10 Things to Do BEFORE Dropshipping (AVOID Beginner Mistakes)

10 Things to Do BEFORE Dropshipping (AVOID Beginner Mistakes)


Do these 10 things BEFORE you start dropshipping so that you don’t lose money!
►► Free $10,000/Month ebook: http://wholesaleted.com/4-step
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►► Why Long Shipping Times Don’t Matter: https://youtu.be/sBuiN-CVxE4
►► 3 Ways to LOSE Money When Dropshipping: https://youtu.be/CcU95ItZwto
►► How to Pick Products: https://youtu.be/fKSalHjKhjc

#1: Check Shipping Times BEFORE Choosing Which Countries to Sell To.

A lot of beginners put “worldwide” shipping on their product listings and ship anywhere because they know that most Aliexpress sellers will ship worldwide. But this doesn’t mean as a beginners that you should do that. Why? Well, because some countries are problematic to ship to.

For example – shipping to the UK takes a long time. It will take 20-40 days for an item to arrive. Compare that to ePacket shipping to the USA which is 10-20 days. We strongly recommend as a beginner focusing on countries with shorter shipping times of 2-3 weeks, as this will cause less customer support issues.

#2: Create Your Own Store When Dropshipping. DON’T Dropship on eBay or Amazon.

A lot of beginners want to do Aliexpress dropshipping on eBay or Amazon because then they can save money and not have to set up a Shopify or Woocommerce store. However, we recommend that you don’t do this as pricing competition is fierce on those websites. Spend the extra money upfront to sell in your own store.

#3: Set Up an LLC (Company)

A very common question we get asked at Wholesale Ted is whether you NEED to open an LLC before starting a dropshipping store. The answer is that no, you don’t need to. You can sell without any legal paperwork. If you do this, you are by default a sole proprietor.

HOWEVER, while you don’t NEED to, it is a good idea to. By setting up an LLC you protect yourself legally in case you get sued. This is especially important for people that live in the USA.

But as it costs money to set up an LLC, not everyone will be able to afford this. If you can’t afford it, don’t let it stop you. It is optional.

#4: Make Shipping Times VERY Clear

We recommend that you add a shipping disclaimer (that the item will take 2-4 weeks to arrive) in the following places:

1) On the product page description (bold this).
2) On the checkout page.
3) In the purchase confirmation email.

#5: Create a Strong Refund Policy Page

Set up a refund policy page and note in it that you only accept returns for faulty/broken products. It is also industry standard to require customers ship the item back to you for a refund at their own expense. Include a link to this page in the footer of your store.

#6: Set Up a Follow-Up Email Sequence

Don’t just use customer’s emails for promoting products to them in newsletters: use this to keep the customer happy while they are waiting for the items to arrive. Send 3-4 follow-up emails over this period. In them do the following things:

1) Remind them about the shipping times of 2-4 weeks that they agreed to when they purchased the item from you.

2) Tell them that if they are having any issues they can always email you.

3) Remind them that they can track their order online, and give them a link to how they can do this.

#7: Run a Like Campaign to Your Facebook Fanpage

Before you run ads, set up a like campaign and get a few hundred likes to your store’s Facebook fanpage to add authority.

#8: Add 20 Products to Your Store BEFORE Testing Products

Do not get impatient and only add a few products to your store before running ads. This will make your store look illegitimate and you will create mistrust between you and your potential customers as it makes your store look half-finished. Make sure you add lots of products before running ads/tests.

#9: Have Either a Credit Card Or Money Set Aside to Purchase Items Customers Buy

When a customer buys an item from you, you will not get that money instantly. PayPal often holds money for up to 3 weeks. And Stripe pays out money weekly. So you need to make sure you have money set aside on a debit card, or have a credit card to purchase items the customer buys from you while you’re waiting for your money to clear.

#10: Be Prepared to Spend Money to Make Money

If you plan on running paid Facebook ads, then be prepared to test a lot of products. Don’t run a few tests and then give up if they don’t make you money immediately. Set aside a budget of a few hundred dollars and be willing to spend that while running lots of tests to find your winning products.


  1. So – who has any dropshipping questions? 🙂

  2. 9:39 #9 If we don’t get the money from Paypal instantly, how much do you think you should have up front? What if you have some but your product sells in the hundreds and you don’t have enough? Thanks for the video 👌

  3. So much value in your videos! Keep up the great work!!! Thank you 🙏. Love fr Malaysia

  4. Not true about LLC! If you hurt people you may be liable personally based on your actions.

  5. Sorry, doing teen things would get me in trouble right now…

  6. You’re videos are by far the greatest from all of the drop shipping gurus I’ve seen. You are very thorough with step by step direction and clear about the realities of drop shipping. Stay awesome!

  7. I actually love this channel so much your really break down the information and give us some good base knowledge I have learned so much for you and I'm on day 3. I know you have online courses but you don't go on about it like all the others you simply give the info. I'm actually thinking about purchasing your course as it would be super useful !! X

  8. Again..Good information but I CAN'T SEE the ads! Please BLOW THEM UP!!

  9. By creating your own website how can the customer prove your realibility?

  10. how about if i change my website name can i still switch my plugin to the new site?

  11. have spent more than 20 years developing a unique product* for which there is a huge "niche" market for but haven't a clue on advertising/promoting it. It will sell in the $150-$250 range and will sell everywhere so I am looking for someone that understands online marketing to handle the advertising and promotion of it – I just want to concentrate on the manufacturing side. Please contact me with your qualifications and lets talk!

    *Actually will be a family of products – FYI it will be a product success similar to The Littlegiant ladder story (but it's not a ladder).
    Many other product and business ideas.

  12. quick question: do online business software have different ST/VAT depending on country of delivery already plugged in, or is it to be done manually ?? TIA

  13. If I Have Women Accessories how can I Introduce it online , notice my location is in Canada , Alberta

  14. Hi thank you for your videos, I clicked on one of your videos on youtube about "beginners mistakes" at first I thought oh just another one talking nonsense but your videos are actually good , so informative and genuine . I really wanted to leave a comment as your videos are amazing and awesome accent by the way.

  15. Every time I know a DROP SHIPPERS ORDERS from me I always include an invoice ALWAYS! And if they leave a bad rating amazon removes it because I followed AMAZON POLICY😂😂😂😂

  16. Great video. people shipping to amazon FBA aren't buying from aliexpress. They are buying from alibaba at a bulk rate discount. So you can't easily compare the aliexpress supplier to calculate profit.

  17. i have seen this girl in some porn i guess , that was sister one , i dont know but there is great resemblance

  18. If you order in bulk you can negotiate a better price. That’s if you ship to an amazon warehouse. That’s probably what they’re doing and not losing money per sale

  19. I'm sure i wll end up doing this business but, first of all i must study this book and i wanna make a plead that will help me out when neccessary

  20. Hey, you're really pretty. I would take you out for ice cream right now.

  21. I didn't understand anything she said, but I enjoyed listening to her say it. Very cute Kiwi accent. Now back to trying to figure out this drop shipping business….

  22. Thank you for your informative video. Just starting to get into dropshipping and I'm trying to learn as much as possible.

  23. I am looking at chinabrands to do drop shipping from Australia, and looking at Drones, and with your advise, woocommerce through my website. You thoughts please?

  24. IN THIS WHAAAT? (Plankton voice)

  25. looks like i was diving into dropshipping the wrong way. thanks for the insights. there's a lot to learn and thanks for dedicating your time in producing this video.

  26. Maaaan, 1 year ago? No help for us newbs

  27. so, basically, to get this started, it costs at least 1000 bucks??

  28. If I have to wait for just 12 days I would brake the item for pleasure after arrival, just saying

  29. Hey, loving your videos!

  30. If you set up company in Australia but selling in US market, where do you pay company and personal income taxes?

  31. Once again….very informative

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