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Dropshipping Startup Costs: How Much Money Does It Take to Get Started?

One of the most common questions I get is “How much does it cost to start dropshipping?”​

​The truth is, it can cost a lot– or almost nothing to start a dropshipping business…

And the honest answer is you’re better off with the option that costs almost no money. ​

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Learn how my students are earning $300 or more per sale every day... without needing inventory or existing marketing experience! 

It Doesn’t Cost Much to Get Started Dropshipping the Right Way

To be honest, dropshipping can cost you a lot of money or it can cost you next to nothing.  Contrary to what people will often say, the right way to get started dropshipping​ doesn’t cost much. 

The other ​way to get started dropshipping is working with a third party that asks for money upfront. We call these people “Middlemen”.

Companies that want to charge you to ​access to sell their products are middlemen. With these companies, you’ll lose a lot of money and you’ll never be successful with ​this online business. It’s a losing proposition.

dropshipping-middlemen

Middlemen are the WRONG Way to Dropship

As you start doing research, you’ll come across companies that want to charge you a lot of money just to get started dropshipping. More often than not, these companies are nothing more than middlemen that are charging you for access to resources for building your site and selling their products.

Whenever anyone wants to charge you for things like that, especially when you're a total eCommerce beginner, they're only trying to make money off of you and your lack of experience.

Companies that want to charge you to get started are ​referred to as middlemen. They​ will​ charge you for​:

  • ​Resources to Build Your Website
  • ​Access to Sell Their Products

Companies that claim ​they’ll build you a dropshipping website with products ready to dropship without you ever lifting a finger will never make you money.

That's the wrong way to build any business. ​This way will actually end up costing you a lot of money to get started.

Companies like this are not exactly scams. However, it’s a losing proposition for the person on the retail side. The third-party middleman is the one who is benefiting most from this system.

Now the other way to start dropshipping– the one that will make you profitable– is if you build your own store and get approved with real suppliers.

But how and where should you do that? 

One word: Shopify

Don’t Waste Your Money– Start Dropshipping the Right Way

Now the other way to start dropshipping costs almost nothing. Yes, you read that right.

Not only does this way cost next to nothing to get started, it’s the right way to build a long-term online business.

Let’s break down the startup costs of dropshipping:

dropshipping startup costs

​Shopify Costs to Start Dropshipping

First off, when building your store this way, you’ll use Shopify.

This is the eCommerce platform we’ve been using (and recommending) for the past several years. It’s the only platform we 100% stand behind.

Shopify costs $29 a month, and that comes with a free 14-day trial. It’s well worth it.

Try Shopify Free for 14 Days Using This Link. After That, It's Just $29 a Month.

The process to building a good-looking drop shipping store isn’t complicated.

You don’t need to have the best designed, most beautiful Shopify store in the world to make 7-figure sales. All you need is a Shopify dropshipping store that people will visit and see is ​trustworthy enough to buy from.

For more information about building your Shopify dropshipping store, check out our tutorial.

​​LIVE ​Presentation: ​​Learn the Secret Weapon ​That all 7 Figure Drop Shippers Know

​Dropship Supplier Startup Costs

As for as getting products to sell, remember you’re following the Drop Ship Lifestyle model. There is no upfront costs for sourcing products to sell.

The Suppliers You Want to Work With, Won’t Charge You Until You Send Them Orders!

dropshipping real suppliers

The type of dropship suppliers you will work with following our model will never charge you for access to their products. That means you're not paying for these items until you sell them.

If you use real suppliers, they won’t charge you until you’re sending them orders. Then they'll charge you for the orders. It’s a win-win for you and your supplier.

​To learn more about the do's and don'ts of contacting dropshipping suppliers, read this article. In it, I answer seven common questions for securing relationships with top notch suppliers.

​Paid Traffic Costs

As far as some of the other typical costs of starting a dropshipping business, you might be wondering​ how much it costs to actually start making money? Well, there’s good news for that as well.

The beauty of using the Drop Ship Lifestyle model is you can actually get $100 in credit from Google for running ads. By the time you spend that $100, you should definitely get at least one sale in your store.

Then you take that profit and reinvest, and ​continue building a successful dropshipping business!

​Copy and Paste This Link Into Your Browser to Learn More About Signing Up for a $100 Google Ads Credit.​ https://ads.google.com/intl/en_us/lp/coupons/

Bottom Line: The Startup Cost for a Shopify Dropshipping Store ​Can be as Little as​ $40

​Dropshipping on Shopify Startup Costs:
  • ​Shopify Cost: $29/month (14 day free trial with our link)
  • ​Supplier and Product Sourcing: $0
  • ​Domain Name: Depending on service, $11/year
  • ​Paid Traffic: Start with $100 free credit from Google

​To wrap up: ​With our method, and Shopify, ​the only costs when getting started dropshipping are hosting your website and ​​buying a domain​. ​

Shopify comes with a 14 day free trial, plenty of time to build a store people will buy from, and it costs ​$29 a month ​that.​ Of course, you need a custom domain. That can be for under $15 paid once a year!

For paid traffic, we recommend using Google ​Ads first because they offer you $100 in free ad dollars when signing up, which will help you get your first sale. ​

​So many people waste money when they pay for access to a list of products. In reality though, it is so much easier and so much cheaper, if you do things the right way and avoid these middlemen.

​Hopefully this explanation ​shows you where not to ​go wrong when you're first starting a dropshipping store. ​For once, the right way to get started is the cheap way.

If you got value from this video, please do let me know in the comments below. And if you have any questions, definitely post them as well! I’m always happy to continue the conversation there.

Learn How My Students Are Earning $300 OR MORE Per Sale Every Day... Without Needing Inventory or Previous Experience

Anton Kraly
 

Anton is a the Founder & CEO of Drop Ship Lifestyle - an online coaching program for eCommerce entrepreneurs. He began selling online in 2007 and has built and sold multiple seven-figure businesses while leveraging the power of drop shipping.

  • Very informative article.
    I am a WordPress Developer so I want to develop my site by woocommerce. Even I have a web hosting, just need to buy a domain. So If I do this, is it the right decision for me? If not, why it’s a wrong decision?

    • Anton Kraly says:

      I prefer Shopify over WooCommerce since their sole focus is eCommerce. They are leading the way with technology and they also have the best support.

  • Ivan C says:

    Hi Anton, Great article. my question is regarding suppliers. Obviously as a new eCommerce business, my concern is how these established suppliers will work with me? Can you share what are some of the criteria needed/required from them?

  • Monica Calvin says:

    It’s not clear on monthly charges. $24 and $100 every month?

    • Anton Kraly says:

      Hi Monica,

      Shopify is $29/month.

      Regarding traffic, I recommend starting with free $100 Google Credit, getting profitable, and then reinvesting profits into more ads.

      I’ll be covering this in my next webinar here: https://www.dropshiplifestyle.com/webinar/

      Hope that helps!
      Anton

  • Shah says:

    Hey Anton! I just wanna know if I use Google Ads specifically then I will get targeted sales, but after installing all the necessary apps etc. how much will be required to invest in order to get $1000 in profit? What’s that investing amount for a general store to get 1k profit? Any idea? So that I can start myself by watching and reading your free courses and then I can pay for your paid classes so that I can live a professional dropship lifestyle. #Q- What’s the minimum amount required to get 1k profits?

    • Anton Kraly says:

      Hi Shah,

      In my Drop Ship Blueprint, I recommend getting started with free apps.

      And while I’m not allowed to make any income claims, I can say that we always strive to get a 10x ROAS (Return On Ad Spend).

      That means I would be willing to spend $100 to get $1,000 in sales. It is also our goal to maintain a 25%+ profit margin.

      With that being said, it’s not always about paid ads. I also teach how to get free traffic inside of my Drop Ship Blueprint 🙂

      Hope that helps!

  • Balázs Vígh says:

    Dear Anton! It’s very good sounds that the Shopify startup costs are low but if you selling your course than all of this are expensive! This amount is in Hungary 2 months average salary. Please, note this also!

  • Gerry Kinsey says:

    Excellent ideas, I’ve been watching for years, I think now I’ll jump in

  • J Pearl says:

    Thanks so much for the info! However, the biggest cost newbies can expect to pay is for your DSL course, which is not mentioned. I think it is definitely worth the cost, but wonder why you don’t mention it unless you’re just providing a general answer, not one specifically aimed towards potential DSL clients.

  • Ghazanfar says:

    It’s useful but details like actually doing what is needed, for a beginner like me is also needed. Every step even the smallest needs to be taken correctly so need guidance all the way. What about registering with tax authorities, registering the company is needed or not etc etc.

  • Greg Carr says:

    Thanks so much Anton for all the work you put into informing everyone. This is great information, and I’m hoping to enroll soon.

    • Anton Kraly says:

      You’re welcome, Greg!

      Looking forward to doing business together and tracking your results 🙂

  • Bren says:

    Does Shopify have its own ‘audience’? I mean like a ‘virtual Mall’.

    • Anton Kraly says:

      Great question, Bren! We simply use Shopify to host our own stores. Our customers do not know we use Shopify, and we are responsible for sending traffic. If you’re brand new to this I’d highly recommend starting with my free training webinar. Here’s the link: https://www.dropshiplifestyle.com/webinar/

  • Kevin says:

    Anton, I’ve been watching a lot of your videos and webinars, trying to get as much information as possible before enrolling in your course and starting my own drop shipping store. I’m mostly hung up on what licenses and permits are required. I know this can vary widely depending on location. I’m in Houston Texas myself. Is there any information on this topic in your course or do you have any suggestions on the best place to get that kind of information?

    • Anton Kraly says:

      Hi Kevin,

      I discuss this in the welcome module of the Drop Ship Blueprint.

      You have a few different options when first getting started… they’re not difficult to get set up but it’s hard to explain in this comment. If you’re serious about getting started definitely join Drop Ship Lifestyle and watch my videos that cover the process from A-Z!

      Thanks!
      Anton

  • David says:

    Short, but at lot of information I like it!!!

  • Bogdan says:

    How much do you invest per month to get your store flying in adwords? For about 2-3 months. YOu can`t put 100$ to test on just 1 product and the sale well there probably not gonna be enough sales to make you another 100

    • Anton Kraly says:

      Hi Bogdan,
      Testing and optimizing your Google PLAs is an ongoing process that will take place at least every 2 weeks while you run your online store.
      With that being said, $100 is a good amount to start with and you should be able to earn a sale by the time that is spent.
      Also just an FYI – Google will give you a $100 credit to get started with 🙂
      Hope that helps!

      • Alexix says:

        Would you need to spend money before you’re qualified to use the $100 or will it just be given to you when you sign up?

        • Anton Kraly says:

          Hi Alexix,

          The $100 is a credit to your account. So when you spend $100 (or up to $100) it gets deducted from your free credit rather than billing you 🙂

      • Leroy Clemons says:

        Hi what are other ways to find suppliers to start making money and then scale up to afford your course?

  • Julia says:

    Hey. I was wondering if it is better to price your products above or below what other stores are selling. Thanks

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