2016-12-09 00:00:00 Operations English Find out about drop shipping and if it is right for your business. You can set up a drop-shipping business with no inventory on hand. https://d1bkf7psx818ah.cloudfront.net/wp-content/uploads/2017/10/08213823/Producer-Drop-Shipping-An-Order-For-Sales-Platform.jpg What Is Drop Shipping?

What Is Drop Shipping?

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Drop shipping is the practice of selling merchandise on behalf of a wholesaler. In the digital age, an entrepreneur can launch an e-commerce website, market the wholesaler’s merchandise, and take orders and forward them to the wholesaler. Drop shippers hold no inventory, which makes it a low-cost business option for new entrepreneurs.

To start a drop-shipping business, you must research products that have a high probability of selling. Typically, you have the most success selling sought-after products that aren’t readily available in popular brick-and-mortar and online stores. Review wholesaler directories to find ones offering the best quality merchandise and sales terms. You may also need a business license and a business bank account to do business with some wholesalers.

References & Resources

Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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