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    10 Point Checklist on How to start an E-Commerce Business

    Apac CIOOutlook | Thursday, January 01, 1970
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    There are millions of shoppers online and the numbers are growing day by day. It is the perfect time to start an e-commerce business.

    Checklist for potential entrepreneurs who are planning to launch an e-commerce business:

    1) Choose a Business name

    The first step to start a business, after deciding what to sell is to choose a memorable business name. The title should be unique and not in use by any other company. Once a name has been decided, the process must be finished by registering it.

    2) Securing the Domain Name and Website

    After the business name has been registered, The URL of the business should be something that is simple and easy to spell. The design of the e-commerce website is the biggest expense an entrepreneur has to bear, but the site has to be appealing and functional as well. A custom-made website for a better customer experience should be the priority.

    3) Business structure and Registration

    There are several options for choosing a business structure. Here are the options:

    • LLC
    • Sole Proprietor
    • Corporation
    • Partnership (if you have a business partner)

    If a business structure is not selected, then the business will be automatically considered as a sole proprietorship. A sole proprietor runs a risk of being their assets frozen if they are sued.

    4) Employer Identification Number

    Once the company’s business structure has been decided, and the company is registered, the next step is to get an Employer Identification Number (EIN). It’s a unique number that identifies the business that helps in filing the necessary paperwork.

    5) Apply for Business License

    Operating an e-commerce business also requires a business license and permit. The company might need sales tax licenses or home business licenses. The approval of permits is mandatory before operations begin.

    6) Find the Right Vendors

    Quality is crucial for selling products online. To find quality products, thorough research must be done to find vendors who supply quality products at the right price.

    7) The Marketing Process

    The marketing process has to start early. The social media profiles and blogs should be set up even if the business is not up and running. Several tools are available to set up a ‘coming soon’ page where the visitors who are interested can sign up to get updates.

    8) Choose the right software

    Technology can help run a business smoothly. Before starting an e-commerce business, try out different software that can make the daily routines easier. Experiment with different accounting, project management, customer relationship management, and email marketing software before choosing the best one best suited to business needs.

    9) Keep a Stock of Inventory

    It doesn’t matter where the inventory is kept, but it should be enough to launch the business. It can be tricky to know how much inventory is needed but it is always in favor of the company to have extra stock rather than falling short. Keep tracking the inventory for future smart orders.

    10) Business must be Compliant

    After the business launches, the common procedure might get in the way of filing necessary paperwork like the annual report, if the company is registered as an LLC. The business must be compliant with the rules and the regulations. Use proper reminder tools to stay on top of things.

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