Reached 10k revenue per month, what documents do I need?

[Dragas63]

Hello, I was wondering do you need any documentation when you reach 10k revenue per month on eBay? So that your account would stay legal and wouldn't be suspended.

Thank you.

[james_112233]

You don't need anything until you need it.

IF and WHEN you are reviewed you will need to have everything prepared and in order. (ID, Proof of Address, Supplier invoices, Tracking to show delivery)

Doing 10k revenue a month on a brand new account is also impossible unless you are given high limits from the get go, which is unlikely.

If you are selling on a previously established account you may not get reviewed but most likely will if it is something you have not sold before on that account.

[Dragas63]

My accounts is 5 months old, and I have pretty high limits and they keep raising it up with 350 positive review.
2,440 limit on quantity of items/£44,000.00 limit

I have ID, Proof of Address, Tracking.

But i do not have a Supplier as i ship everything from Amazon. And I think when they are gonna start asking i'm gonna have problems with Supplier Invoices any ideas where i can get them or how do i find "supplier"?

And i'm from UK do i need VAT?

Thank you.

[Dragas63]

Are there any threads about VAT's? Because i have no knowledge about it and need to learn to be prepared.

Thanks.

[james_112233]

Get an accountant. VAT is an absolute headache to even attempt on your own.

[Dragas63]

Any ideas how to get accountant?
How much it costs?
Where i can learn more about accountants?

As i mentioned before i am absolutely New to this VAT, accountant stuff. :D

Any information is appreciated.
Thank you.

[james_112233]

Expect to pay between £900-3000 depending on how much work you send your accountant. If you do all the book keeping yourself it will work out cheaper.

You can learn more about accountants by using Google. Approach some one local to you, who you can easily visit a few times a year if needed. They will explain everything.

[Pandoras_box]

Originally Posted by Dragas63

Hello, I was wondering do you need any documentation when you reach 10k revenue per month on eBay? So that your account would stay legal and wouldn't be suspended.

Thank you.

Is this a stealth account? Even if it isn't, at that rate, you'd be suspended at some point by PayPal for sure.

As regards an accountant, you should check on people per hour. For the amount of money you're selling, you should easily find an account that will be happy to earn £60 - 80 per month and that includes the cost to complete your self-assessment or helping calculate what dividend you take home every year.

[Dragas63]

Originally Posted by Pandoras_box

Is this a stealth account? Even if it isn't, at that rate, you'd be suspended at some point by PayPal for sure.

As regards an accountant, you should check on people per hour. For the amount of money you're selling, you should easily find an account that will be happy to earn £60 - 80 per month and that includes the cost to complete your self-assessment or helping calculate what dividend you take home every year.

Hello, no it's not stealth. It's business account. And i didn't had any problems so far i just want to be prepared ahead.

Why is it going to be suspended if I may ask?
I am not yet making 10k revenue per month.
My revenue is around 6-8k at the moment.

Thanks you

[Pandoras_box]

Originally Posted by Dragas63

Hello, no it's not stealth. It's business account. And i didn't had any problems so far i just want to be prepared ahead.

Why is it going to be suspended if I may ask?
I am not yet making 10k revenue per month.
My revenue is around 6-8k at the moment.

Thanks you

It's what they do when your selling history changes fast in comparison to some (internal) standards they've set.

The text below is pure speculation but at the back of my mind, I think it goes like this:

For example, in January you sell £200, Feb £500, March £1,500, April £3,500, and May £7,000.
At this rate, you could be flagged for manual review. If you have very little selling history, they'd be a little bit wary. Imagine you pack up and leave now; PayPal may be liable up to £12,000+
At this point it could go anywhere:
A. Let's check this seller out.
B: Permanently limit this seller for Xyz reason.
C. Limit this seller and hold all money as collateral until we check him out.

Again that's a guess but I do not think it's going to be far from that in reality.

Not everyone will have to face this sort of suspension but it happens. It could be as a result of how you run your account, stealth or not.



See these posts:
https://www.aspkin.com/forums/1089190-post1.html
https://www.aspkin.com/forums/1089650-post1.html

I personally would not hit £10,000 per month on an account unless it has quite a long selling history behind it.

At that point, I'd be approaching PayPal with a business plan an offer for account reserve.

[Dragas63]

Originally Posted by Pandoras_box

It's what they do when your selling history changes fast in comparison to some (internal) standards they've set.

The text below is pure speculation but at the back of my mind, I think it goes like this:

For example, in January you sell £200, Feb £500, March £1,500, April £3,500, and May £7,000.
At this rate, you could be flagged for manual review. If you have very little selling history, they'd be a little bit wary. Imagine you pack up and leave now; PayPal may be liable up to £12,000+
At this point it could go anywhere:
A. Let's check this seller out.
B: Permanently limit this seller for Xyz reason.
C. Limit this seller and hold all money as collateral until we check him out.

Again that's a guess but I do not think it's going to be far from that in reality.

Not everyone will have to face this sort of suspension but it happens. It could be as a result of how you run your account, stealth or not.



See these posts:
https://www.aspkin.com/forums/1089190-post1.html
https://www.aspkin.com/forums/1089650-post1.html

I personally would not hit £10,000 per month on an account unless it has quite a long selling history behind it.

At that point, I'd be approaching PayPal with a business plan an offer for account reserve.

Hmmm i see what you mean.
What if I keep my revenue around 6-8k for couple of months, and i'm not planning to quit. In that time I will find suppliers start selling their stuff as well, get the invoices. Do you think this might lower the risk of suspension?

By the way my eBay and PayPal accounts are around 5 years old, but i started selling just 5 months ago, but I used to buy on eBay before with the same account and used PayPal as well for various purchases and transactions, so I have a pretty long history with both of them. Does this impact it somehow?

Thank you.

[Pandoras_box]

I think it would be challenging and somewhat unfair to recommend you stay below a certain threshold to avoid a suspension with a legit account selling legit stuff. Quite frankly, that will be limiting your account potential. I mean, we do that will stealth accounts but a legit account? That's something else.

If you're not doing any VERO stuff and everything about your account is just right, I'd say you have at least two choices:

1. Keep doing everything you're doing now including looking after your customers, attending to cases on time etc. but more importantly, start collecting invoices, bank statements and any other paperwork that pertains to your business. That's what PayPal asks for when they apply a limitation.

As regards eBay, keep your customers happy and don't leave messages unattended. Generally, just under-promise and overdeliver in every aspect of your business whenever you can afford to including shipping.
Pay your eBay fees sooner than monthly. <--- this is by far the foremost way to bulletproof an account as long as you're not breaching any policies.

2. Approaching PayPal with a business plan, docs and an offer for account reserve.