In fact, you can sell on ebay and avoid spending any money at all until you have already made profit from dozens of sales.

One method you can use to do this is dropshipping. Simply find a dropshipper online, such as http://www.megagoods.com/ and sign up for their dropshipping program.

Most dropshippers will allow you to join for free. Some will have better prices than others, so you should browse a number of sites before making your selection. Once you choose a dropshipper and create an account, look for items you could potentially sell on ebay.

After you have selected items from your dropshipper, match the dropshipper's prices against the prevailing market prices on ebay.

For instance, let's say you decide to sell 40GB ipods on ebay. You search ebay and find that the prevailing market price for a 40GB ipod is $329. Your dropshipper offers to sell you a 40GB ipod for $280.

If you calculate that you can sell at the prevailing market price and still earn a significant profit after fees, you should stick with that dropshipper. If not, you should select another item or another dropshipper that will give you a higher profit margin.

Credit is another easy--and more obvious--way to make money on ebay without spending. You can use a credit card or paypal buyer credit to purchase items at a discount from less-trafficked auction sites, such as bidz.com or bid4assets.com.

Simply purchase an item on credit, resell it on ebay, and then use the profits to purchase another item, which you will resell again, restarting the cycle. By the time your credit card statement arrives, you will have far surpassed your initial investment. Not only will you be able to pay off the debt, but you will have enough money to purchase more merchandise without using credit.

You can also purchase items wholesale in small batches online using this same method. If you go to http://www.wholesaledir.com/, you will find a number of wholesale dealers.

Purchase your first batch from an online wholesaler using credit. Break the batch down into smaller groups or into individual items; and resell them at a reasonable markup. By the end of your billing statement, you should have enough money to pay off your bills and purchase a new batch.