Starting an online business in India: the questions to settle before selling

Map one order from supplier to customer

Write who owns the stock, who issues the invoice, where dispatch happens and who receives payment. Include returns. Selling your own products through a marketplace is different from running a platform that connects many sellers with buyers.

For example, a Bengaluru seller may advertise from home but keep goods in a fulfilment warehouse elsewhere. Both locations belong in the review. The address shown on the website is not enough to explain the supply chain.

Get a GST answer for your actual sales model

Tell the reviewer what you sell, the States involved, the platform’s role and where stock is held. Ask how the current registration rules and any conditions or exemptions apply to those facts. A blanket answer based only on “I sell online” can miss the important distinction.

Keep the legal name, bank details, tax records and marketplace account consistent. The official GST registration manual shows that business activity and the principal and additional places form part of the application. Review later changes before opening a new dispatch location.

Sources: GSTN: normal taxpayer registration manual ↗

Check the product before writing the listing

Describe the product precisely, including who makes it, whether it is imported and how it is packaged. Food, cosmetics, medicines and other regulated products can bring extra requirements. The online channel does not remove those questions.

Prepare a small catalogue record for each product family: supplier, brand, intended use, packaging facts and any relevant certificate. Use official approval-discovery tools to identify the authorities you need to check. Do this before ordering a large batch of labels or paying for advertising.

Sources: NSWS: identify approvals for your business activity ↗

Write policies around what you can actually deliver

Customers need clear information about the seller, delivery, returns, refunds, applicable warranties and how to raise a problem. The Department of Consumer Affairs publishes the E-Commerce Rules and related amendments. Check the duties for your role rather than copying another store’s policy.

Test an awkward order: the wrong item arrives, delivery fails or the customer wants a cancellation. Who receives the complaint, who decides the response and where is the record kept? A policy is useful only when someone can carry it out.

Sources: Department of Consumer Affairs: E-Commerce Rules and amendments ↗

Reconcile orders with money and stock

A marketplace settlement may combine several orders, deductions and refunds. Preserve the order detail as well as the net bank receipt. Otherwise a busy sales week can become a difficult accounting exercise at the end of the month.

Keep a simple reference connecting the order, invoice, dispatch, payment and refund. Review cancelled and returned orders regularly. A dashboard showing revenue is helpful, but it is not a substitute for the records explaining what the business supplied and received.

Use a launch review before taking orders

Check one complete purchase on a phone, including the visible seller details, final price, invoice, delivery message and support route. Make sure the published policy matches the process your team follows. Repeat the review when you add a new product, warehouse or selling channel.

RegisterBox can capture the business model, product and location information and organise the relevant registration work. Website development, payment setup and marketplace support are separate deliverables unless a written proposal includes them.

Common questions