Online specialty tool store

Hobbyists, small trade businesses and enthusiasts who want a better range and better advice than a general store offers.

Markup on each tool and accessory sold. Many owners start by drop shipping from suppliers, then hold stock of best sellers for faster delivery.

• Deep knowledge of one tool niche
• Basic website and listing management
• Writing clear product guides

• Brands may limit online pricing or sellers, so read dealer agreements carefully
• Heavy items cost a lot to ship, so check shipping rates before setting prices
• Register for a state seller's permit and check where you must collect sales tax on online orders
• Check home occupation rules and HOA or lease limits if you store stock at home
• Product liability and general liability insurance, since tools can cause injury

Startup costs are typically estimated at around $3,000 to $15,000, depending on the size of your range, your website setup and how much stock you buy. Heavy items cost a lot to ship, so check shipping rates before setting prices.

Monthly revenue is typically estimated at around $2,000 to $10,000, depending on your niche, range and how well you reach customers. That is revenue, not profit. Brands may limit online pricing or sellers, so read dealer agreements carefully.

Check registering for a state seller's permit and where you must collect sales tax on online orders. Also check home occupation rules and any HOA or lease limits if you store stock at home, and consider product liability and general liability insurance.