Used food equipment reseller

Small bakeries, caterers, food truck owners, cottage food producers and startup food brands that cannot afford new equipment.

You earn the margin between what you pay for a machine and your selling price, plus extra for testing, basic refurbishing or delivery.

• Spotting good value in used machines
• Basic mechanical and electrical know-how
• Writing clear listings and taking good photos
• Negotiating with buyers and sellers

• Check your state's rules on sales tax registration and resale certificates
• General liability and product liability insurance, since faulty machines can cause injury
• Check that machines are safe, with guards and wiring intact, and be clear about sold as-is terms in writing
• Check whether your storage space needs a business license or is allowed under zoning, HOA or lease rules
• Freight and shipping of heavy items can eat into margins, so price it in

Startup costs are typically estimated at around $3,000 to $15,000, depending on the machines you buy, your storage space and basic tools. Freight and shipping of heavy items can eat into margins, so price it in.

Monthly revenue is typically estimated at around $1,500 to $8,000, depending on how many machines you sell and their resale prices. Estimates start from about 10 hours of work a week.

Check your state's sales tax registration and resale certificate rules, and get general and product liability insurance. Check that machines are safe, with guards and wiring intact, and state as-is terms in writing. Also check whether your storage space needs a license or fits zoning, HOA or lease rules.