Manufacturers make money by procuring raw-materials and turning them into a useful product through a process called value addition. Obviously, this business is a very lucrative one. The problem with such a business model though is that it would be very difficult to replicate it on an individual level. However, there is a different kind of value addition that can prove equally lucrative if done right. There are so many broken electronic goods that we see that are being sold off extremely cheaply as junk. Now, if you could repair this and turn it into a useful product that could go for some decent money when sold, it could easily land you a pretty profit.
Believe me, this is an extremely profitable business model if done the right way. Everyday thousands of people throw away their useless electronic items and buy new ones. You could get these at dirt cheap prices, turn them into fully functioning devices and sell them for just half the retail price of the product in the market. So how would you go about doing this?
If I were to go about putting this business model into practice, I would tap the power and reach of the internet to make my task of buying and selling easier. Have you heard of eBay? Of course you have. eBay is the leading one among all online auction websites where there are thousands of people from all over the globe actively involved in buying and selling goods. You only just have to get on to eBay and make a simple search for broken iPods, broken gaming consoles, broken cell phones etc and you will be pretty amazed at the number of people who are willing to give away their broken electronics at very cheap prices. On the other hand, you will also notice a lot of people selling used electronics at prices that are relatively much higher than the prices at which the broken electronics are sold. Do you see the opportunity here?
Now, the eBay interface is fairly user friendly and you will probably be able to find your way rather easily. Once you have identified a listing that you could probably bid at, you first need to ascertain if the advertised item is repairable. Don’t be afraid to ask the seller a lot of questions about what the problem with the device is and whether he has tried to get it repaired etc. You will find that a majority have not even tried getting it repaired. Next, go ahead and bid for the item and buy it from the seller while taking care that you bid only till a particular limit. Now for the repairing part.
You could either get the device repaired at a local shop or do the repairing yourself. There are a lot of guides and books available that teach you how to set right common problems with electronic items. Online tutorials and e-books will also help. Once you have dealt with a few items you will quickly learn how to identify common defects and get them straightened out quickly. When you are successful, go back to eBay and put it for sale listing it as used yet fully functional. Just make sure your reserve price is greater than what buying the item and repairing it cost you and remember to add appropriate shipping charges too. Since you will be selling it less than the retail price, you will find a lot of interest in your auction. Someone bids and you have made a clean profit!
This method of making money is extremely simple to understand and non-geeky. If you commit yourself to getting it to work and don’t allow small obstacles to bother you, you will soon find yourself making a decent chunk of money just repairing broken electronics. Best of luck to you!