Many sellers are unaware that an online auction is the same as a normal bushiness. Just like a normal business, there are laws that must be followed. That means that if you don't keep the laws, you could be liable for fines and other legal actions. The federal law says that you must only advertise your services and items honestly and accurately. You are not allowed to make bids on your own items to drive the price up. You are not allowed to make or give false testimonies about yourself at the auction website to make yourself look better. These are just a few of the federal laws, but you should get the idea. An online auction is a business and not a game. If you treat your online auctions like a business, they will treat you well too. The laws are there to protect you and me, and they are meant to be taken seriously. If you aren't ready to do that, then you'd be better off making money some other way.



Here are some tips to that can help you avoid legal problems. Let your customers know if you offer service after they buy. Explain your return policy and make it clear who pays for shipping if an item must be returned. Always include one or more photos. List some FAQ's-- it will help sales and save extra emails being sent to you. Always make clear if the item is new, used, refurbished, or "as is". - Offer a guarantee-- it helps build trust in you and people buy from people they trust. Settle the issue of who pays for shipping and if you ship internationally.

Answer all questions about your items as quickly as possible. Make sure that at the end of every auction you print out the information about the buyer, item, time, date, price and file it. Keep extra records out side of your computer and on paper. Save all the copies of the emails that you receive from your buyers and auction site. They could be a big help in the future.

Make sure that you contact each buyer as soon as the auction is over. Confirm everything again such as the total cost, shipping address, and where they need to make their payment. Don't forget to thank them for their purchase and remember that this is also a good time to invite them to visit your website if you have one! It's much easier to sell something to an existing customer than to find a new one. Treat them well and they will come back again with open wallets!

Run your online auction like a business and watch it grow. The web is full of people who make big time money with online auctions. You can be one of them, but lay a good foundation, be honest and latter you'll be glad you did. You are where you are today because of all the decisions you made in the past. Make good decisions today and you'll have a better business tomorrow. Make sense?