Are you looking about getting into drop shipping? Can You Start Dropshipping Business With No Money? This’s not a bad idea – it’s an inexpensive, low risk and convenient way to establish your online eCommerce store. Many entrepreneurs find dropshipping businesses an easy way to earn money. However, you’ve already heard about the dropshipping business model, you might be asking many times yourself: Can you start dropshipping with no money?
The answer is simple and straight: No, you can’t. But we have good news for you – you can start dropshipping with little money.
Frankly speaking, the subject claim that you can start a dropshipping business with no money is just too good to be true. However, no doubt dropshipping business model has low startup and operational costs. Even if you follow our dropshipping business tips and strategies that we discuss in dropshipping business tips post, you can make these costs even lower.
The old saying is: “You have to spend money to make money”
But in dropshipping case: “You have to spend a little money to make money”
Let’s go to learn everything that you need to know before starting dropshipping business. In this way, you can save a lot of money when you start dropshipping. To make it easier to navigate the related links are given that will jump forward to other sections in this article.
What Is Dropshipping Business Model?
The dropshipping business model is easier, lower-risk, and more convenient as compared to the retail store. It is a unique business idea. Everyone can start dropshipping with less money. It all comes down the maintaining the inventory. In a retail store, you have to handle it and in dropshipping, you do not need to manage stock.
Either online store or as a brick and mortar establishment, the seller buys products in bulk and then stores them until the customer places orders. In the retail or online store, the seller also has to maintain, pack and deliver the products at the buyer’s address.
Just imagine buying bulk orders, store in stock, and shipping inventory is not an easy task. You have to put in some extra effort, time, and investment to complete the business transaction. It is pretty much expensive, time is taken and headache activity. The story is not ended here; you have to pay close attention to inventory management. You will face the risk of overestimating demand, ordering too many inventory orders, and getting stuck with an unsold products surplus.
Dropshipping is totally different business model, the seller does not need to handle the inventory – instead, your dropshipping supplier will be responsible for stock management, packing, and shipping all products to the end customer on your behalf. You just need to focus on making and implementation of marketing strategies and orders taking from all over the world. This makes the whole enterprise less expensive and less risky. You only buy products from your supplier when customers place orders at your site.
But it does not mean that you can start dropshipping with no money – you still have some startup costs. However, this cost is much lower than with other retail models. This makes the dropshipping business really attractive for independent entrepreneurs.
Take a look at the below image and gets a complete understanding of the dropshipping business model.
It’s quite easy and very convenient and you don’t need a heavy investment to get started. Only one trick and that is to find the trusted, reliable, and responsive dropshipping supplier and then choose high-quality products that are in demand with customers.
To learn more about the best dropshipping business tips, guidelines, and how to get started, make sure you check out the following posts.
How Does The Dropshipping Business Model Save You Money?
It’s not possible to start dropshipping with no money, but it is possible to start dropshipping with a little money. That makes this business unique and attractive. You just need to learn the best use of tools that are mandatory to make this business workable, all of which we’ll cover in the remaining article.
In addition to little capital investment and lower startup costs, when you are in dropshipping business you will not have to do these jobs.
- Own, rent or operate a warehouse for stock management
- Packaging and delivery of products at the door steps of customers
- Keep records of inventory as per your stock
- No need to handle returns
- Managing stock price
No need to deal with all these activities and that will save you priceless time. Plus this model is really a lower-risk business model and you’ll not get stuck with an unsold products surplus that you have to cover from your additional investment.
Finally, you can also get help from popular eCommerce platforms such as Amazon, WooCommerce, and Shopify. These trusted and reliable platforms will make it easier to design, develop and run professional and 100 percent functional online stores with minimal expenses. Your online store can sell products with little investment and no time.
No doubt, there are countless platforms and you can choose from, but Shopify is the right choice and best bet. With Shopify, you can start a dropshipping business with a 14-day free trial. You can even extend this time period up to three months so that you can take time to build up your online e-commerce store. How to extend this time period, we have covered below.
What is the minimum investment for dropshipping?
As you know we have mentioned above, you can start dropshipping with no money. However, it is 100 percent possible and practicable to start dropshipping with a little money.
In the remaining section, we’ll give an overview of basic startup costs for your dropshipping business. Make sure we are not going to make startup costs equal zero dollars, but we trust you we can keep them as low as possible.
In general, for the most convenient, quick, and affordable dropshipping store, Shopify is the best choice. However, we will cover Shopify dropshipping business model in a lower section. For now, let’s take a look at your minimum costs to start dropshipping assuming that you are going to run the dropshipping store without Shopify.
Build Your Dropshipping Business Website
First, you have to build a website for your actual online store. This is an important part of your dropshipping business process – you have to design and build a professional and trustworthy worth store otherwise you will not survive in the highly competitive market and your potential customers will not place orders at your store.
For more detail, make sure you check out our post on how to make a dropshipping website to sell products.
Choose the Right Web Host
A web host service will keep live your dropshipping over the internet. You need to make sure to get web hosting services from reputed and reliable web host Companies.
Let’s check out some of the top-rated and affordable web hosts you can choose from
- Bluehost – The top rated and WordPress friendly web host company comes with a dedicated WooCommerce plugin. Shared hosting starts at $2.95 per month.
- SiteGround – You can easily integrate with Magento, PrestaShop or WooCommerce. Starts at $6.99 per month.
- A2 Hosting – Secure and the best performance web hosting company that offers a free SSL certificate. Starts at $10.99 per month.
- GoDaddy – The other reliable and one of the more widely-known web hosting services. Shared hosting also starts at $2.95 per month.
Bluehost, GoDaddy, SiteGround, and A2Hosting are four web hosting services provider companies in the market that are offering pretty low-cost solutions to all your web hosting needs. Buy the services of one of them and with the passage of time if you get lots of traffic then these rates will probably increase.
Find the Right Dropshipping Suppliers
Now you need to choose a reputed and reliable supplier that is absolutely necessary as they will be handled inventory, stocking, packaging, and products shipping at your customer’s doorsteps.
This fee can vary from one supplier to another, although most charges will be one of the following.
- Pre order fee – Starts from $2 to $10.
- One time setup fee –
- Monthly or Annual Membership – Starts from $28 to $100 monthly
Now it’s up to you to choose the right supplier. It’s an important decision that should be taken carefully. While making an agreement with the supplier you need to look at more than just pricing such as products quality, packaging, inventory, shipment time, customer support, return policy, and technical tools. These tools will help you to track orders, sales, and other business metrics.
What Are Some Other Costs To Start Dropshipping Business?
We’ve discussed the minimum costs that are mandatory to start an online dropshipping store. However, there are also some additional marketing costs that can help you to run a successful and profitable dropshipping business.
These additional marketing dropshipping costs include:
- Ad campaigns – Facebook, Instagram and Google Ads.
- Email marketing – You can send message by using email list with paid tools like MailChimp to connect with potential and past customers.
- Shopify apps – When you are using Shopify; from upselling to design there are many apps that will help you to do anything.
- Tools and software – Many tools related to accounting, product research or finding a dropshipping niche etc available to assist in your dropshipping business.
Remember, you should not stick in these, there are countless additional tools that are easily available over the internet that will help you to design, build and run a successful and powerful dropshipping store.
Is Shopify best for dropshipping?
You should be more careful and make no mistakes. Frankly speaking to deal with all these drop shipping online store aspects a really challenging job and that can be a tremendous hassle. Remember, these variable and fixed costs start but when your web traffic gets fairly high it can quickly add up.
It is a wise decision to get help from a fully hosted dropshipping platform that will combine building, functionality, convenience, and affordability for everyone.
We have been in the dropshipping business model for many years, in our experience we recommend you to run a successful dropshipping online store Shopify is the ideal and affordable platform. Keep in mind the Shopify will:
- 1.7 Millions Active Users
- Process your customers payment with secure shopping cart
- Availability of 24/7 technical support and services.
- Always keep servers up and running.
- Provide optimum security to your online store so that you won’t get hacked.
- Automatically back everything up.
No doubt, Shopify is an excellent choice to start a dropshipping business with a little money. From novices to experts both can use it easily. There are over 1.7 million Shopify users who trust the platform for their online, responsive, and professional dropshipping business. You might be the next successful member of the Shopify community.
Can You Start Dropshipping With No Money On Shopify?
You can say it is 50% true and you can start dropshipping on Shopify with no money, but it is not entirely the case.
Shopify offers 14 days free trial period, during this time you can set up your store, choose the suppliers, pick your niche-related products, and so on, but you’re not allowed to make any sales.
So, yes, technically you have started the dropshipping business with no money, but you have not started making money from your online dropshipping store.
Where is the extension in Shopify 14 days free trial period is concerned, you can turn this from 14 days to free trial into a 90-day free trial? To do this you should know who to contact and what to say. If you successfully extend the free trial period then you can actually make sales.