Lots of focus is currently on the gloomy economy, I seem to hear/read the phrase ‘credit crunch’ a couple of times every day! With companies listed on the FTSE losing value fast, retailers complaining of ‘tough trading conditions’ and capital harder to come by you would think now is not an ideal time to start up any business. These negatives actually make a business using the dropship process look a lot more attractive and make now as good a time as any to start a business dropshipping products!

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No matter what type of business you run getting momentum is important, this drives your business on and fills you with confidence. Getting your first order is a fantastic feeling, the small amount of profit doesn’t matter – it is the fact that a web surfer has found your website from the comfort of their home, navigated around, found a product they like and had enough confidence in your service to checkout and hand over full payment for the product!

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What is a middle-man? A middle-man is a website which claims to be a dropshipper, however in reality they are not the actual dropshipper, they take your order and pass it on to the real dropshipper adding their own profit margins in the process. This may not be illegal but it is bad for the dropship industry because of the squeezed profit margins and problems that occur.

What is a Scam? This is when a website just takes your money and runs. This is illegal and it is important you avoid falling for a scam.

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All business platforms have negatives and positives. Dropshipping has its share of negatives, but the positives definitely outweigh the negatives. Here are 5 positive factors about dropshipping compared to running a business via traditional bulk buying and selling.

1. You have the ability to start an online store with very little inital investment. Every business needs money to start-up, however the low cost of domains, free ecommerce software and various methods of free promotion mean you can start selling products online using only a small sum of money.

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Here is a situation many online sellers have found themselves in:

You come across a dropshipper who on the face of it looks quite good; flashy design, profit promises, fancy product pictures etc. But you want to actually experience the service first hand before using them as your dropshipper for your hard earned customer base.

So what do you do?

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