Navigating License Requirements
Determining what licenses you need to sell online depends on your city, state, and country. If your local jurisdiction requires a business license, it applies to any business. You may need additional licenses depending on the products you sell. For example, licenses for firearms, alcohol, commercial fishing, agriculture, etc.
A seller’s permit allows you to collect sales tax. Business licenses allow you to legally operate. Both may apply to an online business. By obtaining proper licensing, you reassure customers that your online business is legitimate. The process is simple and benefits are many. Local and federal resources like the SBA can help guide you.
Licensing rules vary, so research specifics for your area and business type. But most online sellers need a general business license. This first step marks your retail success.
Registering and Understanding Sales Tax
Do I need a local business license to sell online?
Essentially, dropshipping is a way to sell products via an online store. Your business license enables you to sell your goods and also registers you to pay the taxes for which you’re responsible. If your company sells products that qualify to be taxed, most states require you to obtain a seller’s permit or vendor’s license.
Selling online offers an excellent opportunity to make money and broaden your customer base. In order to sell items online, you will need to file for a trademark so that people cannot steal your company name or logo and use it on their website. In addition, you will need a merchant account so that sellers can pay through PayPal or a similar website.
Registering for Sales Tax
The name of this process varies by state, but it’s commonly known as a seller’s permit or a resale certificate, among other names.
Selecting a Platform to Sell Online
Finding the Right Online Selling Sites
Top 15 online selling sites to sell stuff online. Unsurprisingly, eCommerce platforms are thriving, making it easier than ever for you to sell things via the world wide web.
Have a look at the following websites to buy and sell items:
- Are looking for websites to sell items online for free.
- Want to resell things/sell used items online.
- Are searching for websites to sell stuff locally.
Starting Your Online Store
What to Sell Online?
First, answer the following questions:
- What are your goals?
- Is this a side hustle or a full-time gig?
- How much time and money are you willing to invest?
- Will you have help?
Write all this down, along with any pros and cons.
Identifying Your Niche
Though you don’t need to be super-specialized, it helps to establish a theme, so people recognize your online store for what it is.
And there’s a good reason why: 63% of shopping journeys start online, making online selling an increasingly lucrative option for aspiring young entrepreneurs.