More on Business Permits and Dropshipping
by admin
Filed under Wholesale Business Tips
I want to make this brief. The question is, “Do I need a dropshipping business permit?”
The answer is that there is no such thing as a dropshipping business permit. If you plan to buy goods from a true wholesaler, then minimally, you need a sales tax permit. You get a stales tax permit from the state in which you reside. The sales tax permit, also sometimes known as a resale certificate, is the document that allows you to buy goods from wholesale distributors without having to pay sales tax.
Real wholesalers, such as WYNIT or DBL, who distribute consumer electronics, require proof of your sales tax permit in order to sell to you. WYNIT and DBL also dropship goods, and so in order to run sell goods from your home or your website or wherever, you must have a sales tax permit in order to do business. That’s all you need if you are a single person micro business. If you plan on paying one or more employees, then you will need an EIN (employer identification number), which you get from the IRS.
If you plan on dropshipping goods that you sell using services such as Doba, dropship design, or megagoods, then you probably won’t need any sort of permit or license as these are not true wholesale businesses.
However, if you plan on starting a business, then I can’t encourage you enough to either consult an attorney or at least someone experienced in business with a successful track record.
If you are seeking a reliable directory of wholesale, dropship, and liquidation-closeout product distributors, then I recommend Salehoo, an online global product supplier.
