Starting an Online Business All-in-One For Dummies®, 3rd Edition

Figuring Out the Logistics of Shipping

How do you set up the entire flow of your business? Start by thinking about the operations and daily tasks that make your business work. Then lay out everything and decide how the business can best operate. To help you plan all these tasks, ask yourself these questions:

• Does my online business operate from my home or a dedicated office space?
• Should I buy products for resale or have someone else ship the goods?
• Does a physical store or presence have to work with my online business?
• How many employees need access to the merchandise and system?

Track the flow of one of your items for sale from beginning to end:

• Receive the product from your supplier.
• Prepare the product for sale.
• Store the product while it's up for sale.
• Pack up the product after it's sold.
• Ship out the product after it's packaged.

Think about when and where these events take place, so you can plan the logistics of your business. Logistics simply refers to how you manage the operations of your business. You might need to dedicate a room in your house, or you might need to coordinate products and shipments through a warehouse that has different vendors and manufacturers.

The key is to set up a model that fits your business. You have no reason to buy an expensive software inventory program if you sell 10 or 20 items per month. Likewise, when your volume begins to grow, don't expect to run a multimillion-dollar venture with a pencil and pad of paper. Choose a system that lets ...