If you've lost money on a sale there could be a few reasons for this. I'll go over them, what to do about if you get one, and how you can prevent them in the future.
Reached Seller Limits
The most common reason for losing money is because your margins are extremely low. The reason you'll probably lose money this way is because you'll pay taxes on your item from the source. Amazon charges tax in almost every state. There are 3 fixes for this.
Our repricing won't be able to account for taxes since we wouldn't know which state your next buyer is going to buy from. So we can't increase your margins for taxes accordingly. Below are some steps and solutions you can use.
1.a. You can get a Federal Tax ID #, then make an amazon business account, and become tax exempt.
1.b. You can go through Amazon's auto tax exemption program pretty easily without having to apply through those states. Florida is the hardest one to deal with, you have to apply on their site and provide the paperwork to Amazon. It's really not worth it in my opinion.
2. You can increase your margins much higher to make sure you cover the highest tax % you might incur.
3. You can charge sales tax on eBay from the tax table options. Click here.
Charging taxes to your buyers without a sales tax permit issued by each state that you charge tax for is against the law. You'll also need to remit those taxes to each state that you charged in.
Just make sure you understand the laws around charging taxes to your buyers.
eBay has also been very strict on charging taxes recently; requiring proof of your sales tax permits from each state that you charge tax in.
As a disclaimer you need to consult a tax professional for tax remittance and tax exemption.
Generally though it's pretty simple and you can apply for tax exemption and not worry about it as long as it's for resale.
Easync checks prices every 15 minutes.
Another reason you might lose money is something like in the example below.
Easync repriced at 1:00 and the source market price was $10.00, your eBay listing sold for $15.00
The source market changed their price to $20.00 at 1:05 (5 minutes after easync did a price check)
Someone committed to purchase your product for the $15.00 eBay price at 1:10
You now have to buy a $20.00 item, and you only got paid $15.00 for it.
This is extremely rare but it does happen where someone just happens to want something in the very small window of time during Easync's price check and source market price increase.
Your options are to tell the buyer that you are very sorry but this item is out of stock at that price and you cancel the order; or you just eat the loss and ship them the item anyway. Read about how to cancel an order without getting punished by eBay.
You can prevent this situation by having extremely high margins. I don't recommend having high margins until you are in the thousands of listings and you have an anchor store. If you want to go ahead and upgrade to the anchor store click here.
Disabled Auto Ordering or order failed
If you disable Auto Ordering or an order fails, a situation similar to the one above could occur. You sell an item for $10.00 during the night while you are asleep, at work, or away from your computer; and you like to manually order your items to save the $0.20 cents on AO/Tracking. You get back to your computer later to find that the source price of the product has gone up in the few hours you were away from your computer. You now risk losing a lot of money because you were trying to save 20 cents. We actually give you the option to disable tracking upload so you could just pay 10 cents on AO and avoid this altogether.
To prevent this just enable AO and set it all up correctly.
Reached Seller Limits
You also might have reached your seller limits set by eBay. Repricing and quantity adjustments won't work if you are very close to maxing out your seller limits. You need to always keep around 5% of your limits free for Easync to allow items to go in and out of stock properly and be able to handle the dollar amount for the usage on the limits.
You'll need to check on both parts of your limits, your quantity limits and your dollar amount limits.
Click here to read about eBay seller limits and how to find out what your limits are.
Now you should be ready for some more advanced information. You might want to refer back to these beginner articles later if you run across any of these problems; feel free. For the advanced tips click here.