Dropshipping may remove the need to hold your own inventory, but it does not remove cost and cash-flow planning. At OnEll, approval is individual and discounts are defined for each reseller. There is no universal margin that can be promised to applicants.
Separate discount from margin
A supplier discount is one part of the calculation. Your operating margin depends on the selling price and every cost you assume. Include shipping where your business is responsible, payment fees, channel costs, support and other applicable expenses.
A useful structure is sales revenue minus product cost minus variable operating costs. Tax and accounting treatment should be assessed with the professional advising your business; this guide does not define a tax regime.
Build a worksheet for each order
| Field | Source |
|---|---|
| Selling price | Your consumer offer |
| Product cost | Terms approved for your account |
| Shipping | Valid order quotation |
| Fees and expenses | Your actual contracts and operating costs |
| Estimated result | Difference calculated using those assumptions |
Do not use a discount, timing or shipping condition from another programme. Mark unconfirmed figures as unresolved before advertising a margin.
Plan the cash-flow gap
Payment to OnEll is required before dispatch. The time when your store receives money from the customer or payment intermediary may differ. Model that gap rather than assuming an instalment sale is immediately available in full to pay for the order.
Plan how to handle buyer questions, changes and requests under the agreed commercial rules. Selling without your own stock still requires customer service.
Validate before advertising
Start with the dropshipping programme, present your store and await review. Once terms are approved, update your calculation using actual figures. Read how bicycle dropshipping works as well. A viable operation depends on the complete calculation and execution, not just a discount percentage.