Your instincts about drop shipping are correct.

Problems everywhere

run a MILE - really fast and don't look back.

step 1 for a business.

Research the market and find out what is in demand.

source a supplier (reputable) and a back up. or sell something you make yourself.

Read and research every single square inch of the platform you are going to be selling on (ie eBay) memorize the site map. memorize every policy etc and explore customer support extensively. read the boards to learn from others/

read and know the terms and conditions of joining and using eBay

do the same for paypal (or whatever safe payment method you choose to use)

experiment a little bit, try just casually listing a few things from around the house to get a general gist of things and how they work. auction vs BIN vs store etc...

by doing this you can test what you think you may want to sell to see how the market responds before you spend a fortune on stock.

that's enough for now.