What is Dropship?

In usual business environment you have a store or warehouse where you have products, and you sell from there. In dropship you don't store anything yourself. The vendor stores all the items, when you need any item you order from them and they will ship it for you to your customer or to you.

How its used

Lot of people use the dropship for selling products on EBay. Many have their own website, and sell from there.

What to watch

Most important thing in dropship is return policy. If a customer returns a product, you have to know if the dropship company will take it back or not. If they don't you will loose that money. Also look at the profit margins you are getting; compare among the dropship companies.

List of US Dropship Companies

Here is a list of companies that offer dropship. Before you sign up with them I would suggest do your research on them. 

http://www.doba.com (Retailed products)

http://bodysoulelements.com (Bath and body products)

http://www.cwrelectronics.com (Electronics wholesale dropshipper)

http://www.dragondistributing.com (Car Audio Products, Home Theater Products)

http://www.moteng.com/Home (knives, flashlights, security equipment, and outdoor products.)

http://www.raxusa.com (Skateboard products)

http://www.smcorp.com (Gifts, collectible toys, novelty items)

http://www.dbldistributing.com (Electronics and electronics accessories)