How to Trade on Etsy November 11, 2008 | 10:00 am
Etsy art collection

Image by Sterin via Flickr

I’ve done a lot of trading on Etsy – my first year, when I was toddling through the birthing stages of my new business, trading got me through the holidays. My family loved it. It was definitely a top 10 hit year for me.

I also learned a lot of good things about trading, and by sticking to these rules, I’ve limited disappointment.

A few things to know before you get started:

1. There is no central trading post for Etsy traders. There’s an interminably long and confusing list on Etsy forums that I skip – Etsy is too large, the list is too long, and many people fall off of it too easily. Even attempted thread restarts don’t work. There is a group called Esty-Traders on yahoo that is very slow, and once in awhile someone will throw up a thread in the promos forum.

2. If you trade on Etsy, Etsy rules requires you to “purchase” thought Etsy. To simply delete your listing is viewed as fee avoidance.

3. Traded items are taxable – when you trade you should record the income and outgo value in your books as though a purchase was actually made.

So, knowing that, the way to conduct a trade on Etsy:

1. Search tags and check profiles. People who like trading usually indicate they do in their shop.

2. Expect some of your trading convos to be ignored. Some sellers see trading as “not business” and put their priority on customers paying in cash.

3. You will only get a trade when you have something the person you’re trading with needs or wants.  For instance, a lot of traders want to trade earrings, but I don’t have pierced ears and I’m not about to wear clips. That would be a no trade.

4. Some traders are open to higher-value trades, if they really value what you have to offer.

This is extremely important:

5. Treat your trade partner with the same respect with which you treat a customer, because that person IS a customer. Money went into the materials both of you used, as did time, as does postage. Use the feedback system and honor the transaction in an equally timely manner.

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3 Responses to “How to Trade on Etsy”

  1. capitolagirl Says:

    Good info. I’ve never traded on Etttsy and have wondered about the ins and outs of it. Thanks for your writeup!

  2. kim* Says:

    trading is fun but id rather not keep it recorded

  3. Diana Rajchel Says:

    Unfortunately, US tax law will be extremely unkind if you get audited and were found to have not recorded it.


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