What is a third party sale?

A third party sale is a type of transaction where a seller of a product or service is not the original manufacturer or provider of the product/service. Instead, the seller is an intermediary who sources the product/service from another company or individual and then sells it to the end consumer.

Third-party sales are common in many industries, including e-commerce, retail, and real estate. For example, an online marketplace such as Amazon or eBay is a third-party seller that connects buyers with sellers who list their products on the platform.

Third-party sales can allow smaller businesses or individuals to access a larger market by using the platform of a larger company. However, they also come with risks such as quality control issues, unreliable suppliers, and potentially fraudulent sales. It is important for both buyers and sellers to exercise due diligence and take necessary precautions to ensure a successful transaction.