Should you register your online dropshipping store?

[mbobic]

Hello, I am just getting started with my ecommerce business. I am trying to sell products via dropshipping technique. Now, by some people I was not told anything about legal issues, business registration, etc.



On the other hand, I was told by other people that manufacturers (companies I would do dropshipping with) might ask for my official business name and Tax ID (or resale number). In order to have those, the business must be registered with the government.

I know many websites don't have this, especially if they are selling their own product. However, doing a business with big manufacturers, might require registration of our own business.



My question is, since I am in Canada, and if I market products that are manufactured in US, by US manufacturers, should I register my business in US? Does it make a difference where I am registered (since I won't handle the products anyhow)?



Do any Canadians here know whether I can do the ecommerce without registration of my business? (Because I was told that if my earnings are under $30,000, I don't need to register).

Finally, did your companies ask for Official Business name or Tax ID when you contacted them?

[roban]

First we are not a resource for legal issues. You should check with your government agencies about your particular situation.

In my case my business is a registered legal business as a sole proprietorship and yes, some of my drop shippers asked for my legal business name and tax ID.

[BasicECommerce]

Many drop-shippers and manufacturers will want a tax ID.

As far as registering your Canadian business with the US, I would assume it is unnecessary because you'll have a Canadian Tax ID. Then again, dont take my word. I do not want to add to the hear-say. Consult your legal/governmental agencies.

-BEC