How to Resell Pallets for Beginners [In 6 Simple Steps]

Got a stack of unused pallets cluttering your backyard? Why leave them to rot away when you can profit from them?

And that’s not all! Apart from your run-of-the-mill pallets, you can also sell Amazon return pallets filled with goodies.

Never heard of them? Well, learn how to resell pallets of all kinds and find out all the tricks of the trade. Who knows, you can turn pallet flipping into a full-time venture.

Is It Possible to Resell Pellets?

Yes, flipping pallets is a legit way of making extra cash. Pallets are commodities in the supply chain. Companies use them to handle and store goods efficiently.

The demand for pallets is an ever-present market, not just in logistics. For instance, selling liquidation pallets containing customer returns has become a popular business model.

There are also buyers for used pallets, especially those in good condition, for other purposes. Because they’re recyclable, they’re popular materials for home improvement and DIY projects.

What Kinds of Pallets Sell Well?

Check out some of the most sought-after pallets you can flip into profit:

1. Wooden Pallets

Standard wood pallets are staples in warehouses, distribution centers, and retail stores. They’re versatile and have countless applications. You can use them for home projects like decks, furniture, decors, and garden beds.

If you can customize or refurbish old pallets, you can cater to this niche and charge a premium for recycled pallets. Some buyers look for custom pallets to suit specific needs.

2. Plastic Pallets

Plastic pallets are an attractive alternative to wooden pallets, especially during rising lumber prices. They’re durable, lightweight, weather-resistant, and sanitary.

3. Amazon Return Pallets

Amazon returns that don’t meet the criteria for resale, either due to damage or other reasons, end up in liquidation pallets.

These pallets contain products of all kinds. For instance, you can find electronics, toys, clothing, and home goods in one bundle.

At a discounted price, Amazon sells them to liquidation companies, wholesalers, or resellers through the Amazon Liquidation Auction. The superstore also packages excess inventory in pallets and sells them through the Amazon Bulk Liquidations Store.

What Is the Value of Pallets?

The value of pallets varies depending on the size, condition, materials, and market demand.

Of course, new pallets have a higher price tag. A brand-new wood pallet costs about $10–$25, while used pallets from recycling facilities retail for $7–$13 apiece. When dealing with local stores, you can still negotiate the price.

Scrap pallets containing parts in good condition also hold some resale value. A pallet recycler can reuse the boards and blocks from old pallets to make new ones.

How Much Does an Amazon Return Pallet Cost?

An Amazon pallet can fetch around $100–$1,000, depending on the number of items, category of products, and overall condition.

Do Pallets Lose Value Over Time?

It depends. Wooden pallets that have been exposed to harsh conditions or endured multiple trips can lose their value faster due to wear and tear.

Meanwhile, plastic pallets are sturdier and resistant to moisture, chemicals, and pests. They have a longer lifespan and retain their value better over time.

The resale value of liquidation pallets has much to do with the condition of the returned products. Obsolete or slow-moving inventory can lead to significant markdowns.

Things to Consider When Reselling Pallets

With the right approach, reselling pallets can be profitable. Here are some considerations to keep in mind:

• Pallet Condition: Assess the condition of the pallets you want to sell. High-quality pallets are more likely to attract more buyers and better prices.
• Storage: If you’re planning to stock up on pallets in bulk, ample storage is an absolute must.
• Pricing: Set reasonable and competitive prices based on the quality and condition of your pallets. For return pallets, consider size, categories, or marketability factors.
• Transportation and Delivery: How will you handle the shipment of pallets to buyers? Provide clear information about shipping costs and delivery options.
• Advertising: Promote your pallets through social media, online marketplaces, or your website. Highlight any unique selling points you have.
• Payment Methods: Decide on acceptable payment methods for your pallet sales. For the customer’s convenience, provide different options, such as bank deposits or digital wallets.
• Sustainable Practices: If you’re into pallet recycling, emphasize your commitment to sustainable practices. This can appeal to eco-conscious customers and drive sales.

Where to Resell Pallets

The easiest way to sell pallets is through online marketplaces. Here are our top three options:

1. Amazon

To test the waters, you can start with an Individual plan where you pay $0.99 for every item sold. If you want to advertise your pallets and use advanced selling tools, subscribe to a Professional plan for a $39.99 monthly fee. On top of your subscription fee, you’ll also pay a referral fee for every sold pallet.

The platform offers Fulfilment by Amazon (FBA), where Amazon handles storage, packaging, shipping, and customer returns. The fulfillment fee depends on the dimension and weight of your pallets.

If you opt to fulfill the orders yourself, Amazon computes the shipping rates based on the product category and chosen shipping service. They then transfer the amount to you in shipping credits.

What Makes This Option Great

Selling on Amazon provides access to a massive customer base.

With a Professional plan, you can access features that help you manage your inventory, increase visibility, and boost your sales.

• Fees/Commission: 15% Referral fee, FBA costs (fulfillment fee, storage fee, inventory fees, etc.) depend on dimension and weight
• Payment Methods: ACH direct deposit

2. Mercari

Mercari is another online platform where you can sell new and used pallets, as well as return pallets. It has a user-friendly website and mobile app that makes listing your items and connecting with buyers super convenient.

What Makes This Option Great

Selling on Mercari is an excellent option for sellers looking to establish an online pallet resale business. Unlike Amazon, it charges a flat commission rate on the final sale. Also, product listings are free.

• Fees/Commission: Commission (10%), payment processing fee ($0.50 + 2.9% of the sale), and direct deposit fee ($2.00) for transfers below $10
• Payment Methods: ACH direct deposit, Instant Pay to a debit card (must be ID-verified)

3. eBay

The platform is one of the earliest shopping websites that continues to thrive to this day. It features flexible selling formats: buy-it-now price or auction-style listing. The fees vary based on the listing format and the total sale price.

What Makes This Option Great

eBay has a global audience, making it an ideal option for selling niche products with broader appeal.

The site allows you to promote your merchandise with a simple and affordable ad program. Starting at 2%, you only need to pay the ad fee once you’ve sold your item. Plus, sellers without a subscription plan can list up to 250 items for free.

• Fees/Commission: The final value fee is a minimum of 13.25% of the total sales, plus $0.30.
• Payment Methods: Direct deposit to a checking account or debit card

What You’ll Need to Resell Pallets

Here are all the essentials to get your pallet flipping business up and running:

• Pallet Inventory: Maintain a physical inventory of all the pallets you plan to resell.
• Storage Space: Pallets take up considerable space, so ensure you have a section of your property where you can store them.
• Transportation: You’ll need a truck or van to collect the pallets from suppliers and deliver them to your shipper or customers.
• Tools: Some pallets may require repairs before selling them. You can fix minor damages with basic tools like a hammer, screws, and nails.
• Packaging Materials: When shipping pallets to buyers, you’ll need stretch film, bubble wrap, or strapping to secure your pallets during transit.

How to Resell Pallets: Step-by-Step Instructions

Now, let’s sell some pallets:

Step 1: Source Your Pallets

You can get your pallets from several sources:

Pallet Manufacturers

What better way to get new pallets than by buying directly from the source?

These companies produce pallets in various materials, like wood or PVC, as well as different sizes and configurations. Some suppliers with a buy-back program also sell used or old pallets.

Nearby Businesses

Big-box stores like Walmart usually have special deals with suppliers or rent their pallets from a pallet pooling company, like CHEP.

Selling, exchanging, or reusing pallets from the pool is illegal. So, steer clear of pallets with property markings.

Instead, reach out to nearby stores, warehouses, and distribution hubs that received palletized shipments. They should have surplus pallets they’re willing to sell or give away.

If you’re into pallet recycling, you’ll likely score worn-out or damaged pallets for free. Scrap pallets are also available in salvage yards for dirt-cheap.

Liquidation Companies

A liquidation company specializes in buying and selling lots of returned merchandise or overstock in pallets. You can purchase liquidation pallets from the following sites:

• Amazon Bulk Liquidation Store
• Walmart Liquidation Auctions
• Bulq
• Direct Liquidation
• Liquidation.com

Sometimes, liquidators catalog the contents of the pallets. Other times, you’ll have to go blind.

Step 2: Set Up an Account

Choose the platforms where you’ll sell your pallets. Then, follow the registration process and create your seller account.

Step 3: List Your Items

Make a detailed listing for each of your pallets.Next, add high-quality photos and accurate product descriptions to attract the right buyers.

Step 4: Set the Price

Research the market so you can determine the fair price for your items. Also, consider offering promotional deals or discounts for bulk purchases.

Step 5: Fulfill the Order

Once a customer places an order, package and ship the pallets. Provide tracking information and communicate shipping updates to the buyer.

Step 6: Manage Orders and Inventory

Keep track of your pallet inventory and update listings as items get sold or restocked. Handle customer inquiries and fulfill orders promptly to ensure a positive buying experience.

Can You Make Money Flipping Pallets?

Yes, flipping pallets can rake in some money if you know how to source them at a low cost and where to sell them at a higher price.

A pallets resale business falls under retail arbitrage. It involves buying pallets from suppliers at a low price and reselling them online for profit.

Is Reselling Pallets a Good Way to Make Money?

Yes! Consider this return pallet from a liquidation platform:

Now here’s a manifest of all the items in the lot:

Based on the manifest, the return pallet contains 149 items with a total retail value of $5,905. Currently, the top bid is $472. If the bidder closes the sale, they stand to make $5,433 in profit, minus the shipping cost.

The caveat is that some items may be defective. But even if half of the lot turns out to be a bust, the rest can still bring in some cash!

Let’s explore the pros and cons of the pallet resale business in detail.

Pros of Reselling Pallets:

• High market demand
• Low initial investment
• Green and sustainable
• Diverse product range of return pallets

Cons of Reselling Pallets:

• Storage space issues
• Cumbersome logistics

Frequently Asked Questions

Similar Tutorials to Check Out

If you think flipping pallets is too much work, give these other alternatives a try:

• Resell Furniture: Learn how to flip and resell furniture for big bucks.
• Resell Legos: Find out how to make extra money by reselling rare, discontinued, or collectible Lego sets.
• Resell Cameras: Check out our comprehensive guide on how to resell cameras.

Wrapping Up

With this guide on how to resell pallets, you can tap into not one, but two niche markets: warehouse pallets and return pallets. Whichever option you choose, it’s a green and profitable venture.

Would you try flipping pallets as a side hustle? Please tell us know what you think, and don’t forget to share this tutorial in any way you can!