With the rise of the digital age, traditional commerce has begun to evolve into selling on the internet. The idea of selling products/services over the internet without opening a physical store or selling online alongside physical stores is an attractive option that attracts the attention of today’s entrepreneurs. The reason why online sales are in such high demand is undoubtedly the advantages it provides. First of all, online sales offer the opportunity to do business at low cost. Because opening a traditional store brings high rental and operating costs. In addition, selling online provides access to a wide range of customers by eliminating geographical boundaries. In addition to all these advantages, flexible working hours is the biggest advantage ofe-commerce. While a physical store provides services with limitations such as opening and closing hours, selling online gives the opportunity to make sales 24/7.
Selling on the Internet includes some difficulties as well as the advantages and conveniences it provides. Being highly competitive and always attractive in the online market is one of the biggest challenges of online sales. In addition to these, although online sales have a flexible structure, it also requires some legal and tax obligations.
In conclusion, we can say that selling online without opening a physical store can be an important step on the road to success in today’s dynamic business environment. With proper planning, effective marketing and regulatory compliance, this method can offer great opportunities for businesses.
In this article, we will give you information about selling without opening a company, selling online without opening a physical store, and whether it is legal to sell without opening a company. If you’re ready, let’s get started!
Is It Legal to Sell Without Establishing a Company?
“Can I sell without starting a company?” This question comes to the minds of many new entrepreneurs who want to sell online. In this regard, we can clearly say that businesses are obliged to issue invoices and pay taxes for every good or service sold in any sector in the Republic of Turkey. Whether you open a physical store or sell online, you must establish a company so that you can pay taxes to the state before you start your sales. However, in order to expand trade and e-commerce, the state may offer exemptions and conveniences in some cases. If you meet certain conditions and requirements, you can benefit from establishing a company, and in some cases even tax exemption and deduction. You can sell online without owning a company, provided that you officially provide taxpayer or tax exemption documents. Now let’s see together how e-commerce can be done without having to establish a company.
With the Income Tax General Communiqué Serial No. 314 published on April 30, 2021, those who received the Craftsman Exemption Certificate had the opportunity to sell online without establishing a company. By providing the following conditions, you can get this Tradesman Exemption Certificate immediately and start selling it online.
You may qualify for tax exemption if you want to sell online for home-made products without the sale of secondary products on secondary product sites, manual labor and mass production.
In addition to these conditions, in order for the sale of products produced at home to be exempt from tax, it should not be produced with mass production machines, there should be no workers and workplaces, there should not be taxpayers in the real way, and there should not be product sales in city and town markets.
In addition to these, in order to be exempt from tax, you must sell online through the online marketplace, social media, e-commerce site and your earnings must be below a certain limit. In other words, internet sales alone is not a sufficient reason for tax exemption, it is desired that the income be below a certain limit. This limit is that the income earned while selling online is below the 12-month equivalent of the minimum wage. If your income while selling online is above this limit, you are requested by the Ministry of Treasury and Finance to open a company in order to become a taxpayer subject to a simple procedure. So, who can benefit from the Tradesman Exemption Certificate?
Traveling retailers, provided that they do not use a motor vehicle
Small art connoisseurs such as tinsmiths, solders, plumbers, locksmiths, cobblers and porters without starting a business
Those who operate transport vehicles without machinery or motors in rivers, lakes, seas and waterways
Those who are active in professions that are on the verge of disappearing, such as tile and pottery making, quilt making, felt making, pipe ring and oltu stone work.
Collecting or purchasing all kinds of scrap materials and selling them to those who trade or reprocess these goods,
Selling products manufactured at home, with the exception of sewing, embroidery, food processor, ironing and similar machines and tools used at home, provided that they do not hire outside workers,
Those who transport animals, animal carts, tractors or motors or boats for use in agricultural works, provided that they are not permanent,
According to the Electricity Market Law, individuals or businesses that generate electricity using renewable energy sources, establish facilities with a maximum production capacity of 10 kW on the roofs and facades of the houses they own or rent, and sell the excess electricity they obtain from these facilities to the supply company.
Where to Sell Without Establishing a Company?
We have seen that tax exemption is provided when certain conditions are met without the obligation to open a company. So, where to sell online or in real terms without establishing a company? Without the need to establish a company, you can sell online with the following marketplaces that do not require a company account from you.
Etsy: You can quickly open an individual account on Etsy, which does not ask you for company information without establishing a company. You can then sell your handcrafted, unique, customizable products worldwide on Etys.
Amazon: You can open an individual account at Amazon, where you can easily sell all over the world, without the need to establish a company. In addition, Amazon Handmade, another branch of Amazon, you can reach more customers by selling handcrafted, customizable products online.
Social Media: Another place where you can do e-commerce and sell online after obtaining a tradesman exemption certificate is social media channels. Here you can gain potential customers by creating content specific to your products.
iyzilink: Suppose you are a tax-exempt traveling salesman. If you want to pay with a link, you can sell online with iyzilink with certain commission fees.
Online Sales Without Opening a Shop
In the past, after analyzing the product and target audience of the sellers who wanted to trade, the first step was usually to open a shop. Now, with the development of e-commerce and the virtualization of shopping, online sales can be made easily without opening a shop. Thus, sellers who want to do e-commerce can start selling online with little capital without having to open a shop and cover the cost of employees.
You can establish your company and start your e-commerce business as soon as possible with the least capital and risk. If you want to manage your e-commerce with stock, you can only manage your stock management and supply here by keeping a warehouse. Or you can do dropshipping and reduce warehouse costs to zero by sourcing products from manufacturers in the PrinWork system. With the free sample service in the PrinWork system, you can also have the opportunity to see the products you will do your e-commerce in advance. In addition, since the product center will be in Turkey, you can earn high profits with affordable shipping costs in your e-export packages to Europe.
