Selling on Facebook Marketplace: Tips & Guidelines

Table of Contents

1. Getting Started
2. What can I sell on Facebook Marketplace?
3. How to get started selling on Facebook Marketplace
4. How does shipping work?
5. How much does it cost to sell on Facebook Marketplace?
6. Tips to successfully sell on Facebook Marketplace
7. Benefits of shipping on Facebook Marketplace
8. How do local selling groups work and help when listing?
9. Additional Advanced Selling Tips for Selling on Facebook Marketplace
10. Does Facebook Marketplace have Seller Protection?
11. Watch for scammers
12. Selling on Facebook Marketplace as a business
13. Other things to keep in mind when selling on Facebook Marketplace:
14. Does Facebook Marketplace Report to the IRS?
15. Does Facebook Marketplace Charge Sales Tax?
16. Troubleshooting Common Issues
17. The Bottom Line

Getting Started

Updated on 10/18/2023

Facebook Marketplace is a great way to reach a larger audience for your product or service. But before you start selling, there are a few things you should know. In this article, we’ll cover everything you need to get started selling on Facebook Marketplace, from creating your listing to troubleshooting common issues. By the end of this article, you’ll be ready to start selling like a pro

We have made it easy for you to navigate this page. We reaize that using Facebook Marketplace can feel like a large task. So, bookmark this page and reference back when you need it.

Facebook Marketplace is a platform that allows users to buy and sell items to people in their local community.

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What can I sell on Facebook Marketplace?

Almost anything! But there are a few Facebook marketplace rules/restrictions:

-You can’t sell illegal items, alcohol, tobacco, weapons, or prescription drugs.

-You can’t sell animals

-You also can’t sell services or job postings.

If you’re not sure whether your item goes against Facebook Marketplace rules, you can check out Facebook’s commerce policies for more information. We have also created a great resource for you to tell if you are using words that might go against the Facebook Rules. You will find this amazing resource called Banned and Negative Keywords. Here, you can enter in your description or title, and our saved keywords will tell you if you are at risk of having a listing banned in the Facebook marketplace system.

If you have a listing that was detected as a banned listing, then add the title and description, and we will look it over for potential banned words and add it to our keyword list.

A word of caution. The Facebook Ai also looks at photos. So if your photo shows something that could indicate or be translated as a banned or negative item they deem going against their policies and rules, this could also be the problem. It’s not always what you say; sometimes, it’s what they see too.

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How to get started selling on Facebook Marketplace

To Sell on Facebook Marketplace is easy and only takes a few minutes to set up. Just follow these steps:

1. Visit the FB Marketplace section of the Facebook app or website.
2. Take high-quality photos of the item you want to sell and
3. Click “Sell Something”

Select the “Item for Sale” category

1. Fill out your listing details, including photos, price, and description. Make sure to put as many details as you can in the description. People will read this to help determine if they want to inquire about your product.
2. Choose a location for pickup or delivery
3. Click “Post” to list your item

Voila, your New Listing has been created! It’s that simple.

Once your new listing is live, potential buyers can message you through Facebook Messenger to ask questions or arrange a purchase.

Once you have experienced selling on the Facebook marketplace and have a few local sales under your belt, the system should open up the opportunity to sell with shipping. When this happens, you can list the items on FB marketplace with shipping!

You will then be able to choose whether you would like to list with shipping, list with pick-up only, or both. The buyer can purchase the item directly through the Facebook app with the “buy now” button.

After the customer receives the item, Facebook will deposit your money in your designated bank account within five days.

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How does shipping work?

If a buyer expresses interest in an item you have for sale that will be shipped, they will pay for shipping directly to you through Facebook, and you’ll be able to print a label and ship the item straight from your home or place of business.

In this situation, you should know that you must pay a selling fee to the Facebook marketplace when you use the shipping feature.

Facebook provides two different companies you can ship through and use their services. USPS and UPS. There is not any money required upfront when shipping through the platform. You will be charged through your online account; either the buyer will pay the shipping costs, or you will pay for the shipping costs. This is determined based on how you set up the marketplace listing.

Shipping to a customer opens up your buyer pool from local to national. This is a huge way of creating more exposure for the products you are selling.

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How Much Does it Cost to Sell on Facebook Marketplace?

There are no listing fees for selling locally without shipping on Facebook Marketplace, as long as you are not using the checkout system on the app for local sales.

The platform does charge a 5% fee on the total of each sale that is sold through the Facebook app with shipping.

For example:

1. Cost of the item: $100.00
2. Sales tax:
   • The state charges 5% of the total amount spent (including shipping).
   • Total amount before tax: $100 + $5 (shipping) = $105.00
   • Sales tax: 5% of $105 = $5.25
3. Shipping fee: $5.00
4. Total cost to the buyer:
   • $100 (item) + $5.25 (tax) + $5 (shipping) = $110.25
5. Facebook fee:
   • $5.51 (as mentioned)
6. Total deductions from the sale:
   • $5.51 (Facebook fee) + $5.25 (tax that goes to the state) + $5.00 (shipping) = $15.76
7. Your net payout:
   • $110.25 (total paid by the buyer) – $15.76 (total deductions) = $94.49

In addition to the 5% fee, if you use Facebook’s shipping feature to ship an item to a buyer, you’ll also be charged a shipping fee. This can range from $4.99 and goes up from there, depending on the size and weight of the item. This cost can be charged to the buyer and needs to be set up this way when you list the item for sale. You can pay for the shipping as part of the transaction; it only reduces your net when you sell.

Once the item is delivered to the customer, Facebooks policy is to send your money to your bank account on file.

On a side note, Marketplace does provide two places to ship from. USPS and also UPS. You can also choose to use your shipping when you create your marketplace listing. In those situations, we recommend using a company called Pirate Ship. This free-to-use discount shipping company allows online sellers to use their platform with pre-negotiated prices.

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Tips to successfully sell on Facebook Marketplace

Our FAQ segment of this website is also a great source when needing answers to questions.

Once you’ve created your listing and it’s live on Facebook Marketplace, it’s time to start thinking about how to make more sales.

Here are a few tips to help you succeed:

– Be responsive to messages from potential buyers. The sooner you reply, the more likely you will make a sale.

– Use attractive photos in your listings. This will help your listing stand out from the rest.

– Offer fair prices for your items for sale. If your prices are too high, interested buyers will be less likely to purchase from you.

– Write clear and concise descriptions. Include all the important details potentially interested buyers need to know.

– Be honest about the condition of your items. If an item is not in perfect condition, mention that in your listing.

-If you sell locally, you can cross-post to local Facebook groups. Some local selling groups will also let you list your items specifically for shipping. So, don’t be afraid to get your items out there and in as many places as possible

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Benefits of shipping on Facebook Marketplace

If you’re selling an item that can be shipped, you may wonder if it’s worth offering to ship on Facebook Marketplace. There are a few things to consider before making your decision.

The first thing to remember is that buyers will expect to pay for shipping when they purchase an item being shipped. This means you must factor the shipping cost before you list an item. You will need to know how much it weighs and the size of the package before you list it for accurate shipping costs.

With that being said, there are some benefits to offering to ship on Facebook Marketplace.

1. It opens up your listings to a wider audience, as there will be buyers who are willing to pay for shipping to get the item they want.
2. It can simplify the transaction process and make it more convenient for you and the buyer.
3. And finally, it can help you build positive feedback and a good reputation as a seller in the marketplace.

If you’re considering shipping an item on Facebook Marketplace, weigh the pros and cons to decide if it’s right for you and your Facebook business.

*Remember, if you choose to ship, be sure to factor the shipping cost into your listing price if you are paying for the shipping and are not having the buyer pay for shipping as part of the deal!

How do local selling groups work and help when listing?

When you list an item on the Marketplace, you can cross-post your listings to local buy and sell groups. Facebook allows up to 20 buy/sell groups within a listing.

A lot of local selling groups are local only. However, some local selling groups will also let you list your items that are specifically for shipping. So, don’t be afraid to get your items out there and in as many places as possible. This can help increase your chances of making a sale.

Additionally, being active in local selling groups can help you build positive feedback and a good reputation as a seller. Buyers will be more likely to purchase from you if you have a history of successful transactions.

If you’re not sure where to find these selling groups, a good place to start is by searching for “Facebook selling groups” + in your city or region. For example, “Facebook selling groups New York.” You can also ask your friends if they know of good local selling groups.

When you are looking for selling groups to add your listings to, it’s a good idea to read about them, join them and then see what other sellers offer. Does it appear as though it’s heavy selling, or is there a lot of interaction and there are buyers also. These buy/sell groups are garage sale groups and can be very active. However, they don’t want spam. And the good ones are very moderated and watch for scammers and spammers.

When you join a selling group, read the rules and guidelines before posting anything for sale. This will help you avoid any potential problems down the road.

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Additional Advanced Selling Tips for Selling on Facebook Marketplace

Here are a few additional tips to help you succeed as a seller on Facebook Marketplace:

– Use keyword-rich titles and descriptions. This will help your listings show up in search results.For example, We have found that the FB algorithm looks at the first 3 words in your title first. So, if you are selling a Nike shirt XL, think about what someone would put in the search when looking to buy. do they automatically write nike, or shirt. Are they most likely to write the size first, or will they put the brand first. Be very strategic when you write your titles. It is easy for a listing to get lost in the sea of listings. You want your title to get grabbed by the search and prefer it quickly.

– Offer discounts for multiple items. This is a great way to increase sales and move inventory quickly. this can be done by writing it in your description and putting a picture in the pictures of a collage of other items they could look at. Offer that they could look at your profile and other listings and encourage them to make an offer to bundle multiple items.

– Be responsive to messages. Buyers will appreciate prompt responses, and it will help build trust. Facebook does look at how fast your respond to messages. We have found that if you can help it. Be the last to respond. Like it or not, these machines are looking at everything. So anything you can do to show the “FB listing machine” that you are on top of your game, do it.

– Use attractive photos. This will help your listings stand out and make them more likely to be clicked on. Good lighting, great backgrounds that do not distract. These are tips from the pros that make a listing stand out. If you couldn’t look at the listing and know what it is, then they probably can’t either.

following these tips will help you succeed as a seller on Facebook Marketplace. Just remember to be honest in your listings, use keyword-rich titles and descriptions, and be responsive to messages, and you’ll be well on your way to success!

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Does Facebook Marketplace have Seller Protection?

Yes, Facebook Marketplace has Seller Protection to help keep transactions safe. This includes things like:

– Requiring sellers to use their real name and profile picture

– Allowing buyers and even Sellers to leave feedback on transactions

– Offering buyer protection for items that are not as described

If you have any concerns about a transaction, you can always report it to the Facebook Marketplace team. You can click this link to see the full buyer and seller protection on Facebook.

More Useful links:

– How to appeal a decision from Facebook Marketplace

– Seller Protection on Facebook Marketplace

– Buyer Protection on Facebook Marketplace

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Watch for Scammers

Unfortunately, scammers are always looking for new ways to exploit people. When selling on Facebook Marketplace, it’s important to be aware of the signs of a scam to avoid being taken advantage of. (We have an entire article on how to avoid being scammed on FB)

Some common scams to watch out for include “bait and switch” listings, where a seller posts an item for sale but then tries to sell you something else when you message them; “phishing” scams, where a scammer will try to get your personal information like your address or credit card number; and “fake escrow” scams, where a scammer will offer to use an escrow service to hold your payment until you receive the item you’ve purchased.

If you’re ever unsure about a transaction, it’s always best to err on the side of caution and avoid it altogether. Trust your gut; if something seems too good to be true, it probably is.

For more information on spotting scams, check out the Better Business Bureau article.

Additional resources:

– How to report a problem with a transaction on Facebook Marketplace

– How to appeal a decision from Facebook Marketplace

– BBB Scam Tracker

With these tips in mind, you should be well on your way to selling successfully on Facebook Marketplace! Just remember to be aware of scams, If you suspect you’re being scammed, report the listing to Facebook and do not message the seller. You can also report them to the Federal Trade Commission (FTC).

Keep your transactions safe!

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Selling on Facebook Marketplace as a business

Did you know that you dont have to sell as an individual on Facebook Marketplace? You can sell as a business. If you’re planning on selling on Facebook Marketplace as a business, there are a few things you need to keep in mind.

First and foremost, you’ll need to create a Commerce Page for your business on Facebook. This is separate from your personal Facebook account and will be used to promote and sell your products or services. Then, you need to create a business page.

Once you’ve created your Business Page, you can start creating listings for the sale items you want to sell. You can create a catalog and run your listings through a master spreadsheet. Be sure to include clear photos and descriptions, and of course, set fair prices.

You’ll also need to decide how you want to handle payments. You can use Facebook’s built-in payment system or an external payment processor like PayPal. Please be aware that if you use an outside payment processor and not the Facebook processing they provide, you will not be eligible to sell on the marketplace and will only be able to sell to the traffic you drive to the business page.

Finally, make sure you’re responsive to messages from potential buyers. The sooner you reply, the more likely you will make a sale.

Selling as a business on FB Marketplace is a totally different set of rules than selling as an individual.

We have a full video series you can binge watch to help you set up a business page and sell on Marketplace Here is a link to the full 4 part series.

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Other things to keep in mind when selling on Facebook Marketplace:

-You must be 18 years old to sell on Facebook Marketplace.

-You can only sell items that are in new or used condition. You cannot sell services.

– You may be required to provide proof of identity and age when you sign up to sell on the marketplace. This is to help ensure a safe and secure buying and selling experience for everyone involved.

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Does Facebook Marketplace Report to the IRS?

Before reading this section, please read our

Legal Disclaimer

The information provided in this article is intended for general informational purposes only. It is not, and should not be considered, legal, financial, or tax advice. The content on this page is based on general knowledge and experiences related to selling on Facebook Marketplace and may not account for your specific circumstances or legal requirements. We strongly recommend that you consult with a qualified tax professional or financial advisor regarding any tax-related questions or concerns you may have. Tax laws and regulations can vary by jurisdiction and change over time, and a qualified expert can provide guidance tailored to your individual situation. While we strive to provide accurate and up-to-date information, we do not guarantee the completeness or accuracy of the content on this page. Reliance on any information provided here is at your own risk. We disclaim any liability for any actions taken or decisions made based on the information contained in this article. By using this website or reading its content, you acknowledge and agree that the website owner, authors, and contributors are not responsible for any errors or omissions, or for any outcomes that may result from the use of this information. You should always seek professional advice before making important financial or legal decisions. Please be aware that tax laws and regulations can be complex and subject to change. It is your responsibility to stay informed about relevant tax laws and regulations that may apply to your specific situation. YOU CAN GOTO WWW.IRS.GOV FOR MORE INFORMATION ON TAXES

The answer to this question is a bit complicated. Facebook Marketplace does not report sales to the IRS directly. However, if you sell on the Facebook marketplace and make over $600.00 in sales with shipping or have over 200 transactions, you must report your earnings to the IRS. This is a new rule as of 2022 taxes. However, not all states are the same and we would recommend you check with your accountant before filing any taxes and make sure you have the correct information that best suits you as an individual taxpayer or business.

The IRS has now made it mandatory for all online sales to report earnings. So, if you are collecting money and selling on Facebook Marketplace through the Facebook app, you must enter your social security number when you have met or are close to selling 600.00 in sales. Starting in 2022, you will receive a 1099 for any cumulative sales over 600.00 or 200 transactions, whichever comes first.

Any sales cash sales or salel that do not go through the FB payment portal is not documented and it is your responsiblity to claim those earning with your online business.

You can find more information about reporting your earnings on the IRS Resources Website.

Selling on Facebook Marketplace can be a great way to get rid of items you no longer need and earn some extra cash. Just follow the guidelines and tips outlined in this article to help ensure a successful transaction. And remember, if you suspect you’re being scammed, report it immediately!

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Does Facebook Marketplace Charge Sales Tax?

Facebook Marketplace does charge sales tax on the orders placed through the Facebook app with shipping. They report those earnings on your behalf to the states that the buyer is in. The tax is based on the state in which the buyer is located at the time of purchase, and the sales tax will be collected from the buyer at the time of purchase. As the seller, you are not responsible for collecting or remitting any taxes on behalf of the buyer if FB is collecting the monies for you.

However, you are still responsible for reporting to the state that the buyer purchased in that state if you reached What is called “nexus” in that state you sold items in. You can watch this video to learn more about sales tax and Nexus. And, of course, If you have any questions about whether or not your sale is subject to sales tax reporting, you can always consult a tax professional.

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Have you had success selling on Facebook Marketplace? Share your tips in the comments below!

Troubleshooting Common Issues

One common issue sellers encounter is buyers asking for too much personal information. Remember, you only need to share your contact information when you’re ready to make a sale. If a buyer asks for your address or bank account information before you’ve even agreed on a price, be wary. This could be a sign of a scam.

Another issue sellers sometimes run into is buyers who want to purchase an item without paying shipping costs. Unless you’re selling locally and the buyer is willing to pick the item up from you, shipping costs should always be factored into the final price. If a buyer tries to lowball you by offering an amount that doesn’t cover shipping, politely decline and move on.

Finally, some sellers have issues with buyers who try to haggle too much. While it’s perfectly normal for buyers to try to get a lower price, there’s a limit to how low you’re willing to go. If a buyer is unreasonable, thank them for their interest and move on.

Do you have any questions about selling on Facebook Marketplace? Ask away in the comments below!

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The Bottom Line

Facebook Marketplace can be a great way to sell items online. Just remember to research before getting started, be aware of the potential for scams, and take some time to create listings that will attract buyers. If you do all of this, you’ll be well on your way to making successful sales.

With a little effort, you can make sales in the marketplace.

Are you ready to start selling on Facebook Marketplace?

Now that you know how it works and what to expect, why not try it? With its large user base and easy-to-use interface, Facebook Marketplace is a great way to eliminate unwanted items and make some extra cash. Just remember to be safe, watch for scams, and have fun!

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