How to Start E-Commerce Business in India5 min read


How to Start an E-Commerce Business in India

When it come’s to e-commerce business India is growing tremendously with total sales of around Rs 12,000 crore. India is full of e-commerce companies with strong customer base in less time, because of fast development in  smartphones and it’s network (3G & 4G services) due make in India, Services have became affordable which have boost e-commerce and m-commerce industries. Today in this article we will look at procedure for starting successful eCommerce business in India.

To start eCommerce business in India you have to go through different procedures and should have basic information regarding documents required to start on online business. One of my article on eCommerce which can help you if you are thinking to start your online business “Things To Know Before Starting Ecommerce Business“.

Why to start e-commerce in India

India is one of the most populated country with full of youngsters, so it is big market and have more opportunity to start own online venture. Second reason to start eCommerce business in India is continuously growth and awareness toward internet from last 10 years. Majority of peoples in India are using touch screen phone which have increase eCommerce business according to report.

Few Steps to start eCommerce business:

Step1: Figure out name for your Online business

Name of the business is one of the important factor in any business. Decide perfect name for your business and make sure that Domain of your decided name is available.

Things to remember while deciding name:

  • Use short name for your eCommerce site
  • Name should be easily spell-able
  • Always use .com domain for your site
  • Of domain for your decided name is not available then try to buy domain which can justify your business name.

step2: Get your Online Store complete

Now you have decided your eCommerce business name, it’s time to make our site capable and ready to show our products to Indian public. This step is important: you have to find professional web designer for your online store. There are a lot agencies which can make your website design better and work on SEO.

Recommended: You should appoint best agency to work on your site because there is more competition in eCommerce business so everything should be perfect and provide good user experience.

Things you must know before choosing a web design company

  • Is the web company established and experienced
  • How many clients do they have?
  • How many employees do they have?
  • From how long time company is designing and developing websites?
  • See samples of their work

step3: Registering an e-commerce company in India

You might have this question in mind that “How to register e-commerce company in India”. Well this is not a big deal because it is ordinary process every business do.  It doesn’t require any special documents. All the formalities to start eCommerce business in India are provided below (You can know about all legal documents and requirements to start online business).

Step 4: Getting Employer Identification Number (EIN)

Employer Identification Number (EIN) is unique number of your business which will help you to open business bank account and will help in paying taxes. This step is Important and can follow perfectly according to guide lines. As every business have to pay taxes but EIN is necessary for doing so.

Step 5: Getting Business Licenses and Permits

Ecommerce business have to follow all the rules which other businesses do. It doesn’t mean that if any one is starting eCommerce business then he will be far from the all legal licenses and permits. A BIG NO! Starting eCommerce business also required all the licenses and permits for selling products. Its required all the information like City, Country, Full address, contact and many legal requirements. Your all licenses must be approve before starting business. You have to consider this step as important and should complete before start your ecommerce site.

Step 6: Finding Perfect Vendor

Ecommerce business have a lot competition it become mandatory to provide better quality of products with best selling price but this will only be possible if you have right vendor to business with, Not for short period but for long.

Step 7: Earlier Marketing

Earlier Marketing= more curiosity for your site among people, You should marketing of your ecommerce site earlier. Marketing should be that much powerful that force people to wait ecommerce site. Proper coming soon should be there with timer till launching date. This tip can help getting more consumer to site and will fulfill the purpose to start ecommerce website.

Recommended: How Social Media Can Increase Your eCommerce Business

Legal Formalities to Start An Ecommerce Business in India

For starting any eCommerce business, proprietary ecommerce website or to become seller on marketplace. Below given registrations are required.

LLP Registration or Company

To start ecommerce business it is really good to register it as company or LLP so that you can have limited liability protection and decrease problem in doing business. It will ensure that your company name can be used to open bank account.

VAT Registration

VAT registration is recommended to start ecommerce business in india. VAT Registration is required for everyone who selling any product in India.

Bank Account

When your Company  or LLP is incorporated you can easily open back account with name of your company which is strictly required for payment gateway or to list is ecommerce marketplace.

Payment Gateway

Payment gateway is necessary for ecommerce business to accept payment for the customers. Payment gateway help to accept payment of website through credit card, debit card, Net banking or to accept money from various banks and credit card  companies. When payment is received from customer then it is transferred to bank account of company.

Legal Documents

In eCommerce business it is important to protect our business from others through use of terms, conditions documents and privacy policy.

By following these steps and tips you can start your eCommerce business in India and can earn like other online store do.

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Tags : businessEcommercestart own ecommerce

      The author Adarsh Kumar Maheshwari

      Adarsh Kumar Maheshwari (A.D) is Co-Founder of TechnoApt. Passionate to his work and hard working Entrepreneur. He knows about SEO, Graphics designing, Website developing and Many more. For more info check out Linkedin Account of AD.

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