Dropshipping - Frequently Asked Questions and Answers

There are two questions few people ask which are actually very important to a person’s chances of successfully selling dropshipped products on eBay.  They are:

DO I NEED A BUSINESS ACCOUNT OR BUSINESS STATIONERY TO WORK WITH DROPSHIPPERS?

No, not usually.  Dropshipping traditionally involves signing up for an account at the dropshipper's site, reading and agreeing to their terms and conditions, and waiting for your own special User Name and Password to appear in a follow up email. 

Sometimes, but only rarely, will a wholesaler or other supplier ask to see a business letterhead before allowing you to see their goods.

It used to be, before online marketing became the norm, that wholesalers would dissuade people entering to buy one of their items cheaper for personal use by insisting on a business letterhead and sometimes business and tax registration number. 

That rarely happens today but virtually all wholesalers, large and small, will insist you place a minimum order value, again to prevent browsers and nuisance customers wasting their time and showing you are more likely to be a business than personal buyer of their products.

If you are asked for business stationery, this doesn’t mean you also need to open a business banking account. 

You can even use a business name but take checks / cheques and other payments in our own name and pay them into a personal bank account.

A business letterhead is useful for a range of reasons, including creating a more professional look than using your own name in business dealings. And it also helps gain access to some wholesalers who do require proof of your business status.

It is easy to create your own business letterhead using basic editing programs, including Microsoft Word.

ARE ALL DROPSHIPPERS AND SUPPLYING COMPANIES RELIABLE?

Most certainly not, and in fact there are some supplying companies that will create far more problems for you than they will ever solve.  I recommend you shop around and try lots of partners before deciding which suits you best.  And always keep some in reserve, continue searching for new companies all the time.

You can also do research on companies via search engines.  People working with dropshipping companies frequently post messages about their ventures on forums and in articles or other web site mentions.  If they find a bad dropshipping company or other supplier, many will work hard to help others avoid their bad experiences by posting information about those companies where others will see it.

Key the name of your dropshipping company into a major search engine, like Google or Yahoo, and if it's been said about your company, you will find it.

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