A gift card is a prepaid plastic card that has a monetary value. Gift cards can be used in place of money to buy items at most major retailers and are tied to either a specific company or a specific credit card company. A gift card is commonly given to help the recipient choose her own gift. Buying cards wholesale can help you save money if you are in the gift card business or if you have many gifts to purchase for the holiday season.
Acquire a vendor’s license. A vendor’s license will allow you to buy items wholesale from many places by establishing yourself as a member of the gift card industry. Qualifications vary by state and municipality, so check with your local authorities. You may also want to obtain a federal tax identification number (TIN) number from the Internal Revenue Service (IRS). The number makes it easier to separate your business expenses from your personal expenses. You can apply for one by filling out an application on the IRS's website. You may be asked for this number when shopping at gift card wholesalers.
Purchase gift cards from a wholesaler, which is a seller who sells items in great bulk at a lower cost. Some wholesalers are open to both the public and industry professionals while others cater exclusively to members of the gift card industry. You can contact several gift card wholesalers to see who has the best price and best variety. One wholesaler may have a large number of gift cards from many different retailers but not have many specific monetary denominations. Other wholesalers may be able to offer you lowered prices on a specific type of gift card. Yet another wholesaler may work exclusively with a specific large company and offer only cards from that company. Decide if you want to specialize or you prefer to work only several types of cards.
Buy online. Online retailers can offer you vast discounts. However, online retailers should be carefully vetted before you purchase from them. The card types should be visible. The site should have a contact number. All cards should be in good condition with no scratches and unopened packages. Shipping methods should allow for as little handling as possible and aim to prevent theft of the cards.
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