WORDPRESS
8 Best Banks for ECommerce Businesses in 2024
For eCommerce businesses to thrive, they need financial providers that offer cost-effective business checking accounts that integrate with popular eCommerce platforms. Business services that provide seamless payment for customers and vendors are also vital. Our list includes fintech companies offering innovative account features and traditional banks providing full-service banking products to support the growth of your online business.
We review the 10 best banks for eCommerce businesses.
- Best overall bank: Bluevine
- Best for integrated payment solution and digital invoicing: Chase
- Best for fee-free wire transfers and discounted software: Mercury
- Best for cash flow management tools: U.S. Bank
- Best for speedy fund access and eCommerce app integrations: Novo
- Best for large teams needing more accounts and debit cards: Relay
- Best for budgeting and multiple software integrations: North One
- Best for multi-currency accounts and integrated payment gateway: Revolut
Best banks for eCommerce businesses quick comparison
Below, we summed up the top features we considered for the 8 financial providers. Here is our list of the best banks for eCommerce businesses.
Bluevine: Best overall bank for eCommerce businesses
Our rating: 4.50 out of 5
Bluevine is an excellent fintech offering high-interest business checking accounts with unlimited transactions and a line of credit financing with easy qualification requirements. New eCommerce business owners can open the basic tier, Bluevine Standard, and earn a 2.0% APY up to $250,000 for qualifying balances. Once your eCommerce enterprise takes off, you can easily switch to Bluevine’s higher tier products, Bluevine Plus or Bluevine Premier, to take advantage of higher yields (3.0% to 4.25%) and discounted wire transfer rates and same-day ACH fees.
Why we chose it
We ranked Bluevine as the overall best bank for eCommerce businesses since it integrates with one of the most popular eCommerce platforms, Square, which allows easy online payments. Bluevine is also compatible with other top accounting and payment software, QuickBooks, Wave, Wise, Venmo, and Cash App, among others. Company owners with an international clientele can also send payments to 32 countries in 15 currencies, and these payments can be available within 24 hours.
Note that cash deposits are accepted by Bluevine but have corresponding fees
.
Monthly fees
- Bluevine Standard: $0
- Bluevine Plus: $30; waivable by having:
- An ADB of $20,000 across your Bluevine checking account, including subaccounts.
- A spend of $2,000 monthly using your Bluevine debit card or credit card.
- Bluevine Premier: $95; waivable by meeting:
- An ADB of $100,000 across your Bluevine checking account, including subaccounts.
- A spend of $5,000 monthly using your Bluevine debit card or credit card.
Features
- Square integration, including Wise, Venmo, and CashApp.
- Compatible with Quickbooks, Xero, and Wave.
- International payments to 32 countries in 15 currencies.
- Free incoming wire transfers and standard ACH fees.
- Lines of credit of up to $250,000 at low rates.
- Business credit card with unlimited cashback and a $0 annual fee.
- Five subaccounts with unique account numbers.
- Priority customer support for Bluevine Premier clients.
Pros and cons
Pros | Cons |
---|---|
Three business checking options with high interest rates (2.0% to 4.25%). | Cash deposit fees at Allpoint+ ATMs and Green Dot locations. |
No minimum balance requirement, opening deposit, or monthly fee for Bluevine Standard. | Charges $2.50 for non-network ATM use on top of operator surcharges. |
FDIC insurance of up to $3 million. |
Chase: Best for integrated payment solution and digital invoicing
Our rating: 4.19 out of 5
A renowned traditional bank, Chase provides integrated payment solutions and partners with Authorize.net to make it easy to accept card payments on your eCommerce website or through your mobile device. Chase gives you the option to open three business checking accounts with waivable fees. Aside from this, the bank has a full lineup of business savings, certificates of deposit (CDs), business credit cards, lending products, and merchant services. You can access in-person customer service from over 4,700 branches in 48 states.
Why we chose it
We consider Chase one of our best banks for eCommerce businesses because it features robust payment solutions, including a free payment processor, QuickAccept, which lets you receive phone payments and send secure payment links. QuickAccept is free when you open the lowest tier account — Chase Business Complete Banking. You can also access it through the Chase mobile app. Additionally, QuickAccept funds can be deposited for free into your account on the same day. Free digital invoicing is also available from your bank account, helping you track the payments processed via QuickAccept.
Opening a Chase Business Complete Banking account does not require an initial opening deposit and a required minimum balance. You get 20 paper transactions, unlimited electronic transactions, and a monthly cash deposit allowance of $5,000.
Monthly fees
- Chase Business Complete Banking: $15; waivable by having any of these:
- $2,000 average daily balance.
- $2,000 Chase Ink Business Cards spend.
- $2,000 in deposits from Chase QuickAccept or other eligible Chase Payment Solutions transactions.
- Chase Private Client Checking account.
- Qualifying proof of military status.
- Chase Performance Business Checking: $30; waivable by meeting a $35,000 or greater combined average daily balance (ADB) in qualifying business deposit accounts.
- Chase Platinum Business Checking: $95; waivable by meeting a $100,000 combined ADB across qualifying business deposit and investment accounts. With a linked Private Client Checking account, the required ADB is $50,000.
Features
- Built-in card acceptance through its mobile app.
- Payment and invoicing services via Chase Payment Solutions.
- $0 or $5 wire fees for outbound FX transactions facilitated online or via Chase’s app.
- Ability to send international wires in 120-plus currencies to more than 160 countries.
- Free associate and employee debit cards upon request.
- Chase Bank QuickBooks integration.
- Fraud protection services.
- Online and branch customer support.
Pros and cons
Pros | Cons |
---|---|
$5,000 free cash deposits monthly for entry-level accounts. | No interest earnings. |
Unlimited electronic transactions | Only 20 fee-free paper transactions. |
$300 cashback bonus for new accounts (conditions apply). | $3 ATM fee when using nonnetwork (waived for higher-tier accounts). |
No required opening deposit and minimum balance. | High balances to waive the monthly fees for premium checking accounts. |
Mercury: Best for fee-free wire transfers and discounted software
Our rating: 4.17 out of 5
Mercury is a fintech favored by tech startups for its fee-free business checking account with unlimited transactions, solid startup services, and high FDIC insurance of $5 million ( via partner banks’ sweep network). Its Shopify, Square, and Stripe integrations support eCommerce businesses and streamline operations. Mercury offers tiered workflow plans for faster payments through bill pay. You can benefit from advanced automated accounting when you subscribe to its paid plans, Mercury Plus, or Mercury Pro.
Why we chose it
Unlike other financial providers requiring you to subscribe to a higher plan to waive wire fees, Mercury sets itself apart by offering free domestic and international wire transfers. If you are an eCommerce entrepreneur, you can save a lot when paying your local and overseas vendors. You can also access software deals on business tools, like Google Cloud, QuickBooks Online, Gusto, and Slack, which makes running your online business more efficient. Mercury is also compatible with other business software, such as Xero, Zapier, Amazon, and PayPal.
Monthly fee
- Mercury Business Checking: $0.
Features
- Physical and virtual debit cards.
- QuickBooks, Netsuite, and Xero accounting software integration.
- Compatible with Shopify, Stripe, Square, Zapier, Amazon, and PayPal payment processors.
- IO corporate card has auto cash back rewards.
- Savings account available.
- Customized account access and 14 subaccounts.
- Advanced accounting automation is available under a subscription plan.
- Mercury investor database.
Pros and cons
Pros | Cons |
---|---|
No opening deposit, minimum balance requirement, or monthly fee. | Cash deposit is not allowed. |
Fee-free wire transfers. | Sole proprietorship and trust accounts cannot be opened. |
1.5% cashback on all domestic and international credit card spending. | The checking account does not bear interest. |
Novo: Best for speedy fund access and eCommerce app integrations
Our rating: 4.13% out of 5
Novo is a digital provider that widely supports eCommerce businesses by offering a fee-free checking account which integrates with top eCommerce platforms, such as Stripe, Square, Shopify, eBay, Amazon, WooCommerce, and Etsy. Online shop owners can easily send unlimited and free invoices, receive their Stripe funds quickly, and pay vendors on the same day. For overseas payments to suppliers, you can process international transfers at a low fee, courtesy of Novo’s partnership with Wise.
Why we chose it
Novo accommodates the needs of online store owners, Amazon sellers, and dropshippers, by making Stripe payments available within hours through Novo Boost. The seamless connection with Stripe provides transparency since you can easily check your available Stripe balance in the platform. If you need to increase product orders, you can also make vendor payments using Express ACH to ensure that funds are received on the same day. With Novo, you can open 20 reserve accounts to separate your business expenses, receive ATM fee refunds of up to $7 monthly, and connect with essential business solutions, QuickBooks, Xero, and Wise.
The Novo Business Checking account features unlimited monthly transactions and allows cash deposits exclusively through money orders.
Monthly fee
- Novo Business Checking: $0.
Features
- Stripe, Square, eBay, Amazon, Shopify, WooCommerce, and Etsy integrations.
- Low-fee international payments through Wise partnership.
- Built-in unlimited invoicing through the Novo app.
- Compatible with QuickBooks, Xero, Zoho, Freshbooks, and Gusto.
- Links with Zapier, Slack, Venmo, Cash App, and PayPal.
- Physical and virtual debit cards.
- No standard ACH fees and incoming wire fees.
- Merchant cash advances (MCAs) financing up to $75,000 via Novo Funding.
Pros and cons
Pros | Cons |
---|---|
Up to $7 monthly ATM fee refunds. | No interest earnings. |
No opening deposit or monthly fee. | No direct cash deposits. |
No minimum balance requirement. | No debit card cash back rewards. |
Features
- Cashflow tools.
- QuickBooks and ADP integrations.
- Zelle, point-of-sale (POS) solutions, and cash management services.
- Overdraft protection.
- High-yield money market accounts.
- Check fraud prevention services.
- Fee-free withdrawals at the MoneyPass network.
- Small Business Administration (SBA) loans, lines of credit, and term loans.
Pros and cons
Pros | Cons |
---|---|
$900 welcome bonus. | Minimal interest is offered for interest-bearing checking products. |
No monthly fee for basic tier checking. | Steep balances required to waive monthly fees for high-tier accounts. |
Cashflow tools. | Low free cash deposit limit for basic accounts. |
Relay: Best for large teams needing more accounts and debit cards
Our rating: 3.94% out of 5
The fintech Relay offers a fee-free business checking product that integrates with eCommerce platforms Square, Stripe, and Shopify. It also connects with payment and money transfer apps like PayPal, Venmo, Melio, and Wise, including accounting software QuickBooks Online and Xero. Online companies with large teams can apply for more business checking accounts and debit cards to streamline expense management. You can also assign different permission levels for each employee to divide financial tasks.
Why we chose it
For eCommerce businesses with large teams, it is possible to open up to 20 checking accounts and issue up to 50 Visa debit cards, both virtual and physical cards to employees. This makes it easy to track and control business expenses. An advantage Relay offers over other financial providers is allowing its customers to deposit cash for free at over 55,000 Allpoint ATMs. No ATM withdrawal fees are also charged by Relay, although operator surcharges can apply.
The Relay business checking account has no monthly fee and provides unlimited transactions. To take advantage of fee-free wire transfers and same-day ACH transfers, you can upgrade to Relay Pro at $30 monthly. Additionally, you can auto-import bills and batch bill payments.
Monthly fees
- Relay Business Checking: $0.
- Relay Pro: $30; not waivable.
Features
- QuickBooks, Xero, Gusto, and Plaid integrations.
- Relay business savings accounts earn 1% to 3% interest.
- Shared account access with team members.
- Debit cards can be customized.
- No overdraft fees.
- $5 to $10 wire fees (Relay Business Checking) and $0 wire fees (Relay Pro).
- Relay Pro offers fee-free outgoing wires, same-day ACH, and more perks.
- FDIC insurance coverage of up to $3 million.
Pros and cons
Pros | Cons |
---|---|
Fee-free incoming wire transfers. | No APY for checking accounts. |
20 subaccounts under a single ID (10 for sole proprietors). | Lacks business financing options. |
No required minimum balance, opening deposit, or monthly fee for Relay Standard. |
North One: Best for budgeting and multiple software integrations
Our rating: 3.89% out of 5
North One is a fintech platform that offers convenience to eCommerce business owners by providing an account where you can view sales, payments, and spending in one setting. Although you need an opening deposit of $50, you won’t need to pay a monthly fee. It also integrates with popular eCommerce tools, such as Shopify, Square, and Stripe, which makes it easy to monitor your business income and expenses. Unlimited subaccounts are available to track transactions from other product lines. If you need additional working capital, North One provides financing through lines of credit and term loans.
Why we chose it
A North One standard account is ideal for eCommerce entrepreneurs since one of its main features is a budgeting tool, Envelopes, where you can categorize different business expenses for a more organized approach. Another key offering is its wide range of integrations spanning accounting, financial management, invoicing, payments and eCommerce, payroll, and productivity. These software and tools allow you to run your online business smoothly. If you often send same-day ACH, you can upgrade to North One Plus ($20 monthly) for fee-free transfers.
To deposit cash in your North One account, you can transact at Green Dot retail locations (up to $4.95 per deposit). Standard users get one cash deposit fee refund, whereas Plus users get three.
Monthly fee
- North One Standard Account: $0.
- North One Plus Account: $20.
Features
- Compatible with Stripe, PayPal, Square, Shopify, Amazon, and eBay.
- Physical and virtual cards for each owner.
- Free bill pay and incoming domestic wires.
- Integrates with QuickBooks, Wave, Patriot Accounting, Zoho, and more.
- Paper checks can be sent via the North One account.
- Discounts and free trials of business software and productivity tools.
- Local customer support is available through phone, email, and live chat.
- Monthly ATM withdrawal fee refunds (2 for Standard users and 6 for Plus users).
Pros and cons
Pros | Cons |
---|---|
Unlimited transactions. | No APY is provided. |
Sales, payments, spending, and budgeting are viewed in one place. | Lacks interest earnings. |
Its budgeting tool helps categorize funds. | No savings accounts. |
Revolut: Best for multi-currency accounts and integrated payment gateway
Our rating: 3.86% out of 5
Revolut offers eCommerce businesses an all-in-one finance platform that supports global payments and multi-currency accounts. You can issue employee cards for better expense management, use analytics tools, and integrate with top eCommerce solutions such as WooCommerce, Prestashop, Adobe Commerce, OpenCart, Shopify, and BigCommerce. Revolut business accounts are available for companies and freelancers in a free or paid plan.
Why we chose it
If your eCommerce company operates internationally, then opening a Revolut account can be valuable. You can make low-cost international transfers using multi-currency local accounts. You can also hold and exchange 25 currencies and spend up to 150 local currencies, which makes cross-border payments more affordable.
Revolut tops other providers by offering its own payment gateway for eCommerce businesses. Through Revolut Pay, advanced payment solutions are available for fast and secure payments. Checkout processes are also simplified. Diverse payment methods are supported, making it convenient for your customers to use their preferred digital payment mode.
Monthly fees
- Basic: $0.
- Grow: $30.
- Scale: $119.
- Enterprise: Custom.
Features
- Multiple local account options are in USD, EUR, CHF, and GBP.
- Physical cards and virtual cards.
- QuickBooks, Xero, and Sage integrations.
- In-app chat support is available 24/7.
- Shared account access.
- Creation and sending of custom invoices.
- Facilitates bulk payments for paid plans.
- Various payment acceptance tools.
Pros and cons
Pros | Cons |
---|---|
No monthly fees for the Basic Business Account. | Free international transfer allowance is available for paid plans only. |
Hold and exchange 25 currencies. | 2% ATM withdrawal fees regardless of the amount. |
Speedy local and international payments with free transaction allowances for some plans. | Cash deposits are charged up to $4.95. |
How to choose the best banks for eCommerce businesses
We looked at the following factors when evaluating and assigning a rating for the best banks for eCommerce businesses:
- Integration with eCommerce platforms and other business tools.
- International payment access and wire transfer costs.
- Monthly fees and waiver conditions.
- Transaction limits.
- Interest rate offer.
- Minimum opening deposit and required maintaining balances.
- ATM fees and transaction limits.
- Cash deposit options.
- Account features.
- Ease of account opening and app ratings.
- Business products and services offered.
- Customer support availability.
Methodology
To create the list of the best banks for eCommerce businesses, we reviewed the different providers’ eCommerce integrations, including their available business tools. We also checked a bank’s ability to send international payments and provide APY earnings. In addition, we evaluated the account’s fee structure, specifically its monthly fees, transaction limits, initial deposits, and maintaining balance requirements. Further, account features and other available business products and services were also considered.
Frequently asked questions
Do I need a business bank account for eCommerce?
It is recommended for small business owners to open a business account for eCommerce to separate their business revenue from their personal funds. In addition, opening a business bank account helps you build business credit, ease tax preparation, and establish business credibility.
What is an eCommerce merchant account?
An eCommerce merchant account is a specific bank account tailored for eCommerce businesses to accept online customer payments. Using a secured payment gateway, customers can pay for an online product or service from their bank account to an eCommerce merchant account.
This article was reviewed by our banking expert Tricia Jones.
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WP Engine sues WordPress co-creator Mullenweg and Automattic, alleging abuse of power
Web hosting provider WP Engine has filed a lawsuit against Automattic, and WordPress co-founder Matt Mullenweg, accusing them of extortion and abuse of power. The lawsuit comes after nearly two weeks of tussling between Mullenweg, who is also CEO of Automattic, and WP Engine over trademark infringement and contributions to the open-source WordPress project.
WP Engine accused Automattic and Mullenweg of not keeping their promises to run WordPress open-source projects without any constraints and giving developers the freedom to build, run, modify and redistribute the software.
“Matt Mullenweg’s conduct over the last ten days has exposed significant conflicts of interest and governance issues that, if left unchecked, threaten to destroy that trust. WP Engine has no choice but to pursue these claims to protect its people, agency partners, customers, and the broader WordPress community,” the company said.
The case document, filed in a court in California, also accused Mullenweg of having a “long history of
obfuscating the true facts” about his control of WordPress Foundation and WordPress.org
The story so far
Mullenweg had criticized WP Engine for infringing WordPress and WooCommerce trademarks. He called them the “Cancer of WordPress” and also called out WP Engine’s private equity partner, Silver Lake, for not caring about the open-source community.
Later, WP Engine sent a cease-and-desist letter, asking Mullenweg and Automattic to withdraw these comments. Automattic then sent its own cease-and-desist, accusing WP Engine of infringing WordPress and WooCommerce trademarks.
Notably, Mullenweg banned WP Engine on September 25 from accessing WordPress.org resources, including plug-ins and themes, and preventing WP Engine customers from updating them. Two days later, Mullenweg provided a temporary reprieve and unblocked WP Engine until October 1.
On Wednesday, Automattic published a proposed seven-year term sheet that it had sent to WP Engine on September 20, asking the hosting company to pay 8% of its gross revenues per month as a royalty fee for using the WordPress and WooCommerce trademarks.
Alternatively, WP Engine was given the option to commit 8% by deploying employees to contribute to WordPress’s core features and functionalities, or a combination of both people hours and money.
WP Engine didn’t accept these terms, which included a probation on forking plugins and extensions from Automattic and WooCommerce.
You can contact this reporter at [email protected] or on Signal: @ivan.42
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Automattic demanded web host pay $32M annually for using WordPress trademark
“WPE’s nominative uses of those marks to refer to the open-source software platform and plugin used for its clients’ websites are fair uses under settled trademark law, and they are consistent with WordPress’ own guidelines and the practices of nearly all businesses in this space,” the lawsuit said.
Mullenweg told Ars that “we had numerous meetings with WPE over the past 20 months, including a previous term sheet that was delivered in July. The term sheet was meant to be simple, and if they had agreed to negotiate it we could have, but they refused to even take a call with me, so we called their bluff.” Automattic also published a timeline of meetings and calls between the two companies going back to 2023.
Mullenweg also said, “Automattic had the commercial rights to the WordPress trademark and could sub-license, hence why the payment should go to Automattic for commercial use of the trademark. Also the term sheet covered the WooCommerce trademark, which they also abuse, and is 100 percent owned by Automattic.”
Automattic alleged “widespread unlicensed use”
Exhibit A in the lawsuit includes a letter to WP Engine CEO Heather Brunner from a trademark lawyer representing Automattic and a subsidiary, WooCommerce, which makes a plugin for WordPress.
“As you know, our Client owns all intellectual property rights globally in and to the world-famous WOOCOMMERCE and WOO trademarks; and the exclusive commercial rights from the WordPress Foundation to use, enforce, and sublicense the world-famous WORDPRESS trademark, among others, and all other associated intellectual property rights,” the letter said.
The letter alleged that “your blatant and widespread unlicensed use of our Client’s trademarks has infringed our Client’s rights and confused consumers into believing, falsely, that WP Engine is authorized, endorsed, or sponsored by, or otherwise affiliated or associated with, our Client.” It also alleged that “WP Engine’s entire business model is predicated on using our Client’s trademarks… to mislead consumers into believing there is an association between WP Engine and Automattic.”
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5 Most Profitable Online Businesses You Can Start Today for Free!
In today’s digitalized world, starting a business doesn’t always mean you have to have a good chunk of money and years of experience in the field. Yeah, it’s good if you have them, but even without them, you can start a business and make money. Not just a few hundred dollars; some businesses can even make you a millionaire if you invest your time and available resources into them.
You need to have the right approach and the proper set of skills to make that happen. And you can learn such skills for free on the internet. So, all you need is the willingness to put in the work and effort it needs.
In this post, you’ll see 5 most profitable online business ideas that you can start today for free. You don’t need anyone to help you with these businesses when you’re starting out; you can do it all alone, and you can manage these businesses from the comfort of your home.
Even if you don’t know a single thing about these businesses, you can learn them for free on YouTube, Udemy, and the Interent. There’s more than enough free resources out there about these topics to take you from 0-10 real quick.
So, sit down and grab your popcorns, because this article might be the only thing you need to launch your first online business, today itself!
Please note: This post contains affiliate links to products I use, trust, and recommend. If you choose to purchase a helpful product using these links, I may receive a small commission for referring you – at no extra cost to you. These funds help me keep this blog up and running.
1. Affiliate Marketing
Affiliate marketing is one of the most profitable and easy-to-start businesses out there. In affiliate marketing, you need to promote someone else’s product in order to make money. The person who promotes the product in exchange for some commission is called an affiliate.
When you sign up to be an affiliate of any program, you’ll get a unique link to promote the products called an affiliate link. You need to use your affiliate link to send customers to the seller’s page. That link tracks the amount of sales you generate to determine the money you make.
You don’t need to create, package, or ship the products yourself. The seller who is selling the product will do these all. All you need to do is, refer customers to the seller. And when the customer referred by you through your affiliate link makes a purchase, you get a small percentage of the sale amount as a reward. That’s it. That’s what affiliate marketing is!
Through affiliate marketing, you can promote both physical and digital products.
You don’t always have to sell products to earn affiliate commission. Sometimes, you get commission to make people download something. That can be an app, software, or browser extension. Sometimes, you get commissions to make people sign up for particular websites or services. Sometimes, you get commission to generate leads for businesses and agencies, etc. All these things need to be done through your affiliate link in order for you to make a commission.
How to Get Started?
1. Choose your Niche
You need to choose a niche to start affiliate marketing. You can’t promote everything from workout gear to making money online courses yourself! So, choosing a niche is very important to succeed in affiliate marketing. Some popular niches for affiliate marketing are: health & fitness, finance, home & kitchen, technology, relationships, etc.
2. Find the Product
After choosing a niche, you need to find a product to promote. If you decide to get into the health and fitness niche, then you can promote workout plans, weight loss supplements, keto meal plans, hair loss products, and so much more. So, decide what you want to promote and find a good product for it.
3. Build a Platform
Now, you’ve decided your niche, and your product is ready to promote, so all you need is a platform to promote it. You can promote affiliate products either through a blog or through social media. You can write articles on your blog or grow your social media accounts to share your affiliate links.
Here are some popular affiliate marketing platforms you can join.
The affiliate marketing industry is worth nearly $17 billion. So, you can start your affiliate marketing journey today to get a small chunk of that seventeen billion dollars for yourself!
2. Selling Digital Products
Selling digital products is another great way to make a hefty amount of money online. Digital products are a great way to share your knowledge and creativity with the world while making some money.
Digital products are products that are created and sold online. They don’t exist in the real world, except for printables. Printables are graphics that are created digitally but needs to be printed out in the real world to be used.
From ebooks to online courses and printables to music, there’s a wide variety of products that you can create and sell.
Here are some digital products that you can create and sell easily.
If you’re wondering which digital product sells the best and which one you should sell, consider this analysis done among 96,000 creators by influencers.club. According to the analysis, online courses were the most sold digital products, with 35.7% of the entire digital products sold, followed by ebooks (7.3%) and cookbooks (3.8%).
Here are a few more:
Check out 16 Best Digital Products to Sell in 2024
How to Get Started?
1. Choose Your Niche
The first step to building a profitable digital product business is to choose a niche that you’re interested in and have a demand in the market. You can select a niche based on your expertise, passion or to profit from an untapped market opportunity. Make sure that there are enough people willing to pay for your products so that you can make a good amount of money selling them.
2. Create Your Product
After choosing a niche to get into, you need to create a solid product to sell. In order to get constant sales, your product needs to be highly valuable. Either it needs to solve your customer’s problem or it needs to add significant value to their life. Make sure that your product is up-to-date, functional, and user-friendly.
3. Set up a Platform to Sell
Now that you have decided your niche and your product is ready to sell, all you need is a platform to host and sell your products. You can either sell digital products through your own website or through platforms like Etsy, Gumroad, Teachable, etc.
You can sell ebooks, printables, planners, digital arts, wallpapers, templates, etc. through Etsy and Gumroad. And to sell online courses, you can use platforms like Teachable or Udemy.
You can use graphic design tools like Canva and Adobe Illustrator to create printables, stickers, templates, wallpapers, etc. And you can write your ebook on Google Docs or Notepad and save it as a pdf to sell it.
4. Price Your Products
After your product is ready and you’ve decided a platform to sell, you need to set a price to sell your products.
Pricing is a really crucial part. You can’t price it too high or too low. If you price it too high, very few people are likely to buy it, and if you price it too low, you won’t make enough profit.
So, while pricing your product, evaluate the product yourself and do your market research to analyze your competitors pricing to determine your own product’s pricing.
You can promote your digital products by creating video/image content, writing blog posts, email marketing, paid ads, SEO, and through social media marketing.
Digital products can be a great way to make money online passively without needing much work and attention. So, this might be something you would love to get into! The best part is, there is no limit on how much money you can make. Ana from TheSheApproach has made over $55,000 selling ebooks alone through her small blog.
3. Print on Demand
Print on Demand, or POD, is gaining immense popularity in recent times due to its business model. Print on demand business has less to no startup cost, which makes it easier for anyone to get into it.
In Print on Demand business, you create designs to print on mugs, t-shirts, hoodies, caps, pants, etc. After your design is ready, you find a print-on-demand supplier to print and sell your products.
Unlike other type of businesses, in POD, the products are not produced first and listed for sale later. Instead, the products are promoted first and only produced or printed when a customer places an order.
In POD, your job is to create designs and market your products. Your POD supplier will do everything else, from printing, packaging, and delivering the product. They will even handle the returns if they have to.
How to Get Started?
1. Choose a Niche
First of all, choose a niche you want to start your business in. Choose a niche that has huge demand in the market and something you’re interested in. For example, if you’re interested in sports, you can create designs related to sports, print them, and sell them.
2. Create Your Designs
After you’ve chosen your niche, you need to create designs to print on products. Good designs attract more eyeballs and generate more sales compared to plain, low-quality designs. So, put your maximum effort into creating good designs. Your designs might be the only differentiator between success and failure of your POD business.
3. Choose a Print on Demand Supplier
After your design is ready, you need to find a good and trustworthy POD supplier to print and supply your products. Choose a supplier that uses high-quality materials to create products, has less fees, low shipping time, good customer support, and large area coverage. These things are crucial for your business’s success.
Here are some popular print-on-demand suppliers:
4. Set up Your Store
Now that your product is ready to sell, you need to find a platform to sell it. You can sell your POD products on Etsy, WooCommerce, or eBay, or setup a Shopify store to sell them. Your store must be clean and colorful to convert more visitors into customers.
5. Price Your Products
After your store is setup, you need to price your product. Make sure to check your competitors prices before pricing your own products. You can’t sell your products for significantly more than what your competitor is selling for. If you do so, you won’t get as many sales as you would have with a lower price point.
You can market your Print on Demand products mainly through social media and paid ads. You can start and grow a social media account to promote your POD products for free.
The print-on-demand market is worth more than $7.24B in 2024 and is projected to reach $43.4B by 2030 with a growth rate of staggering 26.8%. So, this might be the chance to dip your toes into the world of ecommerce with print on demand.
4. Dropshipping
Dropshipping is one of the hottest and most popular online business right now. It has made thousands of teenagers and 20-year-olds millionaires, and its craze is not going down anytime soon.
Dropshipping is a business model where you find a product, advertise it, and generate sales, but someone else produces, packages, and ships them for you.
You buy products for less price from retailers or even manufacturers and sell them for a higher price through your own store. For example, if I find a cool watch on Alibaba.com that I can buy for $7 a piece, then I will create my own store to advertise that product and sell it for $20, $30, or even more. That is how you make money with dropshipping.
In dropshipping, you don’t have to worry about producing product, packaging, shipping, or keeping a product inventory because whenever an order comes in, you forward that order and customer’s details to your supplier, and then your supplier will produce, package, and deliver the product to your customer. There are several tools and softwares to automate this entire process. Here you’re basically a middleman reselling the products.
How to Get Started?
1. Find a Product
To start a dropshipping business, first you need to find a product that solves a specific problem of your customers. Sometimes the product can be a fashionable or decorative item like a watch. The product has to have a high potential to sell. In the world of dropshipping, a product that solves a problem and has a high potential to sell is called a winning product.
2. Find a Supplier
After finding a good product to sell, you need to find a supplier who can supply you the same product for a cheaper price. A supplier can be the making or breaking point of your business because your job is to promote the product and bring customers. Everything except that is done by your supplier, so if you find a good supplier, you won’t have or have very few problems in your business, and vice versa.
So, before choosing your supplier, check their product quality, delivery time, packaging style, and customer service. A good supplier must have high-quality products, low delivery time, good packaging quality, and good customer support.
AliExpress is the go-to platform to find suppliers and products at a cheaper price, for dropshipping.
3. Build Your Store
After you’ve found a good product and a reliable supplier, you need to build a store to market your products. You can create your store on platforms like WooCommerce, Shopify, GetResponse, and Wix or sell them directly on Amazon or eBay. The design of your store must be clean, simple, and colorful to get more sales.
4. Market Your Store
After your store is setup and ready to sell, you need to advertise it, to bring customers to it. To advertise your store, you can use social media, paid ads, content marketing, SEO, and more.
Most dropshippers advertise their store through either Facebook or TikTok ads and through content marketing by creating viral pieces of content for TikTok, Instagram reels, and YouTube shorts.
That’s it! That’s how you can start your own dropshipping business and profit from the $250B dropshipping industry.
5. Dropservicing
Now you know what dropshipping is, but have you ever heard about dropservicing? Huh? Dropshipping deals with selling physical products, but dropservicing is all about selling services.
Dropservicing, also known as service arbitrage, is a business model where you sell services to clients. But instead of doing the work yourself, you outsource the work to a third-party service provider, either a freelancer or an agency. In dropservicing, you’re basically a middleman, just like in dropshipping, who acts as a service seller in front of clients to make money without doing any work yourself.
Whatever remains after paying your service provider from the amount your client paid is your profit. For example, if you find a client who is ready to pay you $1000 to edit a video for him. Then you find a freelancer or a video editing agency who can edit the same video for $400, then you can keep the remaining $600 with yourself. The more you charge your client and the less you pay your service provider, the more money you make. Didn’t understand? Read it again, you’ll get it!
How to Get Started?
1. Choose a Niche
To start a dropservicing business, you must be good at some kind of skill or a particular niche. That can be web designing, video editing, graphic designing, content writing, etc. Even though you’re not the one doing the work, you need to have proper knowledge and skill in the field to convince your client that you’re capable enough and a perfect fit for the work.
2. Find Your Service Provider
After you’ve decided your niche, you need a service provider to do the required tasks for you. While choosing a service provider, you need to make sure that they are good at what they do; otherwise, you’ll end up with a low-quality output that may not satisfy your clients and may not fulfill their requirements. You can find service providers on platforms like Fiverr, Upwork, Freelancer, etc., or on social media platforms like Facebook and LinkedIn.
3. Setup a Platform
After you’ve decided your niche and found the service providers, you need to market your services in order to get clients. To do so, either you can create your own website, create a profile on freelancing platforms, or promote your services through social media.
While setting up a platform, you need to add your portfolio, past works, pricing, client testimonials, and contact information. Don’t worry if you don’t have any of these! You can add your service provider’s portfolio and client testimonials as yours while setting up your platform.
4. Set Your Prices
Before you launch your dropservicing business, you need to set a price for your services. While setting up pricing your services, find out how much your service provider is charging for the service you’re going to sell, and set your prices accordingly. For example, if your service provider charges $400 to edit a video, you can set your video editing price at $600, $700, or more.
You can promote your dropservicing business through content marketing, SEO, social media marketing, cold outreach, paid advertising, and freelance platforms.
Cold outreach is a process where you reach out to or contact someone via email who doesn’t have any connection with your business. The email is meant to aware them about your product or service and provide them with an offer.
Best Platforms to Start Your Business
If you’re thinking of starting a blog to get into affiliate marketing, then I would highly suggest you create your blog on either Wix or WordPress. These two are the best blog builders out there.
And if you’d like to create your own website to promote your digital products, dropshipping/dropservicing business, and print-on-demand products, then I would suggest you use GetResponse’s simple drag-and-drop website builder. It’s very easy to use and completely free to create and manage a website for lifetime. Getresponse also has its own email marketing tool, so, if you want, you can even start email marketing with it for completely free!
Tips to succeed:
1. Stay Consistent: You won’t see results overnight, so you need to be consistent to get results and make money.
2. Learn, Learn, Learn: Whatever business you get into, learn about it as much as you can. Learning will help you gather more knowledge about the topic, which ultimately helps you to get better results and earn more.
3. Be Patient: Many people give up too early because they are really, really impatient. Remember, great things take time, and if it were so easy and fast, then everyone would have done it.
4. Provide Value: If you want to make money, then you need to provide something that is equally valuable to your customers. So, make sure your main motive is to provide value along with making money.
So, these were the 5 most profitable online business ideas that you can start today for free. Let me quickly recap them for you. 1. Affiliate marketing 2. Selling digital products 3. Print on Demand (POD) 4. Dropshipping 5. Dropservicing. Make sure to give them a try if you’re thinking of starting an online business. And tell me in the comments, which one of these businesses would you start if you have to?