Selling computers

[dogman_1234]

Hello, I have been given an idea.

Here is what it is. Basically, get old computer,( less than 5 years old) and refurbish them and sell them for a couple hundred dollars. Let us say taking an old Dell computer, a Core 2 Quad and collecting more RAM for the unit, getting a new hard drive and OS, clean the Thermal paste off and apply new layer.

Sell it for 200 dollars local. There are a lot of people who need a computer around but cannot even afford the Athlon I computer at Wal-Mart sold for 450 USD.

What do you think?

I also do not know where to get the old computers. Would a computer recycling center have some units still good?

 

[megamanx00]

I think it's a pain in the ass -_-. The best place to get that stuff is government auctions. You can pick up some used dells and HPs pretty cheap per unit, but for one you buy a pallet and you need to pick up the whole pallet or they junk it and keep your money. They of course don't come with HDs and may even have have windows COA removed. Even so, if you have the OEM CD for that vendor (Dell, HP, Compaq, Toshiba) you can install windows and it will assign a unique key based on the BIOS which would allow you to activate it and everything. Even so microsoft frowns on that idea and you're suppose to purchase new license keys for each machine if you ask them about it. So even if you buy them, haul them, and fix them, selling them for $200 each will probably result in thin margins for you, which divided by the average number of hours you spend on each one basically means you get less than minimum wage ^_^. You also have to compete with people selling their old crappy stuff on craigs list >_<

 

[dogman_1234]

Thanks for the information. I understand. Anything else.

 

[megamanx00]

^ I should add that if you're efficient at it, you could earn a decent amount of money, get new clients as a PC Tech, and get to know people who could give you a job latter or help you get one. If you're going into IT, you want people to know you're a good tech and they'll remember if you do a good job fixing their stuff.

By the way, dealing with people is why I'd rather be a Developer than an IT tech 😛

 

[dogman_1234]

Yeah. Computer are a good thing for me. I want to work with a Semiconductor company as a Circuit Design Engineer.

 

[dogman_1234]

Anyone else, some help would be nice.

 

[Genny]

I'd make it as crystal clear as possible that no free support is provided nor do they have any warranty. I don't know how old you are or how much money you intend to make off of this, but you may want to consult an attorney to have a contract drafted if you plan to turn this into a business.

Let me throw out a hypothetical...say someone buys one of your computers and their house burns down four months later. They claim that the computer they purchased from you caught on fire and caused the blaze. They then can take you to court... very slim chance they'd win, but you still have to deal with it as well as court costs. That's why people form LLCs and the like for their businesses.

 

[jb6684]

You would need to get the computers for next to free to refurbish & resell 'em for $200...... (HD needed, OS needed in many cases .. )

There are services that remove and scrap computers for corporations. They have deals in-place with established refurbishing companies.

Look up a few refurbishing companies, like Joy Systems. There products RETAIL for about $200---$250 thru MicroCenter. They come with a warranty and Window 7 Professional (in many cases...) For Dell, HP and IBM computers.

If you wanted to be in the computer business, try offering a repair and/or upgrade service. You may be able to under cut Staples, Best Buy, Microcenter, Dell, ... etc on their prices to repair of upgrade.

 

[dogman_1234]

Okay, what do you guys recommend.

 

[ligiahag7902]

I think it's a pain in the ass -_-. The best place to get that stuff is government auctions. You can pick up some used dells and HPs pretty cheap per unit, but for one you buy a pallet and you need to pick up the whole pallet or they junk it and keep your money. They of course don't come with HDs and may even have have windows COA removed. Even so, if you have the OEM CD for that vendor (Dell, HP, Compaq, Toshiba) you can install windows and it will assign a unique key based on the BIOS which would allow you to activate it and everything. Even so microsoft frowns on that idea and you're suppose to purchase new license keys for each machine if you ask them about it. So even if you buy them, haul them, and fix them, selling them for $200 each will probably result in thin margins for you, which divided by the average number of hours you spend on each one basically means you get less than minimum wage ^_^. You also have to compete with people selling their old crappy stuff on craigs list >_<

I also think so.
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[dogman_1234]

what is something else I could do?

 

[Genny]

You could do support. Install hard drives, remove spyware, etc. for people. It's also a tough gig and pretty competitive, but it's a much easier market than selling refurbished computers.

 

[CompTIA_Rep]

As someone who did this as part of a home business - it is a PAIN with very little profit. OS costs are one thing, support is another. People in the market for 200 dollar PC's arn't going to want to pay for support when they break the PC two days later, and they get angry. You will need long contracts (expensive to do right) outlining services.

Government auctions are not bad if bought in bulk, but only of the COA is still attached.

 

[daship]

It can be fun for a hobby, but don't plan on paying the bills with it. Been there, done that.

You most likely will have to buy a $100+ OS for these machines and a $50+ hard drive and $50+ for ram upgrade. There went any profit you planned on. Lets not forget you wont be getting these PCs for free either. Your looking at $300 plus just for starters, that Walmart PC is looking real good by now. Plus it has a warranty. 😛

 

[babybrands]

You could sell parts also, theres a market for spares such as hard drives and lcd screens etc

Maybe use ebay, all to add to your business income.

 

[Crashman]

what is something else I could do?

State and school auction computers usually come WITH a COA stuck to the case and a hard drive. For universities, plan on buying 2-3 systems for every 1 you sell. The rest get sold as parts.