Dropshipping without a company also possible!

Usually, running an online business entails a lot of costs and a mass of responsibilities. There is no denying that such a venture involves a great deal of responsibility, which not all entrepreneurs opt for. However, what if we deduct the costs of stocking the product from running an e-business, and the sales themselves only involve profit? Although it seems impossible, this is what dropshipping looks like in a nutshell.

Dropshipping - what is it?

Dropshipping is an online sales model in which the goods sold do not belong directly to the e-shop operator. The assortment traded by the e-business founder is stored and distributed by a wholesaler. Therefore, the business owner does not need to store it - the goods are 'virtual' and never reach the seller's hands. Furthermore, in this model, the e-business owner is also not responsible for shipping the products to the final customer (this is also handled by the wholesaler). However, if dropshipping doesn't convince you and you prefer to keep the logistical issues on your side, check out Subscriptions for Companies: https://inpost.pl/abonamenty-dla-firm to save on postage!

There are no financial risks associated with dropshipping sales. First of all, you do not "freeze" cash in the goods you buy and stock in bulk. You only pay for it when you make money - that is, when someone buys it from you on your e-shop website. The profit is the margin you put on the product, so it is worth thinking about what goods will sell best.

Dropshipping without a company - is it possible?

The provision, introduced by the Business Constitution in 2018, has meant that non-business people can also sell via dropshipping. The e-shop is then operated under the terms of an unregistered business. A dropshipper who does not have a business must settle accounts on a monthly basis.

In order to make money in such a model, it is worth considering the type of goods sold in e-business. After making calculations, the most favourable option seems to be selling inexpensive products on which a high margin is imposed. This will give you the chance to earn a high amount of income. Remember, however, that if your income is more than the regulations stipulate, you are obliged to set up a company to continue trading.

When starting your dropshipping adventure, it is also worth bearing in mind that not all wholesalers are willing to cooperate with private customers who want to buy small quantities of their goods (they usually prefer to cooperate with larger, regular companies, as these purchase goods in bulk). So before you set up your e-commerce business, it is essential to familiarise yourself with what the market has to offer dropshippers.

Zalety dropshippingu

Dropshipping is becoming increasingly popular (especially among those starting out in e-commerce). Focusing on the biggest advantages of this online sales model, it is worth mentioning:

• Low business costs

Dropshipping is an excellent solution for those who do not want to spend a lot of money on their e-commerce. It is a very attractive offer when it comes to young entrepreneurs or people who have set up an e-store purely to make a bit of money. After deducting storage and shipping costs, this business can be really profitable.

• Flexible sales

The goods on offer are in the warehouse of the wholesaler at all times. In fact, the wholesaler is responsible for carrying out the entire sales process. The entrepreneur trades only in virtual goods, so that the entire shipping process falls on the distributor. This makes it possible to sell very flexibly - how you want and where you want. The business can even be run from home.

• Fewer responsibilities

Dropshipping involves far fewer obligations than traditional webshop . Usually, the e-business remains integrated with the wholesaler, so the whole sales process is 'automatic'. No time is wasted on warehousing, packaging and shipping, so you can fully take care of your e-shop and its promotion.

Obligations of the dropshipping retailer

Although it might seem that the dropshipping e-business entrepreneur merely figures as its owner, it is worth remembering that he is fully responsible for the entire venture. The wholesaler largely facilitates his task by taking care of many of the time-consuming and tedious processes necessary to run the business. However, the seller also has many responsibilities.

Above all, his or her tasks include customer service - both pre-sales and post-sales. Thus, the owner of a dropshipping e-business has to issue receipts (in the absence of a business, sales receipts), as well as accept returns and complaints. The seller's main task, however, is to provide the wholesaler with all sales information (including buyer details and address or shipping information).

Although it seems trivial to run an e-shop based on the dropshipping model, one must remember to properly promote the e-commerce online. Otherwise - with the current plethora of such businesses - the profit will be negligible.

An alternative to dropshipping - the subscription contract at InPost

There is a certain risk associated with dropshipping for the retailer - what if you start working with the wrong wholesaler? Negative actions of a sub-supplier affect the image of the online shop. Therefore, the choice of a trusted partner is no small challenge. At InPost, we understand your concerns, which is why we have created a special subscription offer.

We offer a choice of 4 different subscription packages. They differ from each other in terms of price, cost of individual packages or contract period. Subscription 150 can be purchased for 24 months and Subscription 1200 for 12 months. In the 300 and 600 subscriptions, both options are available. Importantly, however, in each of these, the retailer can send both courier parcels and those sent by Parcel Machine. There are no hidden costs in the deal, and the courier will even drive up to pick up a single parcel.

The definite benefits of a contract with our courier company also include a fixed price throughout. Fuel surcharge is included in the cost, and as a retailer you can benefit from access to a dedicated after-sales service and promotional prices for COD (cash on delivery) shipments. With the help of InPost, you will deliver next day orders to up to 95% of your customers.

Although it seems trivial to run an e-shop based on the dropshipping model, one must remember to properly promote the e-commerce online. Otherwise - with the current plethora of such businesses - the profit will be negligible.