Today at myonlineca we are discuss about How to Start Ecommerce Business in India. Still in the 2019 Ecommerce Business is the trend for the small business or startups.Similar to a jigsaw puzzle, starting an eCommerce business in India requires definite idea and meticulous planning. The latest trend shows that e-commerce makes online product selling much easier than conventional offline businesses.With the increasing demand for online presence, all small and big business owners are taking their business online. If you are planning to start your business online, then read ahead and know the step by step process involved in starting an ecommerce business in India.
What is Ecommerce Business in India ?
Running a business over the internet can be termed as e-commerce. Businesses are also conducted through smartphones and are known as m-commerce(mobile commerce); its popularity is increasing day by day in this advanced online business sector. You can start an e-commerce business either joining an established marketplace or using a proprietary e-commerce website. Proprietary ecommerce website development can be difficult but you can choose leading ecommerce website development company for the same.
How to Start Ecommerce Business in India : Method
1) Joining an established marketplace for Ecommerce Business
Marketplace is considered as a quick method to sell your products/services online or to commence ecommerce business. You can easily sell online popular marketplace like Sell on Amazon or Sell on Flipkart or Sell on Paytm etc.This easy mode of e-commerce business running requires only GST Registration and a bank account. The major advantage of this method is that it reduces the workload of the seller, taking care of several aspects of the businesses such as payment gateway, technology development, logistics, etc.
2) Starting a proprietary ecommerce business
on the other hand, is a much challenging way and it demands an online marketing team, web development team, and a payment gateway. This long-term initiative often needs a significant amount of money and effort to set up a successful business.
How to Start an E-commerce Website in India ?
As you’ve read before, starting your own e-commerce website involves some risks as it demands great investment in terms of money for a domain name, hosting, web developer, and many other things for building a good brand name in the market. However, spending a couple of minutes on the internet will help you find the best e-commerce developers in India to help you build your own website for the long-term survival of your online business. Choosing one from the list of e-commerce development companies in india will relieve you from the painstaking activities such as brainstorm in coding for the website, domain registration, hosting, integration of payment gateway, etc.
Still, to survive in the big marketplace where giant business players like Amazon and Flipkart compete, you will have to be diligent. A great business plan, tech-savvy e-commerce web development team and an amazing marketing team will definitely help you achieve your goal.
Legal Formalities for Starting an Ecommerce Business
Now for Ecommerce business you need the Ecommerce Business License in India then No matter whether it is a proprietary ecommerce website or become a seller on a marketplace, the following formalities are required:
Legal Documents to Start a Ecommerce Business in India
Choose Company or LLP Registration for Ecommerce Business
To enhance the ease of doing business and have limited liability protection, it is advisable to have a Private Limited Company Registration or LLP registration when you set up an ecommerce business. Furthermore, this would ensure that the opening of bank accounts in the name of your business or getting easy GST tax registration. Though all marketplaces allow partnership firms to sell their products through a proprietary e-commerce website, there would not be any limited liability protection in the event of litigation. Therefore, selling a product with an LLP or Company is always recommended by experts.
Current Bank Account for the Ecommerce Business
Once your opt Private Limited Company or LLP is set up, you can obtain a Current bank account in the name of the business by contacting a bank. For proprietorship firm, GST registration must be required to open a bank account in the name of the business. Moreover, a bank account is necessary to get a payment gateway for a proprietary ecommerce website or to register on a ecommerce marketplace.
GST Registration for Ecommerce Business
If you are planning to sell your products on an e-commerce portal or building a proprietary e-commerce website, GST registration for Ecommerce is a mandatory procedure in India., and it must be obtained from the State’s Sales Tax Department.
Payment Gateway for Ecommerce Website
Payment Gateway is another necessary step needed for a proprietary e-commerce website to receive customer payment. The payment gateway permits the website to accept different modes of payments such as credit card, debit card, net banking from different credit card companies and banks. In case of business through the marketplace, first, the payment will be accepted from the customer through their payment gateway and then the money will be credited to the bank account of the seller directly. Hence, only a Current bank account is necessary in case of online product selling through the marketplace.
Logistics Service for the Ecommerce Business
A shipping solution is an essential component in an online shopping portal. Once the customer places an order, you need to ship it soon and it should reach the customer within the time frame specified. A reliable shipping partner will only ship your products on a reasonable amount and in a very accountable way. For people who need to start the business through a marketplace, shipping would not be an issue. The marketplace would handle all these by themselves.
E-commerce Website Development Companies
Since online shopping has become more popular over the past few years, demand for online stores and products increased and this led to the rapid emergence of e-commerce development companies in India. Hence it has become difficult to choose the best E-commerce company for our business. Always try to choose a company that fulfils the basic requirements in your budget. Also, make sure that they employ the latest technologies and complete the project in the time frame.
Well, if you are planning to start an eCommerce business in India, ask their portfolio, experience, development process, payment policy, and other related aspects to find the best e-commerce solutions provider for your business.