishers to determine new trends, and what shoes to buy that month. He also made it a habit to immerse himself in the local sneaker community to discuss what people are wearing and what they're talking the most about.
Some common mistakes that one can encounter in the reselling business are spotting fakes or unauthentic shoes, and technical problems with online money accounts, such as Paypal. When receiving unauthentic products, it is recommended to get your money back from the seller immediately. To prevent it, there are many online resources that teach how to spot fake shoes, and you can also request high quality photos, receipts and an authenticity card from the seller. For Paypal, it is best to notify them in advance of account activity and large amounts of money. These two solutions require patience and caution.
The last priority for resellers is managing their inventory. Of course, this will be a success if you haven't already sold out. It can be a hassle to store and track outdated inventory, that hasn't sold after some time. To fix this, focus on new releases, letting go of old product and turning cash over to reinvest in the next flip.