Low volume individual w/stealth account -> 6-figure LLC -- Anyone done this??

[noob_to_llc]

I am trying to transition from selling as a tiny individual using a couple stealth accounts to an LLC so I can comfortably sell $100k-250k/year on eBay without having to worry about eBay shutting me down. I'm prepared to register an LLC or S-Corp, pay associated fees, get EIN, pay for UPS mailbox for returns, etc. if it means I can do significantly more volume and deduct expenses. Have missed out on too many opportunities simply because I haven't had the confidence I could sell so much stuff without eBay shutting me down or be at risk of getting audited due to the large amounts of money going through my personal bank account.

I've been putting this off forever so I thought I'd start by asking for a little guidance from others who may have been in a similar predicament with no significant business/accounting background.

What's the best way to go about this? Should I convert an existing stealth account and add my EIN, make one from scratch, buy one? Do I need a stealth account per-say if I'm using a new computer and IP if none of my information is fictitious? I'd like to be able to make use of automated listing tools so I can hire someone to handle much of the listing for me (something that is discouraged for stealth users typically). How do all these YouTubers pushing 6-figures on eBay manage without all of these stealth procedures?

[rsot]

Welcome to the forum - all the best as you master stealth

Get reading around the forums - topic has been covered

[agent006140]

are these Youtubers using stealth account or their own account?

[SaiJin]

Turn your account to business.

Talk to your CPA about handling it for taxes and what type of corp he'd recommend for you

[agent006140]

No one can advice with out knowing more of your situation-
first how did you end up in a stealth situation?
what did you do to get suspended?
if you do sell 6 figures with a stealth account and then Ebay /PAYPAL restricted you,you cannot ship as you have no idle fund to purchase merchandise.it can get ugly with all the disputes and chargebacks hitting your Paypal account,so now you would be on bad term with Paypal as well as Ebay.
As for your sales proceeds showing up in your personal bank account,and fear of an audit,I assume you mean IRS audit,thats a different matter/
IRS deems any incoming deposit outside your pension,SS,insurance,,inheritance,must be income related,so it wants a cut.
If you are like many of us,you should have plenty of taxable expenses to offset your income from selling,driving to post office is now what 54 1/2 cents ?
second phone is deductible,your health insurance ,supplies,repairs,depre of home office ,travel,meals,equipments,part time employee (you will be sending out 1099),property tax etc tec.postage,freight expenses.

[cmckim]

My lawyer and my accountant both suggested me LLC.

[agent006140]

Originally Posted by cmckim

My lawyer and my accountant both suggested me LLC.

dont mean t o pry,what makes y ou think you can sell 100,000 plus worth of goods on Ebay?
how did you g et suspended in the first place?

[noob_to_llc]

Originally Posted by agent006140

dont mean t o pry,what makes y ou think you can sell 100,000 plus worth of goods on Ebay?
how did you g et suspended in the first place?

Some idiot complained because I refused to ship to him due to his low feedback. Also had some shipments arrive late for $10 packages due to weather and I never took care of the negative feedback. I was a very low volume sellers so they banned me.

[rsot]

Originally Posted by noob_to_llc

Some idiot complained because I refused to ship to him due to his low feedback. Also had some shipments arrive late for $10 packages due to weather and I never took care of the negative feedback. I was a very low volume sellers so they banned me.

Ah, picture getting clearer - might try to spread sales across numerous accounts

[ebaystealth1974]

Originally Posted by noob_to_llc

Some idiot complained because I refused to ship to him due to his low feedback. Also had some shipments arrive late for $10 packages due to weather and I never took care of the negative feedback. I was a very low volume sellers so they banned me.

Sounds like you need a little more practice before you start selling 6 figures.

[agent006140]

Have you talked to Ebay and asked to be reinstated?
Rome is not built in a day,I saw one of the Youtube show where this guy works for Uber eat and also buy in cartons and sell whatever inside.
It is not how much you sold,it is how much you made,but then it is like what comes first,chicken or the egg,first we must sold something before we can count the profit.

[degsey69]

Originally Posted by noob_to_llc

Some idiot complained because I refused to ship to him due to his low feedback. Also had some shipments arrive late for $10 packages due to weather and I never took care of the negative feedback. I was a very low volume sellers so they banned me.

If you want to increase sales volume going LLC is the safest route both for eBay and PayPal and become a business seller. You will see that your limits will increase steadily and it is less of a worry.

One point of note, if you go LLC and a business account, you must retain a high customer service level, get fast and free and ship within 24 hours, respond to customers emails promptly and do not refuse to sell to a customer )you have seller protection in both eBay and PayPal). It all about the seller experience and if you maintain high levels of service you will be safe and secure on eBay.

last thing, if you really do not want to sell to someone just cancel under address not deliverable and t does not go on your metrics, you may may get a negative feedback but you will not get suspended.

[agent006140]

more sellers will use the excuse -buyer ask to cancel the order,which pisses the buyer more !

[agent006140]

if you are telling the truth why you are suspended,these sound rather petty and you stand a chance of being reinstated,so why not pick up the phone and ask?
Unless by calling Ebay,it causes your stealth account to be suspended?
then you will have no account stealth or no stealth