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Is Selling on eBay Free? How eBay Fees Work

Let’s take a closer look at how eBay allows sellers to operate on its platform without upfront capital, leveraging the marketplace’s massive visibility and paying a commission only after a sale is completed—making dropshipping on eBay a sustainable and profitable business model.

authorDroopify Team

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Jan 09, 2026

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8 min read

Is Selling on eBay Free? How eBay Fees Work

Is selling on eBay free? How eBay fees really work

Introduction

Many aspiring sellers approach eBay with the idea that starting to sell is completely free. In part, this is true: creating an account and publishing some listings does not involve immediate costs. However, once you start selling consistently — especially in the case of dropshipping on eBay — commissions, taxes, and variable costs come into play that directly affect profits.

In this guide, we clearly and thoroughly analyze how eBay fees work, when selling is truly worthwhile, the differences between regions and seller levels, and how tools like Droopify help avoid common calculation mistakes.


Is selling on eBay really free?

The correct answer is: no, but entry is free.

eBay does not require:

  • registration fees
  • mandatory subscriptions
  • initial investments

However, every sale generates costs, which vary based on:

  • product category
  • country of sale
  • seller level
  • applicable local taxes

This is one of the most underestimated aspects for beginners, especially when moving from occasional sales to a continuous business.

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Types of eBay fees explained one by one

Final Value Fee

This is the main commission applied by eBay. It is calculated on the total amount paid by the buyer, which includes:

  • item price
  • shipping costs
  • any additional charges

The percentage:

  • varies by category
  • varies by region
  • can change based on seller level

On average, the final value fee ranges between 10% and 15%.


“Top Rated Seller”

Sellers with high performance — on-time shipping, low defect rates, and positive feedback — can receive:

  • discounts on final value fees
  • greater listing visibility

The discount can average 5%–10% on the final value fee, with a direct impact on margins.

Below Standard sellers

If an account shows:

  • frequent delays
  • cancellations
  • negative feedback

eBay may apply:

  • additional fees
  • fixed penalties per order
  • reduced listing visibility

Please note: <br> These extra fees are often ignored in initial calculations, but they can turn an apparently profitable sale into a real loss. Fortunately, Droopify automatically takes these exceptions into account.


Payment processing costs

eBay directly manages payments on behalf of the seller. This fee covers:

  • credit card payments
  • digital wallets
  • anti-fraud systems

On average, the cost is:

  • 2% – 3% + a fixed fee per order

Listing fees

Each account has a certain number of free monthly listings. Once this threshold is exceeded:

  • a fee is applied for each additional listing

This cost becomes especially relevant for those who publish large volumes of products without an active eBay Store.


Extra costs

They may include:

  • promoted listings
  • categories with higher fees
  • eBay Store subscription

They are not mandatory, but they affect growth strategy and business scalability.


Practical sales examples: real costs in dropshipping

Real example based on an order managed with Droopify

This example shows all the real fees applied to a single order.

Order details

  • Sale price: €28.53
  • Supplier purchase price: €14.99

Applied fees

  • Final value fee: €2.96
  • Below standard seller fee: €2.09
  • Regulatory Operating Fee: €0.12
  • VAT on fees: €1.51

Total eBay costs: €6.68

Final calculation

  • Revenue: €28.53
  • eBay costs: -€6.68
  • Product cost: -€14.99

Real net profit: €6.86

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This example highlights two fundamental aspects:

  1. Fees are never a single percentage
  2. Seller level directly impacts final profit

Comparison with Top Rated Seller

With the same order:

  • no “below standard” fee
  • discount on the final value fee

Result:

  • higher net profit
  • more stable margins
  • greater financial predictability

Private account vs business account

Private account

Designed for occasional sales:

  • lower limits
  • fewer management tools
  • higher risk of restrictions

It is not ideal for continuous dropshipping.

Business account (professional)

It is the recommended choice for those who want to sell in a structured way.

Advantages:

  • access to an eBay Store
  • advanced tools
  • greater reliability
  • clearer tax management

eBay fees for business users are not higher, but become more advantageous over time thanks to:

  • higher volumes
  • seller status
  • progressive discounts

Differences in eBay fees by region

eBay Germany 🇩🇪

One of the most attractive markets:

  • generally lower fees
  • frequent promotions with 0% commissions
  • high marketplace stability

Regions with 0% fees

In some regions or promotional periods:

  • eBay applies 0% final value fees

Often limited to:

  • new categories
  • new accounts
  • temporary campaigns

Please note: <br> Even when commissions are waived, taxes and payment costs still apply.


Other main regions

RegionCommissionTax notes
Italy 🇮🇹~11–12%VAT on fees
USA 🇺🇸~13%Automatic Sales Tax
Australia 🇦🇺~12–13%10% GST

How dropshipping on eBay works

In dropshipping:

  • the seller does not manage inventory
  • the supplier ships directly to the customer
  • margins depend on accurate cost calculations

On eBay, it is essential to:

  • comply with policies
  • avoid unreliable suppliers
  • correctly calculate fees and taxes

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How Droopify simplifies all of this

Droopify is designed to eliminate the most common mistakes in eBay dropshipping. In particular, it:

  • automatically calculates all eBay fees
  • takes seller level into account
  • manages VAT, Sales Tax, and GST
  • shows real profit order by order
  • drastically reduces manual errors

This allows you to:

  • know if a product is profitable before selling it
  • avoid loss-making sales
  • scale more safely and sustainably

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Conclusion

Selling on eBay is not free, but it can become extremely profitable if you fully understand fees, seller levels, regional differences, and taxation. Dropshipping amplifies every calculation error: one ignored fee or underestimated penalty can wipe out margins.

Those who work with clear data, the right tools, and a realistic view of costs can instead build a solid and scalable business. The difference is not in selling more, but in knowing exactly where you earn and where you lose. That is what separates a temporary experiment from a sustainable long-term business project.