Used boat reseller (home-based)

First-time boat buyers, families and keen anglers who want a good used boat at a fair price.

You make the margin between your buying price and selling price, after costs for repairs, cleaning, registration and storage. Monthly revenue figures are sales turnover, not profit, and your margin is usually a small share of each sale. You can also earn referral fees for introducing buyers to finance or servicing partners.

• Knowing boats, motors and trailers well enough to spot problems
• Negotiating prices when buying and selling
• Good photos and honest listings
• Clear paperwork and record keeping

• Dealer licence rules differ by state and territory, so check whether trading regularly as a business needs one
• Check a boat is not under finance (for example a search on the PPSR) and that the hull identification number and ownership match
• Australian Consumer Law may give buyers rights if you sell as a business, so check what applies and keep honest records
• Public liability and stock or products insurance, and your council's rules on storing boats at home
• Your capital is tied up in stock, and a boat that needs hidden repairs can wipe out your margin
• Arranging finance yourself may need a credit licence, so check before doing more than a simple referral

Estimates suggest typically around $12,000 to $60,000, depending on how much stock you buy and how you store it. Remember that your capital is tied up in stock until the boats sell.

Check whether dealer licence rules in your state or territory apply to regular trading. Also check a boat is not under finance (such as a PPSR search), Australian Consumer Law obligations, insurance, and council rules on storing boats at home.

You need to know boats, motors and trailers well enough to spot problems, plus negotiating skills, good photos and honest listings, and clear paperwork and record keeping. Hidden repairs can wipe out your margin.