If i am not in USA, can i start a drop ship biz in USA?

Full Member
myroyalway
Posts: 4
Joined: 25 Sep 08
Karma: 
27 Sep 08 04:19:21 am
Hi guys,
I am new to this game, but i am willing to learn all that is necessary to make things work.

initially i wanted to have some kind of complicated network of importing and exporting from different parts of world to wherever its need. But after i done some research, i figured it would be better for me to focus my efforts.

I decided for a start, i will focus on the USA market and focus on finding USA supplier. Despite the many negative forum posting on dropship, i decide that i will still go ahead with dropshipping, cos i have limited start up cost. I feel i just need to find the right market and the right supplier. It takes effort but its not impossible.

However the thing is that i live in Singapore, and i am not sure if i can set up a dropship biz that focus on US market and have US supplier. I am aware that most dropshippers require a US biz ID and tax id.

But i do not stay in the US. Does anyone have the same situation as me? Can i overcome this constraint?

Can i still use a US dropshipper if i am not from US and i do not stay in US? Does dropshippers require company id and tax id if i do not stay in the US?

The thing is if a company is required, i can register a company in SIngapore, but i wonder if that would be enough to convince dropshippers to work with me?

thank you in advance!
Henry

Free Member
wbpowerserve
Posts: 36
Joined: 16 Oct 07
Karma: 
27 Sep 08 07:40:14 am
Hi Henry,

Yes you can start dropship business in the US even you are anywhere in the world,just follow this link : Link hidden: Login to view

Good luck.

Full Member
myroyalway
Posts: 4
Joined: 25 Sep 08
Karma: 
27 Sep 08 12:03:57 pm
Hi wbpowerserve,

I dun mean to be rude, but i think i know how to setup my website much more cheaply than the one you suggested. I just need clarification on the legal aspects.

can jimmy or other revered members of the forum advice me pls?

Henry

Full Member
wmrenfro
Posts: 10
Joined: 17 Aug 08
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27 Sep 08 09:21:52 pm
All you really need to do is find a drop shipper that will drop ship to your desired area and that problem is the easy one. SaleHoo here has a very long list to chose from. Then you need a site so that the desired area will come to you and see your products. You either need your own web site or use a site that has store's in it so you can place your product into. The store is normally awhole lot cheaper to do, then a full blown web site. As US and be in UK, i should know, I do the it also, but I sell to UK and I'm here in the US.

Free Member
wbpowerserve
Posts: 36
Joined: 16 Oct 07
Karma: 
27 Sep 08 11:47:32 pm
HI Henry,

This is a suggestion only, you can have your own website and find a dropshipper like I got.I live in Ireland and able to make business in US and UK thru dropshipping.I have bought 2 sites and I am using both one US/Canada dropshipping and UK dropship.If you already have a website you can purchase not the Website Plan rather than an Auction Plan or Basic Plan, which you only buy the product lists and put it on your site.

Goodluck for your new venture.

Free Member
wbpowerserve
Posts: 36
Joined: 16 Oct 07
Karma: 
27 Sep 08 11:50:58 pm
By the way, here's the link : Link hidden: Login to view

Full Member
myroyalway
Posts: 4
Joined: 25 Sep 08
Karma: 
28 Sep 08 08:31:18 am
Hi wbpowerserve,

Appreciate your concern, but i dun think you understand my situation. I dun need a site that sell on ebay. I want to setup my own store and contact the dropshippers directly. I will do my own research and determine the products to be sold.

I do not want to do it through your site because that would mean you are probably earning a cut of the profits and ensure that i am not getting the lowest possible price off the the dropship items. Dropshipping is already not the cheapest of trade here as compared to wholesaler or liquidation and i would like to reduce my cost to the minimum.

I would appreciate your concern if you are really being sincere and helpful. But i can't help but feel that you just want to make some money off me, and i really dun appreciate that. I might be wrong, but at least thats what i felt when i read your posts and the link you sent me.

I am only concerned about the legal aspects. Do i need to open a biz account in US to do dropshipping biz in US?

Before i purchased Salehoo, i read that the forum itself is worth the money. I sincerely believe so but i have yet to receive quality advice from Jimmy or the more experience guys in here. Could anyone else provide me with some advice?

thanks,
Henry

Site Admin
fudjj
Posts: 5907
Joined: 27 Jul 07
Karma: 
28 Sep 08 09:05:05 am
Hi Henry, I'm no expert when it comes to drop shipping, but I can't imagine why you would need to be a registered business entity in the US to sell there.

You will need a tax id to trade with some suppliers, just to ensure you are a legit supplier, and not just someone looking to save a few bucks.

I have no idea what options are available to you at home to get yourself a tax id, but even if you have to set yourself up as business entity, it should fit the purchasing criteria for international drop shipping companies, but some drop shipping members would be better placed to give you the best advice on that one.

I think you are definitely approaching your venture from a very sensible stand point by not opting for a cookie cutter set-up that will only milk your profits.

If you are going to successfully drop ship products you really do need to source those products from as close to the actual manufacturer as possible. Way too many players can end up involved in a drop shipping web, and each one is milking a little profit as the items get passed down the chain.

I'm no great fan of the whole process, but if you are going to give it your best shot, then I believe you are approaching it with the right idea.

Good luck with it, and I'm sure someone will confirm your tax question soon, weekends are always a little slow!


Mark (fudjj)

Community Manager
SaleHoo.com

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Full Member
myroyalway
Posts: 4
Joined: 25 Sep 08
Karma: 
28 Sep 08 03:01:47 pm
Hi fudgi,

Thanks for the great post. I read some of your posts in other threads and they are awesome.

i look forward to hearing what others say. Oh in my enthusiasm to setup a biz, i did forget that its the weekend! no wonder for the slow response.

Henry

Full Member
singapore101
Posts: 315
Joined: 11 Oct 08
Karma: 
12 Oct 08 12:51:12 am
Yes you can and its easy to do
email me at Link hidden: Login to view

Full Member
singapore101
Posts: 315
Joined: 11 Oct 08
Karma: 
12 Oct 08 01:22:05 am
Do you have your own products?
If so where they located usa?
If your going with a usa dropshipper,most wont dropship worldwide.
The ones that do charge insane shipping.
Some will ship at real shipping price worldwide,but,some will deal in only wire transfer and will ask for 20.00 fee and such for each sale,on top of shipping,which puts your product over priced.
Sorry hosting is cheaper in usa than Singapore.Usa is more competitive and will give you better hosting, larger monthly band width and such.

Full Member
singapore101
Posts: 315
Joined: 11 Oct 08
Karma: 
12 Oct 08 01:32:47 am
oh,you dont need usa tax ID to sell in usa if you live in singapore.If your talking about getting dropshippers from usa alot wont work with you because of fraud from over seas.Some will ask for business register of your home country.So it comes to this.
1.Some wont require tax id
2. some require your business to be registered in your home country
3.some wont work with you at all
4.Some pay tax for you,meaning it comes out of their pocket.It will depend on how they have their business set up in USA.

Full Member
singapore101
Posts: 315
Joined: 11 Oct 08
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12 Oct 08 03:33:36 pm
I checked into the cookie cutter websites that dropship.
Example 1. dropshipdesign-I located 3 of the wholesalers for dropship design.Dropship design has not increased the price 1 cent.At least for the 3 wholsalers i found.One thing i did find is that these companies will give a better price if bought in bulk.One of the wholesalers wont deal with me because i live in Singapore.Well not quite.They want me to sell in bulk.If i sell in bulk they will dropship for me.Which can make some items cheaper by 15.00 a (pc) depending what the item is of course.I found many companies pretending to be the sole importer of these products.So becareful.I also found some of the manufacturers in china who supply the main importers who dropship for the dropship companies.You would be very angry if you knew how much the importer is marking up the PRICE.Some items marked up as high as 45.00 a item! So i think ill start cherry picking one item off at a time.The shipping is higher than it should be for most of the dropshippers,i dont know who gets that money.Best thing i love is handling charge!!! thats the dam shipping charge.They have way more than enough profit to cover the so called handling.I love to see those as seen on tv products wholesale for 2.95$ when the cost was 44 cents and with duty taxes and sea freight cost goes to 95 cents.Then the shipping is 7.95 which is really 4.25 and plus they add a 1.50 handling!!!.Im almost tempted to give the source out of the main company that exports the as seen on tv products.and guess what!!!! you dont need to buy a 20ft container to still beat 2.95 plus 1.50 plus 7.95 your paying 12.40 for a product that should cost wholesale no more than 2.00 and shipping 4.25 which is 6.25.Thats for shipping one product.VS 12.40 or higher.As seen on tv products is the easiest target.Remember the pasta pot.2.65$ and less!!!!! on tv 19.95 plus shipping.Flea market 10.00$ to 9.00$.

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