Starting an online store is easier than you think. So many people today are so work up over the process of starting an online store. If you are serious about starting your own business, all you need is some time and effort. I will tell you four simple steps to start your own online business legally.
Before I go into details I like to remind you that if want to be successful online you must have a constant stream of product sources. Sources who will sell to you low so you can resell it high. It is a simple logic. You buy low then sell high.
The problem is it is so hard to find real wholesale supplier these days. They either are a scammer or sell to you so high you can’t make any profits from it. You will need to buy wholesale products from real suppliers and the only way to buy from real suppliers is to become a real business. Become a legal business.
To become legal you need to…. .
1) File a business name. Be sure to check with your state for more information. Usually they have web sites that can help you get started.
A) DBA (doing business as) this is the simplest form of business name but limit your protection. Cost about $50
B) Corporation – this is the highest form of business name and offers high protections like in case you go bankrupt and can’t pay your debts. This will cost you more to file.
2) Get a TAX ID
With the exception of a few states, you are required to get a TAX ID for tax purposes. Wholesale suppliers require you to present this when you buy from them. They use it as proof to the IRS that they are not required to charge you tax on products they sell you at wholesale.
3) Open a Business Bank Account
To do business you will need a business bank account. They are easy to open and only required $50 to deposit into the account. Your money is still there, just not in your personal bank account.
4) Open a Merchant Account
Finally, you may want to open a merchant account so you can start accepting credits card. These can be expensive but they are worth it. You can also sign up with PayPal for a merchant account. They take out a few percent for every transaction.
After this, you should be able to buy from real wholesale suppliers or drop shippers with no problem. You see? I told you starting an online store is easier than you think.
It does take some work on your end. Believe me your efforts will be reward when you are in the Bahamas sipping champagne with two beautiful girls. Okay I overdid it on the girls but you get the point.
I am an entrepreneur selling all types of merchandise online and ebay. Visit Let-Us-Review.com for more info's. Click Here for reviews and opinions