How to Launch an Online Business

The following will help you know what it takes to launch an e-commerce company.

Instructions

Difficulty: Challenging

Things You’ll Need:

• Printers
• Telephones
• Computers
• Business Plan Software

1. Decide what you want to sell. Find a niche and be prepared to offer content that relates to your merchandise.
2. Hire a Web developer and database engineer to set up your Web site as well as the fulfillment process that will allow you to track inventory, accept and fill orders, and handle shipping tasks.
3. Set up a toll-free line and be prepared to staff it at least during normal business hours.
4. Contact manufacturers' representatives and tell them about your Web site and your strategy for selling their goods.
5. Amass an inventory of goods, but keep it fairly thin until you have a good gauge of demand for your products.
6. Mention your products and services in articles that appear on your Web site; for example, if you sell tennis shoes, offer articles that help visitors select the best shoes for their needs.
7. Work with other Web sites that sell gear related to yours or that provide content that is related to your product line.
8. Market your wares. Reach agreements with other Web sites. Send press releases to magazines and journals that cover your niche.

Tips & Warnings

• Be prepared for manufacturers to reject you. Many don't want to work with start-up Web sites.
• Keep your inventory as lean as you can. It is easier to order more goods from the manufacturer than it is to pay for unsold goods.
• When you are ready to expand the operation and hire more staff, consider seeking capital from a venture-capital firm. But wait until you have a track record.