If you are looking for eCommerce drop shipping suppliers, there are several ways to find them. Many of the online drop shipping directories offer little value since they are of low- quality. World Wide Brands is a legitimate directory that comes highly recommended.
This database will give you access to thousands of eCommerce drop shipping suppliers that have been pre-screened.
If you’re going to use the Google search to locate suppliers you need to dig really deep to find the legitimate manufacturers. These are incredibly bad at marketing strategies and therefore not obvious. By contacting the manufacturer of the product you want to sell, you’ll be able to locate their authorized distributors who may also consider dropshipping.
Drop Ship or Buy Bulk Products?
Contacting eCommerce drop shipping suppliers or drop shipping sites is usually the best way to start out and test a market before making any kind of commitment. Purchasing a large amount of inventory at the start could be a mistake. Buying in bulk is an option when you understand more about the market and what you can realistically expect to sell.
Drop Shipping Company Requirements
To work with a drop shipping company in the United States you must have established a legal business and have an Employer Identification Number. This EIN number is almost like a social security number for your business. You’ll also require a sales tax ID from your state if they charge sales tax.
Requesting an EIN number from the IRS is a simple process once you have officially established your company with your state. This can be done within hours on your State Dept. of Commerce website or Legal Zoom. Its not complicated and may cost less than $200.
However, doing extensive research regarding the corporate structure that is suitable for your business is vital. You can even consult with an accountant or an attorney.
Knowing What Products To Sell
There are several free mini courses that are offered to assist those who want to establish a business through the availability of ecommerce drop shipping suppliers. Only an understanding of this process will help you with market demand, competition, pricing, suppliers and how you are able to add value.
Charging a per-order fee of between $2-$5 to cover shipping and packaging expenses of individual products is usual for drop shippers. Difficult to process or extremely large items may have a higher charge.
You should be careful of doing business with anyone who requires a monthly or ongoing fee. This may be an indication of fake or poor quality drop shippers. This is not usual practice for legitimate drop shippers or eCommerce drop shipping suppliers.
Filtering out business owners that are not serious and more trouble than they are worth is done by certain legitimate drop shippers who will require a minimum purchase amount or size on a monthly basis, or for their first order. A fee may be charged for not meeting these requirements.
Research and free online courses will ensure you have the vital knowledge for dealing with all aspects of an eCommerce business.