This article is mainly focused on on how one can become an online seller on Snapdeal. The various documents and a step by step process has been enumerated below. But first lets have a little introduction about the company Snapdeal.
Snapdeal is an e-commerce company that started in February 2010. Kunal Bahl and Rohit Bansal are the founders of the company. It is one of India’s largest online company selling over around 30 million products across 800 plus diverse categories from over 125,000 regional, national, and international brands and retailers and a reach of 6,000 towns and cities across the country.
Major investors of Snapdeal are SoftBank Corp, Ru-Net Holdings, Tybourne Capital, Nexus Ventures, Alibaba Group, Indo-US ventures, eBay, Temasek Holdings, Kalaari Capital, Saama Capital, Foxconn Technology, and many more. The first funding received was about USD 12 Million from Nexus Venture Partners and Indo-US Venture Partners in 2011.
Snapdeal has succeeded in acquiring many other company websites like Bengaluru based website Grabbon.com, Delhi based online sports goods company esportsbuy.com followed by a handcraft products company Shopo.in. and many more. The major acquisition made by the Snapdeal was Freecharge in 2015.
Registration as Online Seller on Snapdeal
Becoming an online seller on Snapdeal requires various documents –
Before becoming a seller on Snapdeal, one should have the GSTIN as per the laws of the government. If an established business wishes to sell its products on Snapdeal, then the process is not too long for them as they already have registered GSTIN. If a new seller wants to start selling then he must acquire GST IN, tax registration, etc.
2) Business Registration –
It may not be required for existing business entities or existing sellers. But for new sellers, PAN Card, TIN Registration process, and Bank Account are required to be registered first. If an established business entity is not readily available during the registration process, to start a Private Limited Company or Limited Liability Company. It is often suggested that e-commerce sellers should start a Private Limited Company because it offers quick scaling up and easy access to bank or equity funding. While on the other hand, Limited Liability Company has restrictions while raising bank or equity funding, that’s why not recommended.
3) PAN Card –
During the Snapdeal registration process, the Permanent Account Number has to be submitted bearing the name of the business entity. Both Private Limited Company or Limited Liability Company have PAN Number in the name of the business entity. In the case of Proprietorship, the PAN Number would be on the name of the Proprietor.
4) Bank Account –
It is compulsory to have a bank account in the name of the business entity. A copy of the canceled cheque has to be submitted during the Seller Registration process. It is easy to open a bank account in the name of the business by submitting the certificate of PAN Card and Incorporation in case of Private Limited Company or Limited Liability Company. It becomes cumbersome for a proprietorship to open a bank account in the name of the business because the existence of the business has to be proved by other tax or registration.
Snapdeal Seller Registering Process –
To become a seller on Snapdeal, one must follow a certain process-
1) Business Registration –
If an established business entity is not readily available during the seller registration process then a Private Limited Company or Limited Liability Company can be established or started. However, it is often suggested for e-commerce sellers to start a Private Limited Company because it offers quick scaling up and easy access to banking or equity funding. While on the other hand, Limited Liability Company restricts various raising of equity funds or banking.
2) Tax Registration –
It is one of the most important factors for becoming a seller on Snapdeal. One must obtain PAN Number and GSTIN Registration bearing the name of the business entity. It is easy to obtain a PAN Number in case of a Limited Liability Company or Private Limited Company but a little cumbersome in case of Sole Proprietorship. GSTIN Registration is mandatory for every entity selling goods and services in India.
3) Bank Account –
It is mandatory to open bank accounts in the name of the business entity for selling in Snapdeal. In the case of Private Limited Company or Limited Liability Company, it is easy to open accounts in the name of the business but in case of a proprietorship, the account is opened in the name of the proprietor.
4) Snapdeal Registration –
Complete the process of Online Seller on the Snapdeal Registration process by providing all the required documents( listed above) and information regarding the product.
5) Sign Partnership –
You need to sign the Snapdeal Partnership Deal Agreement after all the documents are submitted and the verification process is done.
6) Setup Online Shop –
After signing the deal, learn the Snapdeal Seller Dashboard and selling procedures which will help you to set up your online shop.
7) Start Selling –
Start selling your products as an online seller after all the process is done. You can use various methods to attract customers which will, in turn, increase your sales and give you more money.
Limited Liability Partnership (LLP) Registration Process