It’s always a scary experience when you’re given two alternatives and have no clue which one is better for you. Almost everyone who sells on eBay has embarked on this adventure at some point. That was while you were registering for your eBay seller account. There is often some confusion at first since eBay provides two alternatives, eBay Business account vs Personal account.
In this article, LitCommerce will clear the air once and for all on which eBay account type is most suited for you if you want to establish yourself as an eBay seller:
- eBay business account vs personal account – an overview
- The difference between eBay personal and business account
- and Steps to change eBay account to business
Let’s scroll until the end for a comprehensive comparison of eBay business account vs personal!
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eBay Business Account vs Personal Account – Overview
When you kick off a seller account on this one of the top marketplaces for selling products, you have two possibilities to choose from. Of course, you only can choose one of them:
- eBay Business Account;
- eBay Personal Account.
Let’s go into detail on each option!
Are you new to the eBay marketplace? If yes, don’t skip our article “Is selling on eBay worth it“!
#1. eBay business account
Known as one of the best selling platforms in the market, eBay is suitable for any online merchant looking to make bread and butter online. If you are about to go live on eBay to deal in volume transactions or resale things, deciding to create an eBay business account is what you should go for.
Whether you want to register as a seller on eBay but aren’t sure if you should, look for these 6 signals in your sales.
- Reselling: Assume you are a reseller who wishes to list multiple items on eBay and sell them at high volume. The first thing you should do is convert your eBay account to a business.
- Manufacturer: Getting a business account is smart if you develop the things you’re offering on eBay (which implies that you’re already a manufacturer).
- High sales volume: If you are a seller that deals in large amounts of transactions on a regular basis, a personal account will not suffice. Registering for a business account will lower the eBay fees placed on your items and sales while also opening up several additional avenues for your firm’s development, such as having an eBay shop.
- Selling products that aren’t for your own purpose: When selling products on eBay that you purchased for the intention of selling rather than personal use, you might consider converting to a business account. It may be advantageous in the long term, allowing you to save taxes.
- You work as a sales assistant: If you meet specific selling conditions, eBay will allow you to sell to others. So, if you’re working as a selling assistant on eBay, it’s strongly recommended that you open an eBay business seller account. Selling things for other companies on eBay is almost identical to selling your own products.
With a business account, you may be more flexible in terms of the number of listings you’ll be expected to manage by the product owner.
- Purchasing for your company: If you are purchasing things for your company, you should open a business account. For the things you want to sell on eBay, eBay allows you to do searches using keywords such as “bulk,” “liquidation,” and so on. It enables you to easily purchase and resell the same item on eBay.
#2. eBay personal account
When it comes to the difference between eBay personal and business accounts, an eBay personal account is often used when you want to sell on eBay casually as a hobby and just list a few personal items. The items are either antiques or inactive and unused.
To summarize, if you do not intend to sell on eBay for professional reasons, you should consider opening an eBay personal account.
A topic that is worth reading: eBay Suspended Account – How to Get It Back?
eBay Business Account vs Personal Account: Pros and Cons
Each type of eBay account has its own advantages and disadvantages. Therefore, it is difficult to confirm between personal vs business eBay accounts which one will be a better start. There is only the most suitable choice for the demand and orientation of your eBay online store. Let’s stay tuned, and you will get something beneficial!
There are several benefits of an eBay store, and it’s the same story with the eBay business account. Followed are some eBay business account pros and cons that may help you expand your eBay business. In case you want to test various accounts on this platform simultaneously, come and check our guide on how to manage multiple eBay accounts.
eBay business account pros and cons
First, let’s take a look at the benefits of an eBay business account:
- Have brand priority: When you sign up for a business account, you not only receive a better and more updated listing, but you also have access to a variety of subscriptions. Those may be used to improve your prospects for sales, promotions, and other perks that eBay provides to its sellers.
- Protected by legal: When you sell on eBay personal accounts on a regular basis, you’ll find it difficult to handle your taxes and revenue when the time comes. In contrast, you may give your sales a legal identity with a business account. All of your invoices and bills will be associated with the company name you choose.
- Have a high selling capacity: Business accounts also lift many restrictions that are put on personal accounts. One of the most beneficial thing about eBay business account is that sellers can sell as many listings as they want, while eBay personal account lets you sell under 10 listings.
- Access better tools and promotions: Various programs, such as Promotion Manager, Selling Manager Pro, and others, may significantly increase your sales when you choose an eBay business account.
However, there are still some disadvantages of an eBay business account. Converting to a business account does not ensure that you will have immediate access to all of the selling tools available on eBay.
eBay personal account pros and cons
eBay personal account seems to have fewer benefits than a business account. Stop! This statement is not correct in all cases. When you use a personal account effectively and reasonably, it will bring 2 significant benefits you need.
- Save tax: It is a fault if you do not mention that you will save many fees for tax. Obviously, when you run a personal account, you mustn’t pay double the tax as a business account.
- Spend less time and money on your eBay store: If you have other jobs and only sell on eBay for fun, a personal account will require less time and money to focus on. You do not need to promote marketing campaigns and spend much money on Ads.
However, the biggest disadvantage of eBay’s personal account is the limit of 10 listings. When you have more than 10 listings, you must pay much more.
Although the benefits of business accounts seem to outweigh those of personal accounts, business accounts are not always the best choice. Especially when you do not have the desire to develop a long-term store on eBay, money spent to invest on eBay will be quite difficult to make a profit.
The verdict:
In conclusion, register a personal account when doing business on a small scale. On the contrary, if you want to grow your store, you should switch to a business account to receive the full benefits that eBay offers to business owners. And don’t forget to consider the Shop package that suits your financial ability.
How to Change eBay Account to Business?
After the comparison of eBay personal vs business account, now that you know all the pros and cons as well as the differences between the two eBay account types, you might want to switch from the eBay personal account to a business one. Here’s how you can do it within simple steps:
- Select the My eBay tab.
- After choosing the My Account header, click Personal Information.
- Click the Edit button. It’s right next to the Account Type.
- On the Change Account Type screen, choose Business.
Fill out the form for the Business account, then click the Change to Business Account option. Congratulations, you’re ready to get off the ground and take your business to the next level!
You might want to read also: How to Delete eBay Account – A 5-minute Guide for All Sellers
eBay Business Account vs Personal Account – FAQs
- What is the difference between eBay business and personal account?
To put it simply, an eBay personal account is used to sell a few personal listings while a business account is used to sell a large number of listings.
- Is it cheaper to sell on eBay as a business?
An eBay business account will not be cheaper but be much more profitable when you want to scale your business. Basically, eBay fees include a listing fee (also known as an insertion fee) and a final value fee when your item sells.
When creating a business account, you will be able to choose a Shop package that is suitable for the size and orientation of your business. Depending on the package you choose, the cost will be different.
Meanwhile, if you use a personal account, you will have to pay for each listing when you have more than 10 listings. If you want to sell a big number of items, it will cost much more. Don’t worry about the first difficult startup period, you can use a personal account first. Then change to a business account whenever you need by the steps above.
- Is it worth having an eBay business account?
Yes, definitely. It is worth having an eBay business account, especially in 2022. When using an eBay business account, you will receive many benefits and priorities compared to a personal account. As mentioned above, an eBay business account will help to increase brand displays, have legal protection, more listings limits, and tools to promote your stores…
- Should I separate my eBay accounts for business and personal use?
It is recommended to use two accounts, one for selling and one for buying. In case you make a purchase and there is a conflict with those sellers, you will avoid cases of retaliation in your store.
It seems to cost a little more to run 2 accounts at the same time, but it will protect your development.
Any eBay Selling Account Type Can Affect Your Business Success!
It’s clear that, among the eBay personal vs business account, business accounts stand out. It provides access to superior facilities, larger selling limits, and instruments that would otherwise be unavailable.
You may also connect eBay with other selling platforms like Shopify, WooCommerce, Etsy, Amazon, etc., to swiftly expand your consumer base and generate more sales. To make administration easier, utilize a multichannel selling solution like LitCommerce to track everything in one single location.
LitCommerce will assist you in speeding up the selling process by eliminating a large amount of repetitive effort and automating complex operations. If you want any other information, feel free to contact us!
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