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Wholesale info

Updated on January 30, 2014

Wholesale, jobbing, or distributing is often defined as the sale of goods or merchandise to retailers, industrial, commercial, institutional, or other professional business people, or to other wholesalers and related services, sometimes called the middle person, middleman or distributor… In general, it is the sale of goods to anyone apart form the standard buyer which would only buy one of the product.

The resale of new and used goods to retailers, to industrial, commercial, institutional or professional business users, or to other wholesalers, or in which involves acting as an agent or broker in buying merchandise for, or selling merchandise to, such persons or companies this is known as wholesale.

All the wholesalers frequently stock up on goods, that is if they have a reliable source to buy from, they will assemble, sort and grade goods in large lots, break bulk packages down, repack and redistribute it to the world in smaller lots.

Wholesalers big or small that sell products, will usually only operate from independent premises, but if you are after foods in wholesale, these can take place at specific wholesale markets where all traders are congregated.

In the traditional ways, wholesalers were much closer to the markets they supplied, rather than the source they got the wholesale products form.

But since the launch of the internet, it opened new million pound online opportunities for wholesalers and sellers of all sorts, its gave big wholesale companies a chance to get closer to the supplier rather than the buyer. This way all they have to do is take orders and ship them out.

Some of the companies that have done this are: Chinavasion, Qwnta, and one you might have herd of before Salehoo, and Modbom, many of these offer a drop shipping service to individuals and big or small companies.

Wholesale in the banking industry, usually known as wholesale banking, what they do is provide tailored services to only large companies, in contrast with retail banking, providing standardized services to large numbers of smaller customers.


Wholesale merchandise is the term used for product sold for at or below the original cost. Once a product is removed from a retail store, it is then repackaged or refurbished then sold or liquidated at “wholesale” for a percentage of the original cost.

Wholesale is how surplus merchandise is sold, for the ones who don’t know what surplus is:(a quantity much larger than is needed) in other words, as such they are often end of line stock, surplus stock, returned stock or bankrupt stock that wholesale companies have too much of, that they cant sell them fast enough.

This kind of stock is a great way to kick start your online business or market stalls, eBay, Amazon, whatever way you earn your sales, surplus stock is a great way of earning.

Surplus stock highly recommended for beginners who have or are on a low budget to buy goods. As most surplus companies will let you buy in small amounts, also their crate items are much cheaper than wholesale lots.

How drop-ship works.



One thing to watch out for and stay way from: is drop shipping services, there are companies out there offering you to drop ship for them. Basically what they are doing is getting you to sell for them, it might sound all good and that but from my point of view it is really not good at all.

Unless you know a trusted drop shipping company with good stock, and a reliable delivery schedule, prices that you can work with then go for it use it, you might do well. There is a few reliable drop shipping companies, but you just have to do research on what kind of items they sell and how much it will cost you, as they wont let you see this before you pay the fee.

Most drop shipping companies online will ask you to register and pay an activation fee between £30 to £50, some will make you pay this every year or every month at a lower price than stated above. In return you get access to all the product listings and prices.


Then you will need a website or a blog in which you can sell the products from. You can also use eBay or Amazon to sell your drop shipping products, as you don’t stock the products yourself the drop shippers do this for you, be very cautious on what company you use.

If you don’t research the company, there will be a chance that the item someone has just bought from you, wont get delivered, or maybe they will get wrong, broken item or not as described.

You don’t stock any product when drop shipping, you aint got no control over the delivery times, or control over the condition of the items, that is why would never recommend drop shipping to anyone.

Reliable wholesale and dropshipping directories

  • SALEHOO: This site is a wholesale and drop shipping directory where you can find thousands of companies that have been approved and checked out.

But of course there's a catch, you have to pay them a monthly fee to have access to the directory. Last time i was on SALEHOO the monthly charge was about £4.99 and you will get access to at least seven thousand wholesalers and drop-shipping

  • THE WHOLESALER UK: Is for all types of retailer, shopkeeper, mail order companies, online shops, market traders and so on, check it out, this one is for free but theres not as many websites listed.

watch this video very good info on how to start on ebay


Wholesale companies often will not be required to charge there buyer with sales tax, but though most times they are required to, they will also charge some kind of special wholesale tax.

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