Legal requirements for developing e-commerce website

615 votes

Hi Shobhit,

You can start your business in any form, viz. sole proprietorship, partnership or as a company. The choice of entity would depend upon your business requirements and risk appetite. An e-commerce platform can be operated under any of the above mentioned business formats. Other than setting up and entity and obtaining registrations like PAN, TAN, service tax, VAT etc., no specific registrations and licenses are required for operating a general e-commerce platform. As regards copyright over the business plan, you already own the copyright over your business plan by virtue of being its creator. Registration of copyright is 'good to have' but not a 'must have'.

Advocate Ashish Porwal LawRato

989 votes

Hi Shobhit, your query is quite detailed and would require thorough understanding of the e-com Website. It would be advisable to discuss this at length over a call or through emails. Would be happy to help.

Advocate Subhash Bhutoria LawRato

684 votes

Hi Shobhit, this will depend on your business: what you want sale and/or render any services. In general for proprietorship, you need to get registration for VAT, Service Tax (if turnover is more than 9 lakh), and PAN. In case If you want to incorporate a Company, you need to get registration from Registrar of Companies, and then for PAN, TAN, VAT, and Service Tax. In addition to this, your e-commerce website should be legally compliant; like it should have terms and conditions covering all aspects of business, privacy policy etc. For online payment through website, your website should be secure as per industry standards.
Moreover, you can also take registration under MSME Act. Other compliance requirements (e.g. employment, food safety, etc.) can be told after proper assessment your business.

Advocate Vishnu Kesarwani LawRato