Making money from Done deal.

Reunoy

Myself and a friend of mine came up with the idea of making money from buying and selling on Donedeal into a game. We (we and 6 friends) start off with a set price like 200 and see who can turn it into as much money as possible in 1 year. We would do this by just buying something we think is a deal and selling for more and keep going. Whoever ends up with the most money get 10 percent of what everyone else makes as a prize.

Has anyone else started making money from DoneDeal or Adverts?

jimmii

I did a good bit of trading on eBay back in the day made some good money out of it but the postal strikes put an end to it. Sounds like a fun competition.

punisher5112

Tax will be a killer if you want to be a genuine business.....

Good luck its a tuff business.

Reunoy

Yes it should be fun. How do they tell whether I am a genuine business or not. You get the option on Done
Deal to call yourself a trader or not?

jimmii

Reunoy wrote: »

Yes it should be fun. How do they tell whether I am a genuine business or not. You get the option on Done
Deal to call yourself a trader or not?

Its more about declaring the income at the end of the year than letting done deal know. What do you plan on doing? Over a year you should be a letter to get a pretty decent number.

iano.p

Sounds like a great game. There is loads of bargains on it. Now off to have a chat with my friends now.

sKeith

punisher5112 wrote: »

Tax will be a killer if you want to be a genuine business.....

Good luck its a tuff business.

You are allowed earn €1270 per year gains tax free so not much fear of that when starting with €200.
That'd be over 600% return. We'd all be investing in him.

Susandublin

Reunoy wrote: »

Myself and a friend of mine came up with the idea of making money from buying and selling on Donedeal into a game. We (we and 6 friends) start off with a set price like 200 and see who can turn it into as much money as possible in 1 year. We would do this by just buying something we think is a deal and selling for more and keep going. Whoever ends up with the most money get 10 percent of what everyone else makes as a prize.

Has anyone else started making money from DoneDeal or Adverts?

I was hoping this post was a year old so I could see the results. Great idea and best of luck with it. It's the type of thing TV3 would make a tv programme about!
A good idea would be to have a'done deal' shop which doesn't sell anything - people just drop in their items to be viewed and all purchases are made online - pretty cool idea too. You could also do this with adverts.ie as there are the two main players I think - and e-bay obviously! Make sure to update on progress as this is something I'd love to see followed up.

jimmii

sKeith wrote: »

You are allowed earn €1270 per year gains tax free so not much fear of that when starting with €200.
That'd be over 600% return. We'd all be investing in him.

I would have thought they will all be well past that at the end of the year. A big ROI is easy enough when the numbers are small!

Mrs OBumble

Reunoy wrote: »

Yes it should be fun. How do they tell whether I am a genuine business or not. You get the option on Done
Deal to call yourself a trader or not?

It's irrelevant whether you're a genuine business or not. You have to declare all income you make to Revenue.

But:
1) Tax is only on your profit, not your revenue. Profit = what you make minus what it costs you.
2) You don't have to hand over the first €1,650 of tax which you would be liable for, due to the single person personal tax credit. (Numbers in earlier posts are out of date, and don't explain things properly).

With a 20% tax rate, you can earn 8250 of profit and not pay any tax on it (assuming you don't have a job).

If you're doing enough business to make that much profit, then you will need to talk to an accountant.



Back to your original question, when something like DoneDeal was first introduced in the country where I come from, some people did indeed build businesses trading on it, in just the way you've described. One trick is to find things which people have accidentally listed in the wrong category, and which then get sold for less than they're worth. Buy, re-list properly, sell and the right price, and you make money.

Good luck with the game.

jimmii

Would be fun if you had a challenge log thread like they do on other forums so we can see how you get on!

Reunoy

Thanks for the positive feedback. I'm not sure how hard it would be to make above 5000 from this if you really tried. I mean, so many people on done deal put things up to de-cluter for a lot less than what the item could be sold for. Maybe I should approach TV3. Would be interesting with around 100 people.

jimmii

It would almost be like American pickers or salvage hunters just a little lower scale! I remember pitching a show a few years back they were pretty receptive to ideas it seemed and there was a bit of back and forth trying to make it work.

I saw some complaints elsewhere on this site about the people who pick up the stuff offered for free and then re list it for sale.

I thought it was a bit unfair - the person giving it away wants rid of it. The person taking it presumably has the means to collect, store and deliver it to someone else. A useful middleman.

The person who buys it is presumably happy to pay.

jimmii

[Deleted User] wrote: »

I saw some complaints elsewhere on this site about the people who pick up the stuff offered for free and then re list it for sale.

I thought it was a bit unfair - the person giving it away wants rid of it. The person taking it presumably has the means to collect, store and deliver it to someone else. A useful middleman.

The person who buys it is presumably happy to pay.

Yeh I see no problem with that. If you want rid of something quickly you pay to do so and they are effectively paying to do so in equity.

Reunoy

Ya nothing at all wrong with that, people like to whinge.

RossieMan

5000 from 200 in a year?

If it was that easy OP everyone would be doing it. You'll buy a lot of crap that youll make losses on, so probably won't be as easy as you think.

StupidLikeAFox

It wont be easy for sure. You will have to make lots of deals and misjudging one of those deals could set you back a good bit. But if you are only doing it for the craic I'd say go for it - you won't lose a whole lot. To paraphrase the famous business leader and entrepreneur, Derek Trotter, this time next year you could be a millionaire