I know you want to start your online business in Nepal in any field like clothing, eCommerce, foods etc and the hurdle is how do I start any business in Nepal and do it from scratch to development to official registrations?
In this article, I have shared my complete process from scratch to development business to finding teams to official companies registrations.
Everyone can start an online business but only a few of them works get success and out of them are fail not because of their ideas its because of their mindset and not investing the business on online advertisements. The thing is no one fail in this universe its the next step to not make the same mistake.
I am happy to see you reading the articlr and taking the first step to starting your online startups business in nepal.
Before starting ….
First i would like you to say one who is reading our article:
स्वागतम् hearty congratulation to you for taking this life-changing decision and don’t lose hope things take time may your business get success in 1yr or more than that just never quit.
I will make sure your business get started though my this article and help you to make revenue and help in avoiding startup an online business in Nepal
If you could tweet this and do me on favour so i can know this article helped you 🤭
Converting the large article into simple one sentence –Starting successful online business in Nepal is easy as making a cup of coffee and to make coffee it takes time and same applies for your business. The more bigger goal the more time it takes.
Its all about mindset ,business ideas and team work and the passion you have on it.
OverView: Online Business In Nepal 2020
You can run an online business on your personal name, paying no registration fees or hiring a chartered accountant you don’t need any collages degrees to start anything in the universe related to online but your must-have skill first of all.
You should track the business expenses and income, to help you file an income tax at the end of each financial year.
You need to pay taxes only on the profits, that is the difference between annual revenue and expenses.
There are five types of legal entities that can be formed in Nepal to start online business in Nepal.
- Sole Proprietorship
- Limited Liability Company (LLP)
- Private Limited Company
- One Person Company (OPC)
Before letting you know step by step- you should just know types of legal entities in Nepal.
Types of legal entities in Nepal
Lets us know what is legal entities definition in Nepal?
A legal entity is an individual or group that has legal rights and duties related to contracts, agreements, payments, transactions, obligations, penalties and sues. The term applies to any kind of organization formally made up according to the particular set of laws governing the country.
Some examples of Nepal legal entities include
- Sole proprietorships.
- Non-profit organizations and charities.
- Limited liability companies.
- Various other types of business forms.
01. Sole Proprietorship entities Nepal
Sole Proprietorship Business in Nepal something like there is no registration required to start a business as a sole proprietorship. You can give any name to your business and print letterhead, visiting card and start a website.
You don’t have to think more for the business name in sole proprietorship you can establish any name which pop-outs in your brain. Exmaple
Our 1st brand name is linko and we can put any name on it like linko traders, linko learners etc .‘Startup Consultants’, ‘Brilliant Solutions’ or anything that reflects the nature of my business.You can add anything.. but it must should be related to your business term.
You can use your home address as your business address, but it’s always better to have a separate address for long-term benefits. You will need address proof to open a bank account and register for GST.
You can get yourself registered with the “Shop and Establishment Act License” also known as a license in many states.
The registration at the local municipal office by submitting an application.This would become the address proof of your business to apply for a bank account and GST.
The income from your sole proprietorship business would be added to your personal income for tax. At the end of the financial year, pay income tax using your personal number.
02. Partnership Firm
Creating a partnership is helpful when the other partner brings in a different skill set which can be combined with your existing skills and is beneficial for the business.
It really helps you to divide your work into differnet parts .
You might have heard this sentence..
A single piece of stick can be broken by a single person but a bundle of stick cannot be broken by single person, well it can be broken by a single person but.
It will take much more time.
So you need a group or partnership to build sucessful online business.
For example, suppose you have content creation skills but do not have marketing skills then you can form a partnership with a person having marketing skills.
Both of you can communique an online business in partnership.
Related – Lockdown had made someone poor in altering someone rich by the internet and business opportunity. Check out this article: Best Profitable Business To Right After Lockdown 2020.
For forming a partnership you need to clearly define the job roles, responsibilities, profit ratio and obligations of each partner in a written partnership deed.
A written partnership deed is helpful to avoid any future conflicts.
03. Form a Limited Liability Partnership (LLP)
Limited liability partnerships (LLPs) allow for a partnership structure where each partner’s liabilities is limited to the amount they put into the business. Having business partners means spreading the risk, leveraging individual skills and expertise, and establishing a division of labour.
Limited Liability Partnership (LLP) combines the benefit of both a partnership firm and a company.
You can run the business as a partnership firm, but it restricts your liabilities like the company. This means that in an LLP, the partners do not have unlimited liabilities like in partnership firms.
The other advantage of LLP is less compliance and regulation as compared to a private limited company and no minimum requirement of capital contribution.
Steps for the formation of LLP are
- Get Digital Signature Certificate (DSC) for LLP
- Apply for Director Identification Number (DIN)
- Get name approval from the MCA portal
- Form of Incorporation to be filled with State LLP Registrar office along with fees
- File LLP agreement online on the MCA portal
While incorporating an LLP you will require the following documents.
|Documents of Partners||Documents of LLP|
|CitizenShip or ID proof passport in case of NPR||Digital Signature Certificate|
|Address proof of partners||Proof of registered office address|
|Scanned copy of passport-sized photograph|
This table information is source by -:legalwiz
These are things you need to start an online business in Nepal.
04. Forming a Private Limited Company
You should think of incorporating a private limited company in Nepal you should only when your online business has grown very large (revenues in crores) and you have more people working for you.
Until then, it is best to run your online business in any of the above forms.
That is because the moment you form a company, comply with various statutory obligations under the Companies Act 2013 for which you will need to hire a company secretary.
Below are the steps to incorporate a company in Nepal
- Get Digital Signature Certificate (DSC)
- Get Director Identification Number (DIN)
- Check Name availability at MCA portal
- Fill SPICE INC-32 form (simplified proforma for incorporating a company online)
- Evile AOA (Articles of association) and MOA (Memorandum of association)
- Make PAN and TAN application simultaneously
It requires following additional documents for company incorporation in Nepal
- Affidavit for willingness to become shareholders
- Proof of office address
- Copy of utility bills
- Copy of approval if the proposed name requires approval from the Govt.
- NOC from the property owner
We take the above information from an original source so we don’t get any copyright .
Let me tell you:;
Without knowing these above, never start a company in Nepal.
05. One Person Company (OPC)
How to start an online business in Nepal?
One Person Company is an unfamiliar entity, where you do not require two persons (shareholders) to form a private company. A single person can open and run the company himself.
But, I discourage you from forming an OPC because you will be purely required to comply with all the company regulations.
The tax rates on OPC is 30% like what companies pay and you lose the advantage of slab wise tax calculation as with the case of a sole proprietorship.
Further, you do not have the second person to cross-check all the business decisions and it does not allow you to start another OPC.
The 5 above terms were types of legal entities in Nepal with a full guide.
Easy Steps to: Start Any Online Business In Nepal 2020
Time starts your own online successful online business in Nepal.
You have a question which is best “legal entities in Nepal”
So, the easiest option to start an online business is to go with a sole proprietorship because you don’t have to do any paperwork or registration.
The only one reason I love these entity is because you need not apply for GST until you have crossed Rs. 20 Lakhs of revenues in a year (excluding some special states which have different limits.
Now its your choice which you want legal entities you want of it’s fully depend upon on you.
It requires no approval or registration to start a sole proprietorship business in India. You can start your business with your regular savings account till the time you get a separate business current account.
Without taking your more time lets move on how to start a successful online business in Nepal in 3 steps.
Related: Instagram has turned up as a business platform for all kinds of influencers, brands, and especially for people in the entertainment and fashion niche. Check out how to make money from Instagram in Nepal 2020
No matter what kind of online business you want to start in Nepal, you must have your presence at 3 places online.
Whenever you start any business no matter either it is small or big or online your business must be listed on these 3 teaching social media sites.
- Your Business Website/ Portfolio
- Social Media websites like Facebook, Instagram and LinkedIn
01. Creating a Website (To Start Online Business In Nepal)
A business without a website is not business its offline business for offline minded people. A website can bring you soo many sales you could never imagine.
When you create your website you don’t need to spend more money on online as your website portfolio will have all information. Your website can get you free organic traffic (this is helpful for finding customers without putting money on Ads as being said.
If you have business ideas and don’t have money but you can always create a website make prototypes how it works and you can pitch investor to invest in your business. Its the idea matters
If you want the perfect website your online business, you can always hire me I can get started your online any business from scratch. Hire me For your perfect business websites.
Online business owners including online shop owners, online travel agencies, fitness instructors and course creators enjoy writing their website names on their visiting cards. They help you create a brand from the first day.
Do you know with website you can transform your small store into a big brand?
The website helps in personal branding for consultants, teachers and freelancers right from the beginning. You have a platform to show your recipes, craft skills & artwork and products that you want to sell instantly.
Now again I Am telling you might think how could I create a website with no technical knowledge, right?
You can either hire a website developer and designed or learn it yourself how to create a beautiful website but it takes time and design is something everyone most focus.
To start any online business you need the 3 important assets.
02. Start Online Business With Social Media In Nepal
It’s unnecessary to have a website only to start an online business in Nepal; infant:
Almost 86% in Nepal people’s business man promote thier brands and products with social media only.
Let tell you;
If you start an online business in Nepal with social media, then I would say it is the best way on how to start an online business in Nepal.
About 95% in the world people use social media right. This is the right time to start online business in Nepal.
If you know digital marketing a little then you can rocket your sale within weeks.
Social media helps you engage quickly like you can share your recipes and food images as and when they are ready.
An online tutor or course creator can have instant engagement and feedback on your online course and materials.
Social media is so powerful that traditional companies like Nike (shoe manufacturer) and Lego (toy shop business) have used social media to reach, engage and launch new products on social media platforms.
Social media is the key to online boost your online business within and to boost your sales online you must have to register in some platform.
Must have social media accounts to boost your online business:
From the 5 account facebook page and linked in is the most important part for your online business to start.
Now this is the most important part for choosing the business name.
You have in mind why I Am saying this to you;
Let me tell you , in in this world and in this internet world there is not a single name that hadn’t been choused.
Example – Sujandigital marketing , etc.
The word sujandigital marketing , when you serf on google the same name with same result pop out more than a million times but with different admin.
You can use Nameckh.com to check the availability of social media accounts when you are searching for a domain name.
The tools show the social media accounts and extension for a particular domain name. For example, the word “body cleaner” has the following extensions.
There are 5 tools and all tools work for a different purpose.
|Domain Names||If you are on the Internet, domain names play a huge role in your day-to-day life whether or not you realize it. This tool help you find whether someone has used the domain.|
|New Domains Names||Domains available for General Availability in the upcoming weeks have completed registration price and are available for Binding Pre-order. By pre-ordering one of these domains, you agree to let United Domains attempt to register it on your behalf when it becomes available.|
|Social Media User Names||Whether you intend to maintain a social media presence for your personal use or your business, it makes sense to register your own username and/or URL to keep your online reputation untarnished.|
|Mobile Names||There are over 4 million apps combined in Google Play Store and Apples App Store. The amount of apps already rivals the number of domain name registrations in country code Top-Level-Domains. This means that app visibility and discoverability have to be optimized. Search engine optimization (SEO) is for Google. The equivalent acronym for App Store Optimization is ASO.|
|Trademarks||When choosing a name, it is therefore important to observe existing trademarks that are identical order confusingly similar to your desired name. The key issue, i.e. if the use of a name infringes someone else’s trademark, depends on various factors that cannot be computed.|
03. Start Online Business In Nepal With Start YouTube Channel
Youtube is one of the best place to start an online business in Nepal, you can direct have a connection with a customer and they will trust.
Using youtube, you can showcase your product and have trust with a customer.
If you want to sell products online, then you can create a product video of how you prepared it and how it can be beneficial.
Like, if you want to sell body products, then you can create a preparation video and explain the benefits and add details that they can purchase it from you.
There are thousands of ideas to start YouTube channel.
Lets take one proven example of it:
If you want to become a consultant or freelancer, then you can create a video explaining your expertise and work area.
You can even tell them about your portfolio, past work experience and the testimonials collected.
If you want to become a coach or motivational speaker then Youtube is the easiest way to reach millions of audiences who are looking for help.
You can create a subscription area and upload helpful videos helping them learn and grow.
People search Youtube for videos on things that they have not done until now like carpentry, fishing or even making organic products at home.
Now your turn:
If you have an online business in these areas then you can create videos helping them learn to do things and sell your products.
Youtube is a part of Google and marketing done on YouTube will also help your online business get listed and found on Google search. This helps your customers find you easily through Google.
With YouTube you can also earn money from it.
Youtube can be an additional source of revenue when your subscriber base grows to 1000 with 4000 hours of watch time.
After which you have the option to monetize your YouTube channel by allowing ads posts and by paid advertisement and collaboration.
The best thing about starting an online successful business will help you live a free lifestyle you need not be employed for others.
Your online business should be your primary revenue-generating source. Youtube earnings can add to your overall income.
The above 3 steps is most important on how to start an online business in Nepal.
A quick Over view on how to start online business in Nepal.
|How to start an online business in Nepal from scratch|
|#1 Creating a Website (To Start Online Business In Nepal)|
|#2 Start Online Business with Social Media In Nepal|
|#3 Start Online Business In Nepal With Start YouTube Channel|
Setting up Team for Your Online Business In Nepal
Now after starting line business in Nepal, now time comes for establishing office as offline business in Nepal.
You can do everything yourself in the online business in the starting days to save money. But you may need to hire a team as your business would grow.
There are plentiful of people require handling an online business and you can prioritize which will be your first hire once you generate at least Rs. 10,000 per month.
Here are common team members you will need Set up Team for Your Online Business In Nepal
01. Technical Team
Lets understand this term in simple words.
A technical team is a man who handles your online business and codes in websites or any platforms.
You should be the first technical person of your team who will create the core product.
If you want to sell products online, be the manufacturer. For example, if you want to sell body oil then you should cook the food yourself.
The technical team can be a developer, product manufacturing or designer. They help you in designing & customizing a product and services according to the customer’s needs.
Technical support is also needed to maintain your online assets and IT infrastructure. But this you can postpone for a later date when your budget allows or when online business has grown big.
02. Marketing Team
Without marketing none will know your product.
For marketing you will need a high trained digital marketing team.
Marketing is essential for your online business because it pushes you to reach your customers and serve them well,
so they convert into repeat and loyal customers.
When you have a budget, then you can hire freelancers for your online business for performing certain work like paid marketing and SEO as and when required.
The markets skills that you would need
- Content creator–That can create a regular post and engaging content
- Paid marketing person–for conducting campaigns and tracking results
- SEO person–Better website and content discovery on Google
- Social media personnel–for managing different social media accounts
- Email marketing–to reach targeted audiences.
03. Operational Team
Operational team is not require on YouTube and running blogs and website.
But if you are running an e-commerce online business in nepal then you will need an operational team to look after the product packing, delivery and returns.
You will need a person to take care of the after-sales support function.
If your online business is selling homemade craft, bags or jewelry products then you need operational team tracking sales, ordering new products and inventory management unless you outsource the above activities.
Do you you don’t need a store in street to start business you can do business with high income starting an online business in nepal?
Online business is a simple term, it just moves your offline store to online so that world can view your product
If you compare with traditional businesses of the past, today we have a lot of resources, guidance, and efficient ways to start an online business.
Internet connectivity and PC/ Laptop have made it easy to reach the masses.
Things can never be so easy to pick and try out online business. It all starts with you making the first move in starting an online business.
The benefits of an online business are not restricted only to earning passively. You can get out of the rat race, be financially free and can work from anywhere in the world.
It is recession-proof, mentally satisfying and has unlimited income potential.
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