Is Upgrading to a Business Account Really Worth It?

[glimpsestudioco]

Is Upgrading to a Business Account Really Worth It?

I'm planning to start selling on eBay and am considering subscribing to a store plan. However, I want to make sure I fully understand the differences before making a decision.

From what I understand:

• Private sellers get 300 free listings per month, and any additional listings only incur a one-time £0.35 fee but can be relisted indefinitely under GTC (Good 'Til Canceled).
• A Basic Business Store costs £27 per month, but only includes 250 free listings. On top of that, GTC listings count toward the monthly free allowance, meaning they reduce the number of new listings I can create each month.

If my understanding is correct, then why would I upgrade to a business account and end up paying more for fewer free listings? Am I missing something?

Would love to hear insights from experienced sellers!

[plpmr]

"Is Upgrading to a Business Account Really Worth It?"

It's not a matter of choice or if its worth it, its a matter of law.

Simple, if you are buying to sell then you need a business registration and you are holding stocks of and selling brand new items.

[rainbowtrax]

Your understanding is correct. The whole fee set-up on ebay is completely messed up and the wrong way round with steady inventory expansion only being encouraged for private sellers while for business sellers it is discouraged by being upfront cost prohibitive. Even the cost of a basic shop subscription is cheaper for private sellers than for business sellers. And that £27 you quoted needs to be multiplied by 1.2 if you're not VAT registered.

Ebay are well known for rinsing all they can out of business sellers, with the UK site also being more expensive for fewer inclusive listings at every shop level than any other country.

Ebay don't make it advantageous for business sellers in any way, shape or form. The issue of which type of account to have is more to do with trading legally as you can't comply with UK trading legislation when using a private seller account. There's certainly no monetary benefit or inducement from ebay.

[glimpsestudioco]

I understand that UK law requires businesses to register if they are buying to sell, holding stock, or selling brand-new items. However, eBay’s business account subscription is a separate matter and is not the same as registering a business with the UK government.

• Business registration in the UK is handled by HMRC (for tax purposes) and Companies House (for limited companies), not eBay.
• eBay’s business account is a platform-specific feature that mainly affects listing fees, allowances, and store benefits—it does not automatically register a seller as a business with UK authorities.
• A private seller can still be legally required to register with HMRC for tax purposes, regardless of whether they use a private or business account on eBay.
• Conversely, someone upgrading to an eBay business account doesn't automatically become a legally registered business in the UK—they still need to complete the proper tax and business registration separately.

So my question remains: from a purely eBay pricing and listing perspective, why would I pay for a business account when it seems to offer fewer benefits than a private account?

Would love to hear if there's any actual advantage to upgrading from this angle!

[glimpsestudioco]

Thanks for the detailed explanation! It’s good to know I wasn’t misunderstanding the situation—seems like eBay’s fee structure really does put business sellers at a disadvantage. Glad I held off on subscribing for now! Appreciate your insight.

[jonat_broad]

But if a misunderstanding of course registering a business account on eBay doesn’t make you a business, but you must register as a business account if you are just that…a business.

From the eBay business policy page

Business sellers are required to follow all government regulations, including registering as a business on eBay, and providing contact information and a return policy.

An eBay seller must register as a business if, for example, they sell items they have bought to resell, they make items in order to sell them, or if they buy items for their business.

What is the policy?

Business sellers can't represent themselves as private individuals and are required to: 

• Register their business on eBay - opens in new window or tab
• Provide the following information in the business seller information section in their listings:
  • Full contact details for the business 
  • Any trade organisations they belong to
  • Any authorisation scheme relevant to the online business
  • Clear information about price, including any shipping or delivery charges and tax
  • A VAT number, if the business's online activities are subject to VAT

[therenewalworkshopltd]

Whether you register as a business or private seller, is simply NOT a choice you can make.

If you are business seller. ie selling to make a profit, then aside from the fact that Ebay rules state that you should register with a business account, if you not do so, then you are also breaking the LAW!

A private account simply does not have the facility to comply with your legal requirements.

This is NOT A CHOICE!  But a REQUIREMENT!

[the-nutwood-collection]

Listings can be relisted indefinitely if they're GTC, but my understanding is that the listing fee is applied each month the listing is live.  The listing can't perpetuate for an indefinite period of time for just 35p.

[555njp]

Correct, you get charged every time it relists.
Oh, and it’s 36p/listing (30p + VAT).

[cobwebcottage]

I see that you have now registered as a business seller. Welcome.

You will now have the multi variation tool to use so you can list all of your balloon dogs on one listing with a choice of different colours. This will save you paying listing fees each month as you will only have to pay one instead of several.

[glimpsecraftsshop]

According to eBay’s official fee page for private sellers (source), GTC listings do not count toward the monthly free listing allowance once they are live. This means that a private seller who has already paid the 35p insertion fee (if applicable) does not need to pay again when the listing renews. 

Are you referring to business sellers here?

[555njp]

Yes that is correct too. 
On my private account, I do not pay to list (up to 300 listings are free). When they roll over, there is no charge.

My earlier post regarding the 36p per listing was the cost for business sellers (on a business account) for individual listings with no shop, so no free listings.

These will incur the listing fee again every time they auto-renew.