Well, I have not done this in Indiana, but up here in Rhode Island, you need to register as a business in your local town which then allows you to get a business banking account. You will also need a Federal Tax ID number for the business. Once you have these things, you then apply to the state for a reseller/retailer license. Note that you will be expected to collect sales tax and send the state money each quarter from that point on (assuming that you make taxable sales in that period.)
Yeah, but only 1 person can win an auction and auctions have a number of bids, so unless you have horrible feedback, those buyers will eventually have to come to you, or wait for the power sellers new 7 day auction and try again, and most people will just move to another seller.
Check out my site for selling on ebay....I sell on ebay ALL the time...I use drop shippers and buy from wholesalers. Visit: http://www.freewebs.com/microtekblue/ http://www.freewebs.com/microtekblue/dropshippingreview.htm
To all those who are saying that there is nothing in dropshipping you are wrong. However there is 50% of ebays dropshipping profit in 1% of the items. Right now I sell custom made products (see sig) and mark up the products up to 150% of my total cost price exc. ebay and paypal fees, and I sell on average 3 shirts a day, which leaves me with a decent amount of profit for 2-3 hours a week work.