Wholesale, Dropship, Liquidation… what's the difference?

Choosing how you source products is a major step in building your online store. To help you eliminate guesswork, we’ve broken down the three primary supplier models you can access through our platform:

• Wholesale: You purchase inventory in bulk upfront at discounted rates. This model offers higher profit margins and total control over your stock, making it an excellent choice for sellers ready to manage inventory or utilize services like Amazon FBA.
• Dropshipping: You don't need to buy or store inventory upfront. When a customer makes a purchase, the order is shipped directly from the supplier to them. It’s a low-risk, fast-to-launch model perfect for side-hustlers and new entrepreneurs.
• Liquidation: This involves buying stock at clearance prices, often due to store closures or excess inventory. It’s a fantastic way to find high-potential products at steep discounts to boost your overall profitability.

Regardless of the model you choose, SaleHoo acts as your single, trusted partner. You’ll have access to our trusted supplier network of over 8,000 pre-vetted partners, helping you skip supplier scams and build a lasting business. If you’re still deciding which path is right for you, check out our educational resources on e-commerce strategies for a deeper look at each model.

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Updated on: 01/07/2026