Do You Have Full Control Of Your Business?

March 15 2014

I have recently read an article about PayPal and how they can shut down your account in the blink of an eye if they want to.

This got me thinking about the different types of businesses that people run online and how secure they actually are.

A few years ago I did some research on what was selling on eBay I decided I would import some goods and sell them over here in the UK.

I checked out the completed listings on eBay and found that Foetal Doppler’s were selling quite well so I found my supplier and imported some.

I was a few days into selling the Doppler’s which were selling quite well when all of a sudden eBay took down my listings with no explanation.

At the time it was quite hard to contact eBay I did this via email and eventually the reason why my listings were pulled off was because they didn’t like me selling these items outside of Europe, even though other sellers were selling worldwide. I also couldn’t see what the problem was as I imported them from China in the first place.

I eventually continued to sell these items but only to Europe as per eBay’s request but was left a little disgruntled because other sellers were still selling worldwide. It felt like I had been singled out. I didn’t want to lose my eBay account so I just had to play ball and go along with it.

This made me think twice about wanting to focus fully on eBay as a business model because when all said and done they were the ones that had the last word on my business on what, how and where I could sell. It made me feel a bit uneasy and out of control.

If you are thinking or running a business that relies on other market places such as eBay or Amazon it would also be wise to have your own personal websites or blogs up and running and perhaps use different payment processors as well.

This way if one of them decides they want to give your business a slap in the face you will still have other income streams coming in and you won’t be left high and dry.

Regards

Robert Chenery

Pauline
Reply March 15, 2014

Hey Rob, I have heard of things like this happening to other marketers using PayPal, Aweber and Google. They all hold your future in their hands. As you say it is best to keep your assets in as many different baskets as you can.

Take care
Pauline
Alonzo Stride
Reply March 17, 2014

Hi Robert!
Thank You for this blog on Having Control Of Your Business. I live in Canada, and I’m not aware of this happening here, although it might well have happened. However, it is something to think about, and I will have to enlighten myself on this.
A great Blog Robert, and I have certainly learned something from it.

Thanks

Alonzo
Lance Hallingford
Reply March 18, 2014

Hi Rob,

Over many years I’ve always been very careful that my business does not become “locked in” to some other organization.
I’ve seen some good profitable businesses suddenly go under, because they center their activities on one main customer, especially in the car supplies industry.

I agree wholeheartedly about not being totally dependent on people like Clickbank, PayPal, eBay, etc. Even our webhosts can take a business down without notice and almost at an apparent whim.

You’re so right in ensuring we have instant alternatives in place should the worst happen.

Regards
Lance
Robert Chenery
Reply March 18, 2014

Hi Lance,

Thanks for dropping by your comment about the car supplies industry made me think back a few years ago when I used to work for a large steel supply company but in a slightly different light.

They would quite often leave payment of their accounts to the very last minute or even let it go overdue. On the other hand if it was one of our customers that were late for payment then they would put them instantly on hold and stop their supplies.

You just have to be aware how the big companies can sometimes act like bullies to the smaller businesses and if your not careful put you out of business or drastically affect your profits.

Regards

Rob
- Lance Hallingford
  Reply March 19, 2014
  
  Thanks Rob
  In years past, as a consultant to industry, I made sure I had the name and phone number of the person who actually wrote the checks, whatever size company. Then I could at least slightly shorten the overdue period before I got paid. My son still has the same problems with overdue payments in his electrical contacting business.
  Lance
Roman
Reply March 19, 2014

Hi Robert,

Great post. Obviously we should never forget the old saying: “Don’t put all your eggs in one basket.”

Best wishes,
Roman
Gaby
Reply March 19, 2014

Hi Rob

That’s a very good point.

Yes these big companies and especially banks can behave unfair and like bullies. It’s always good to check out alternatives and ‘not to have all eggs in one basket’. That’s sometimes easier said than done. Is there an alternative to PayPal – apart from paying directly via credit card?

Cheers
Gaby
Graeme Ashe
Reply March 20, 2014

Hi Robert

I faced the same problem when I used to sell on eBay, as my listings kept getting removed too. I finally figured out that it was my competitors who where reporting them and like you I eventually got sick of eBay with all their rules and regulations as I was doing nothing wrong.

I totally agree about creating your own web sites as you are in full control and your pretty much guaranteed that they won’t be shut down.

eBay is still a great site for market research and for getting your feet wet if your new to selling online, but I wouldn’t feel confident packing the day job in if that was my sole income stream.

Thanks

Graeme