Expert: Marvinator - 9/10/2007

Question
I just spoke with a local business that will place my item
on ebay.  They named the numerous fees that I'll be charged, plus they indicated they charge a 25% fee for the
amount of the sold.  I this a fair marker percent fee?

Answer
Yes, 25% is about average. Ebay has an entire section called "Trading Assistants", who are basically people willing to sell your items for you on eBay.  In many areas they must get an auctioneers license from their respective state/city/province, so you may want to ask them about their licensing.  There ARE those areas where licensing is not required for online selling but it's always good to ask about this.

Most trading assistants will sell your item with YOU footing the bill for the fees associated with the sale.  (Usually under $10, and can be as little as 35¢ USD) In addition, they charge a fee for the preparing the item for sale, photographing the item, writing up the auction, listing the item on EBay, answering questions from prospective bidders, sending out end of item invoices, tracking and collecting the payments, packing the item for shipment and getting the item out to the buyer.  

Most trading assistants will charge between 15-35% of the FINAL value of the item.  This percentage is taken on the whole value, before fees are subtracted and without the addition of shipping fees.  Example: Your item lists for 9.99.  (Listing Fee: .45) Let's say it sells for $10.  (Final Value Fee 2.9% or in this example, 29¢)  Trading assistant fees are then 25%, or 2.50. The shipping for this item is 4.50 and the bidder pays a total of 14.50 to the Seller.  Subtract all the extras mentioned and your realized profits: $6.76.

If your item goes above $25.00, then the Final Value Fees go up also.  It would be a good idea to familiarize yourself with the fees so that you are informed when you go to list your item with a Trading Assistant.  The fees can be found by using the Header Bar at the top of every Ebay page: Click HELP - Click A-Z Index - Click F - Scroll down to click the link for the FEES Overview.  

Good luck with your sale!