An internet business is a far departure from a traditional 'bricks and mortar' business. An internet business doesn't need physical premises to exist, unlike conventional businesses that occupy physical space. A computer is all you need to start an online business and you can operate from anywhere, including your own bedroom!
Operating online businesses is nevertheless not always that simple. Depending on what you are dealing in, you may need other resources apart from your computer. A company selling software or downloadable ebooks certainly needs no other equipment apart from perhaps a few backup computers. If you are however dealing in items that need to be handled and shipped, you have no choice but to acquire additional infrastructure to operate your business. Fledgling internet entrepreneurs can hardly afford the type of infrastructure necessary to store, sort, package and ship goods to customers in far-off places. This is why they need efulfillment services.
Fulfillment outsourcing companies have been around for many years, taking a heavy burden off the shoulders of small business owners. Some of these fulfillment companies are now positioning themselves to serve online businesses - in what is referred to as efulfillment. You can transform your small enterprise in leaps and bounds by taking advantage of these services currently being offered by many implementation outsourcing companies.
By outsourcing fulfillment services you can keep your online business as lean as you like. You will need very few employees if any at all and you will not need to spend money on anything else apart from the bare essentials because your service provider will be doing all the grunt work on your behalf. The fulfillment outsourcing company has all the tools it needs to receive your inventory from manufacturers, sort it out, store it, package it according to customers' orders, and then send the packages to the respective customers wherever they are. The best thing is that they will be doing all these things without any input from you thus allowing you to concentrate on other core aspects of your business.
Leaving fulfillment tasks to an outsourcing company will free your hands to focus on building your business. In the beginning you may not have any employees and so you have to do everything by yourself. When your business comes of age though, you may need to hire a few people to help you run the show as you look for ways of expanding your business.
New businesses are always cash-strapped, with many operating on shoestring budgets. Startups often fail owing to cash constraints and this is a situation you will have to endure in the early days of business. That notwithstanding, customers must get their orders in time and you have to price your products attractively. Shipment and handling costs account for a large portion of the overall cost of goods. Your products will be too expensive if you did the entire fulfillment by yourself and passed on the costs to the customers. Fulfillment outsourcing will definitely save your business a lot of money. In fact, you will only spend a fraction of what you would have spent if you were doing all the activities in-house and you can then pass the savings to your customers.
Exploring the concept of efulfillment for internet businesse