Any parent knows how fast kids grow out of their clothes. There is a sizable market today for reselling clothes that children have outgrown. The source of the clothing comes from other parents, either through donations, bulk purchases or consignment. Clothing can easily be sold online through your own website or an online selling agent such as ebay.com.

If you’re already a parent of small children and have friends with kids too, then you have a ready-made supply of goods to get started. Yard sales are also good sources of affordable clothing that is still in good repair. To set pricing, study what clothing sells for on an online auction site. Make notes about what items sell and at what price and which brands have a higher resell value.