Your 5 Point Checklist for Starting an eCommerce Business
- Written by Chloe Taylor
People find online shopping extremely convenient, which means that now is the perfect opportunity to get into eCommerce business. Naturally, however, starting an eCommerce business requires just as much dedication as would any other company, and, with this in mind, we’ve outlined 5 points to cover before starting this type of a business.
Find your perfect product
The main problem with starting any type of a business is finding that perfect idea. Why? Well, because not everything that comes to your mind will necessarily be likely to pay off. Of course, being innovative and opting to sell something that no other business has in offer is, without a doubt, the best way to go, but you’ll quickly come to realize that this is borderline impossible – the Internet is simply filled with all kinds of retail websites.
If you can’t come up with an original idea, well, find a way to make the existing one more affordable; in other words, find a cheap reason why people would choose your company over a similar one. We can notice a popularity of pet supplies such as food, dental sticks, supplements, toys, bowls and beds. Also, online shoppers are becoming increasingly interested in health products and natural cometics.
Your business name
Once you’ve decided what you’re going to sell, your eCommerce business is going to need a name, and a catchy one at that. It cannot be emphasized enough how important it is that your name sticks to people’s minds online – with so much content everyone is exposed to on a daily basis, only the cheesiest, catchiest names are likely to remain afloat.
Of course, once you’ve found your perfect name you’ll have to check to make sure that it isn’t already in use; and good old Google is your best friend here. Once you’re certain that your name is 100% original, register it, up to that point, registering the website in your name will have to do it.
Select the structure and register your business
When it comes to business structure, you’ve got several options:
Sole Proprietorship
Partnership
LLC
Corporation
If you choose a business structure that isn’t a corporation or LLC, you’ll automatically become a sole proprietor, which means that your personal assets are at risk. Designing and building compliant, API-driven escrow payment flow is essential in making sure that your personal assets get the best possible arrangement.
Registering your business is even simpler than selecting the structure – you can either do it on your own, or hire a business filing company to do it on your behalf.
Partnerships are key
Most eCommerce websites don’t become successful on their own – they rely on reaching out, connecting and forming partnerships. Finding related eCommerce businesses and aligning your new brand with those who already have a sturdy brand equity and influence is crucial in making sure that your eCommerce business thrives.
For example, a niche company that specializes in selling guitar strings can hugely benefit from connecting with a boutique guitar pick company – it’s a win-win situation! Partnerships are the best way to boost your eCommerce business.
Keep things narrow
Websites such as eBay, Amazon and AliExpress are the most popular in their market for a reason – people don’t really need to go anywhere else to find what the powerful trio already has on offer. This is why narrowing down the focus of your eCommerce might help – it’s all about that particular niche, it is exactly by selling something specific that you’ll attract customer traffic.
This checklist will help you get introduced with everything that you need to know before you set things in motion. However, running an eCommerce business requires expertise, dedication and experience, something that only time will help you achieve. Find your perfect product and a fitting business name, select the proper structure, reach out for partners and keep things niched!