How Much Money Do I Need to Start Reselling Sneakers?

Starting a sneaker reselling business is an exciting opportunity, but a common question for beginners is: how much money do I need to start reselling sneakers? 

After researching and selling sneakers online myself, I’ve realised that the answer can vary, but there are key factors you’ll want to consider before diving in.

Initial Costs: What to Expect

When it comes to reselling sneakers, your start-up costs can depend on several things, including your initial stock, where you source your sneakers, and the platforms you use to sell.

Here's what you should be prepared for:

• Initial Inventory: The bulk of your costs will go towards purchasing your first few pairs of sneakers. The price can range based on the brand, condition, and rarity of the shoes. You might start small, buying just a few pairs, or you could invest more to build a larger inventory.

• Platform Fees: If you plan to sell on popular platforms like eBay, be aware that they take a percentage of your sales. Factor in these fees when calculating your potential profit margins.

• Shipping Supplies: Don’t forget the cost of packaging materials. Boxes, bubble wrap, and tape are essential to ensuring your sneakers arrive safely.

How to Start Small and Scale Gradually

One of the best things about the sneaker reselling business is that you can start small and gradually scale as you grow more confident and experienced.

1. Start with One or Two Pairs: Rather than purchasing a bulk load of sneakers, begin with just one or two pairs to test the waters. This way, you can get a feel for the market and how different styles sell.

2. Source from Multiple Places: It's important not to rely on just one source for sneakers. Keeping an eye on retail releases, online sneaker stores, and local resale platforms like Facebook Marketplace and Gumtree can help build inventory without overspending.

3. Reinvest Your Profits: In the early stages, reinvesting all profits from sneaker sales back into purchasing more stock is a smart strategy. Over time, this approach can help grow inventory without requiring a significant upfront investment.

Other Costs to Consider

Aside from the initial investment in sneakers, there are a few other costs to keep in mind when thinking about how much money you need to start reselling sneakers:

• Storage: If you plan on reselling a lot of sneakers, you’ll need a place to store them. A small storage unit or extra space in your home can work initially, but as your inventory grows, you might need more space.

• Time Investment: While not a monetary cost, reselling sneakers takes time. Between sourcing, photographing, listing, and shipping, be prepared to dedicate a fair amount of time to the business, especially as it grows.

How to Calculate Your Initial Investment

To give you a rough idea of what you might need to start, here’s a breakdown of potential costs:

• Sneakers: Costs will vary based on the rarity and condition of the shoes.

• Platform fees: Around 10%-15% of each sale, depending on the selling platform.

• Shipping supplies: Basic packaging materials like boxes and tape will be needed.

Final Thoughts: How Much Money Do I Need to Start Reselling Sneakers?

In the end, the amount of money you need to start reselling sneakers largely depends on how much you’re willing to invest initially.

You can start small with just a few hundred pounds, or you can go all-in with a more substantial investment.

My best advice?

Start with what you're comfortable with, learn the ropes, and reinvest your earnings to gradually build up your sneaker reselling business.

It’s a flexible business model, and with careful planning and a bit of patience, you can turn your initial investment into a thriving venture!