How to open a company for trading via marketplaces

Opening a company for trading through marketplaces is a process that requires a careful approach and knowledge of the law. It includes several stages, starting with the choice of an organizational and legal form and ending with registration with the tax service.

Step-by-step instructions will help to understand the nuances and successfully launch your business on marketplaces.

Step 1: Choosing an organizational and legal form

The first step is to choose the legal form for your company.

Usually, for trading in marketplaces, they choose:

• Sole proprietor (IE): suitable for small businesses with one owner.

• Limited Liability Company (LLC): suitable for businesses with multiple founders and a more complex structure.

The advantages and disadvantages of each form should be studied in detail in order to make the right choice.

Step 2: Choosing a tax system

After choosing the organizational and legal form, you need to determine the tax system.

For trading on marketplaces, the most popular:

• Simplified Taxation System (STS): allows you to pay income tax or income tax minus expenses.

• General taxation system (GTS): involves the payment of VAT, income tax and other taxes.

The choice of a tax system depends on the specifics of your business and the expected turnover.

Step 3: Preparation of documents

The next step is to prepare the documents for company registration.

Required documents:

• Application for state registration of a legal entity (for LLC) or an individual entrepreneur (for IE).

• Articles of Association (for LLC).

• Documents confirming payment of the state fee.

• Documents confirming the address of the place of residence (for IE) or location (for LLC).

• Resolution or minutes on the establishment of an LLC

Important:

• Check that all documents are filled in correctly.

• Submit the documents to the tax office in person, through a notary public or by mail.

Step 4: Opening a checking account

After the company is registered, it is necessary to open a bank account.

To trade on marketplaces, you will need an account that will allow you to:

• Accept payments from customers.

• Pay taxes and other mandatory payments.

• Transfer money to suppliers.

The choice of bank depends on your individual needs and the conditions offered by different banks.

Step 5: Register on the marketplace

Registration on the marketplace is the last stage of opening a company for trading through marketplaces.

To register, you will need:

• Information about your company.

• Bank details.

• Information about the products that you will be selling.

Important:

• Read the terms and conditions of the marketplace.

• Fill in all the required fields in the registration form.

• Provide all required documents.

Additional tips:

• Study the legislation on trading through marketplaces.

• Get advice from a lawyer or accountant.

• Identify your target audience and their needs.

• Choose a suitable niche for trading.

• Think over the logistics and delivery of goods in advance.

• Create high-quality product cards with detailed descriptions and photos.

• Provide a high level of customer service.

• Keep an eye on changes in the market and legislation.

Q&A:

Question: Is it possible to trade in the marketplace without opening a company or IE?

Answer: No, trading in the marketplace without registering a company/IE is illegal.

Question: What documents do I need to register on the marketplace?

Answer: To register on the marketplace, you need documents confirming the registration of your company/IE, as well as information about the products that you will sell.