Penny auctions are taking American by storm! Companies such as Swoopo, Quibids, etc. are making a lot of money with running a penny auction site.
There are many companies selling script, that simply doesn’t work, and almost all are located outside of the United States. To make matters worse there are companies in the USA that offer inexpensive “lease” programs but neglect to tell you that they control your business and have the ability to shut you down with the click of a mouse or download your entire database without your permission. So, if you can afford to, we strongly recommend that you do not lease your script and purchase it instead.
The biggest problem is that there are no companies that offer instruction on how to set up, run, and manage this type of online auction business due to the fact that it is so new.
That is until now.
Here are a partial list of questions you need to ask and answer to operate a penny auction website.
1.What software do I use and where do I get it?
2.Do I need a dedicated server and who can set it up for me? How much is it?
3.What domain name should I get?
4. How do I get preapproval from PayPal for what is considered a “high risk” merchant account.
5.What kind of products can I offer and where should I buy them from?
6.Who will train me to operate the backend of the software after it is installed?
7.How should I advertise?
8.How much money should I have for start-up?
9.Are there any hidden expenses?
10.I see a lot of companies from India selling software, are they any good?
11.Is this a legal business to operate?
12.How important is SEO (search engine optimization) ?
13.Is there a company that can do everything for me not just sell me software?
14.How important is support after I get my site up?
15.What are some of the obstacles I will face?
16.Can I be profitable from the beginning?
17.I have a lot of questions, who do I call?
18.Do I need to have good credit?
19.Do I need to inventory or are there companies that will drop ship for me?
20. Can I have my site customized?
There is only one company currently available in this country that can handle all your questions and they are located at Penny Auction Software USA
You can read more about this at best penny auction software reviews
You don’t have to buy software from them and can still use this company for information on how to set up and operate a penny auction website with a series of one on one telephone conversations. They offer full counseling with this business model for a flat cost of $1,000.00, which is extremely inexpensively since there is so much to know. This is not a difficult business model but you definitely need someone to hold your hand if you want to run penny auctions and there is no solution in the USA , that we could find that know this business model.
One great thing about those seeking to get into the penny auction business is the fact that this is one of the few business models where you start with a relatively low investment and still yield massive products.