Starting a thrift store might seem overwhelming at first, but once I understood how to structure it like an actual ecommerce business, everything started clicking.
Whether you're planning to launch a niche vintage boutique, an online consignment shop, or a general secondhand store, this guide will walk you through every step I followed to set up a profitable thrift store online.
I'll cover sourcing, pricing, platforms, legal requirements, inventory systems, and even marketing strategies.
If you're looking for a side hustle or full-time resale business, here’s how I built mine from scratch—without needing massive upfront investment.
Why Start a Thrift Store Now?
I started my online thrift store during a time when the cost of living was going up and people were hunting for deals.
I saw the shift in buying behavior—especially among Gen Z and millennials—where people preferred unique, affordable, and sustainable pieces instead of buying new.
That’s when I realized there was real money to be made in reselling secondhand goods.
Here’s why this is such a good time to start:
- Online resale is projected to hit $350 billion by 2028, growing faster than traditional retail.
- Platforms like Poshmark, Depop, and Shopify make it easy for anyone to start selling online.
- Thrifting is sustainable, low-cost, and driven by real demand. You don’t need to buy inventory wholesale or risk being stuck with unsold product.
Thrift stores are no longer just local businesses
Running a thrift store used to mean having a physical shop, dealing with lease agreements, and hiring staff.
Now I do everything from home—photographing inventory, uploading listings, handling shipping, and running social media accounts to bring in sales. I don’t pay rent, and my margins are much higher.
Step 1: Choose a Niche and Target Customer
The most important decision I made early on was choosing a niche. Instead of selling everything, I focused on what I knew best and what people were actively searching for.
Here are some popular thrift niches to consider:
| Niche Type | Examples | Why It Works |
|---|---|---|
| Vintage fashion | 90s/Y2K streetwear, Levi’s denim, band tees | High demand, nostalgic value |
| Baby & kids items | Baby clothes, toys, books | Parents love discounts on fast-growing kids |
| Designer resale | Handbags, shoes, luxury apparel | Higher ticket items, big margins |
| Home decor & furniture | Vintage mirrors, lighting, small furniture | Sells well locally and on Etsy |
| Books and media | Vintage books, records, DVDs | Lightweight to ship, low cost to source |
How I picked my niche
I chose vintage streetwear because I already knew the brands and styles people wanted. I also noticed it sells fast on platforms like Depop and Grailed.
If you're new, I recommend picking a niche you're familiar with and enjoy—because you'll be sorting through a lot of inventory and fielding questions from buyers.
Step 2: Sourcing Inventory
This part took time to figure out. I made the mistake of only buying from Goodwill at first, but once I started sourcing smarter, my profits improved fast.
Where I find inventory:
- Estate sales – These are great for vintage items, furniture, and books
- Facebook Marketplace – I pick up lots from people who are downsizing or moving
- Storage unit auctions – I’ve landed bulk inventory for pennies on the dollar
- Flea markets – Always a hit-or-miss, but sometimes I find hidden gems
- Thrift stores – Still valuable, especially on discount days or with coupons
- Charity shops – Many have donation deals or exclusive items
What I look for:
- Brand labels – Vintage Nike, Levi’s, Champion, Patagonia, etc.
- Condition – Gently used, no major damage, ideally clean and ready to ship
- Uniqueness – Graphic tees, limited runs, discontinued styles
When I’m out sourcing, I use the eBay and Depop apps to check sold listings before buying anything. That way, I know the actual resale value and don’t waste money on duds.
Step 3: Legal Setup and Business Basics
Even if you're just selling as a side hustle, it’s smart to treat your thrift store like a real business. I registered as a sole proprietor and eventually moved to an LLC for liability protection.
Basic setup checklist:
- Register your business – Start with your state’s Secretary of State website
- Get an EIN – Free from the IRS website, used for business banking and taxes
- Open a business bank account – Keeps finances separate and clean
- Check resale certificate rules – Allows you to buy items tax-free for resale
- Get liability insurance – Optional but smart if you sell high volumes or run pop-ups
This part was the least fun, but it saved me from tax headaches later. I also recommend using bookkeeping software like QuickBooks Self-Employed or Wave to track income and expenses.
Step 4: Choose Your Selling Platforms
You don’t have to sell on just one platform. I started with Depop and eBay, then built my own Shopify store once I had consistent sales.
Platform comparison:
| Platform | Best For | Fees | Pros | Cons |
|---|---|---|---|---|
| eBay | Clothing, electronics, books | ~13% | Huge audience, flexible shipping | Competitive, fee-heavy |
| Depop | Vintage, Y2K fashion | 10% | Great for Gen Z buyers | Lower average order value |
| Poshmark | Designer & name brand clothing | 20% | Easy to use, built-in shipping | High fees |
| Etsy | Handmade or vintage decor | 6.5% + listing fees | Strong for home items & furniture | Limited outside those niches |
| Shopify | Building your own brand/site | Monthly + 2.9%+ | Full control, brand ownership | Needs traffic + marketing |
eBay is the OG resale platform with a massive audience and global reach. It works well for a wide range of categories, but the fees add up and competition is fierce.
Depop is perfect if you're targeting younger shoppers who love vintage and Y2K fashion. It's easy to use and highly visual, but the average sale price is usually lower than other platforms.
Poshmark is a go-to for fashion sellers focused on designer or name-brand items. The shipping is handled for you, but the 20% fee on sales can eat into your profits fast.
Etsy is ideal for vintage home decor, handmade items, and collectibles. It’s not great for clothing unless you’re selling truly unique or vintage pieces from before 2005.
Shopify gives you full control to build your own ecommerce brand. It’s powerful but requires effort to drive your own traffic, especially if you’re just starting out.
I recommend starting on one platform, mastering it, and then expanding. Once I had a Shopify store, I used a tool like List Perfectly to cross-post inventory automatically across multiple platforms.
Step 5: Inventory Management
When I first started, I didn’t have a system. That led to duplicate listings, lost items, and messy returns. Now I use an inventory spreadsheet to track everything I source, list, and sell.
What I track:
- Item name
- Source (where I got it)
- Purchase cost
- Listing date and platforms
- Selling price
- Shipping cost
- Profit margin
Here’s a basic inventory example:
| Item | Source | Cost | Sell Price | Fees | Shipping | Profit |
|---|---|---|---|---|---|---|
| Levi’s 501 Jeans | Goodwill | $8 | $55 | $7 | $6 | $34 |
| Vintage Nike Hoodie | Estate Sale | $12 | $70 | $9 | $7 | $42 |
| 90s Band T-Shirt | Facebook MP | $5 | $40 | $5 | $5 | $25 |
I keep all my inventory in clear bins with SKU labels. That way, when an item sells, I know exactly where it is and can ship it fast.
Step 6: Pricing and Profit Margins
Getting your pricing right is everything. Price too high and nothing sells. Price too low and you kill your margins.
My pricing tips:
- Use sold listings on eBay or Depop to get a real idea of what buyers pay
- Factor in platform fees and shipping
- Bundle slow-moving inventory to increase average order value
- Leave room for offers – I price a little higher than my target profit
Typical profit margins for online thrift stores:
| Product Type | Purchase Cost | Average Resale | Profit Margin |
|---|---|---|---|
| T-Shirts | $3–$7 | $20–$40 | 60%–80% |
| Jeans & Pants | $8–$12 | $40–$70 | 65%–75% |
| Jackets & Outerwear | $15–$25 | $80–$150 | 50%–70% |
| Home Decor | $5–$15 | $30–$80 | 55%–70% |
I aim for a 60%+ profit margin on every sale. If an item doesn’t sell in 60 days, I either drop the price or relist it on another platform.
Step 7: Shipping and Fulfillment
Once sales started coming in, I had to move quickly. Delayed shipping hurts reviews and repeat business. I created a simple system to ship items within 24 hours.
My shipping process:
- Use Pirate Ship for the cheapest USPS labels
- Weigh items with a $20 kitchen scale
- Use polymailers for clothes and recycled boxes for bulkier items
- Offer free shipping, but bake it into the price
I also include a thank-you note in every order. It’s basic, but it adds a personal touch that gets me 5-star reviews and return buyers.
Step 8: Marketing and Growth
Once your store is up and running, you need to drive traffic. This is where most people stall—but I kept it simple and consistent.
What worked for me:
- Instagram Reels and TikTok – I post “thrift hauls” and “what sold” videos to build followers
- Email marketing – I offer a 10% off discount in exchange for emails on my Shopify store
- SEO blog posts – These bring in organic traffic over time. I write content like “Best Thrift Items to Resell” and “How I Made $1,000 Flipping Vintage Clothes”
- Facebook Groups – I joined resale communities and shared tips (not just self-promo)
The key is staying active, building trust, and reminding people you exist. I didn’t try to go viral. I just posted consistently and let word of mouth grow the brand.
Final Thoughts
Starting a thrift store online isn’t just a side hustle anymore. With the right systems, sourcing, and strategy, it can become a full-time business.
I started mine with less than $200 and built it up into a sustainable, profitable ecommerce shop. There’s room in this space if you’re willing to learn, experiment, and treat it like a business from day one.
You don’t need fancy tools or a warehouse to start. You just need consistency, attention to detail, and a willingness to learn from the market.
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