The eCommerce industry continues to grow and expand at a rapid rate. Businesses are now abandoning their brick and mortar setup and opting to go online. I have successfully take a towing service business online and results have been tremendous. Shopping online used to be luxury and convenience – now its necessity.
the future of eCommerce is so bright. But starting an eCommerce business is not easy and demands getting a lot of things right. In this guide, we break down the process, to help you start and run a successful eCommerce business.
Find your niche
The first step to starting an ecommerce business is by researching the ecommerce space and finding your niche. You need to consider what exactly your business is going to offer. Choose the products or services you will be selling. If you are selling products, decide on where you will be sourcing them from. You will also need to decide on the type of business model you will adopt. Also, plan on your distribution channels, and how you will get your products or services to customers.
Set up your business legally
The next step is to select your business name and choose a legal structure. Like any business, you will want to choose a business that is unique and clearly indicates what you do. Be sure to choose a name that doesn’t have any copyright issues. Additionally, choose a legal structure for your business. For a start, you may choose to operate a sole proprietorship.
Apply for EIN and Other Business Licenses
You will need to apply for Employer Identification Number. This application will be important to help you separate your personal and business finances. Additionally, obtain other business permits and licenses so as to operate legally. Most startup eCommerce businesses are home based and do not require many business licenses as compared to brick and mortar setup. That said, you will however need to determine what specific requirements are needed to be met, in the area of your operation.
Choose your eCommerce Platform
Once you have obtained all business permits, the next step is to choose your e-commerce platform and create your website. At this stage, majority of what you have done has mirrored starting a brick and mortar business. However, instead of searching for a physical location for your operation, you will start by creating a website and online store. Your website will be the face of your business and is what your customers will see first. So, get a good domain, that is short and memorable for your customers to remember. In terms of e-commerce platform, you can decide to operate on Shopify, Big Commerce, Woo Commerce, Magento or sell on platforms such as Amazon, eBay, among others.
Source or develop your products
Once you have chosen your ecommerce platform and started your website, you will have almost reached the end of the whole process. However, what will be needed next is to source your products and list them on your store, so that customers can purchase online. Ensure you have good distribution channels and that products can be delivered to customers within the shortest time possible.
Once everything has been set up appropriately, you will need to market your business through SEO, Google search and shopping ads and Facebook ads.