Andrew R Stewart 

Here in the USA most all wholesalers have tightened up their rules as to who they will sell to. Pretty much a location, a resale license (and thus sales tax paid to the state), liability insurance and a phone book listing are required. If they sell to a person without at least the sales tax and liability insurance the supplier can be on the hook for a lot of $ when the crap hits the fan.

When I had my own shop I required a resale certificate or a non profit sales tax exempt form to be provided for my records. It was interesting how many "churches" and claimed non profits couldn't provide them.

The other issue with how to resale and how much to "mark up" the products is how you want to be treated by the for profit LBS community. If you want them to be helpful when you are in a jam or need a part/tool that you can't source I suggest not trying to undercut them with their customers. The local non profit here doesn't cater to the usual LBS customer and thus has pretty good relationships with the LBSs. But as a former shop owner when I hear of unlicensed "garage shops" undercutting my retail prices and don't pay back into the system of supporting our community (sales tax collection and state payments) I get pretty mad. You are taking away my and my employees' incomes. Andy