How to Start Wholesale Business in 2025 Step-by-Step Guide

Step-by-Step Guide to Starting a Wholesale Online Business

1. Choose Your Niche

Pick a product category or industry you want to operate in. Ideally, choose something:

• You understand or are passionate about
• Has consistent demand
• Isn’t oversaturated
• Has good profit margins

Examples:

• Clothing & fashion accessories
• Electronics
• Beauty products
• Health supplements
• Eco-friendly products
• Office supplies

2. Market Research

Understand your target market and competition.

• Who are your buyers? (Retailers, other wholesalers, dropshippers, etc.)
• What’s trending in your niche?
• What are the current wholesale prices and markup margins?
• Who are your competitors, and what are they doing right/wrong?

Tools: Google Trends, Alibaba, SaleHoo, Jungle Scout, Amazon, eBay

3. Find Reliable Suppliers or Manufacturers

You can either:

• Source products from manufacturers (local or overseas, e.g. China, India)
• Resell from existing wholesalers
• Manufacture your own products

Where to find suppliers:

• Alibaba / GlobalSources
• ThomasNet (USA)
• IndiaMART (India)
• SaleHoo / Worldwide Brands
• Trade shows or local industry expos

4. Set Up Your Business Legally

• Choose a business name and register it
• Decide your business structure (LLC, sole proprietorship, etc.)
• Get a business license and resale certificate (if required)
• Set up a business bank account
• Get an EIN (if you’re in the US) or equivalent tax ID

5. Create a Pricing Strategy

Wholesale businesses usually offer:

• Volume discounts
• Tiered pricing (based on quantity ordered)
• Profit margins between 20%–50% depending on industry and product

Don’t forget to factor in:

• Shipping
• Customs/duties (if importing)
• Platform fees (if selling on B2B marketplaces)
• Operational costs

6. Build an Online Store or Use B2B Marketplaces

Option A: Create Your Own Wholesale E-commerce Store

• Use platforms like:
  • Shopify (with wholesale apps)
  • BigCommerce
  • WooCommerce (on WordPress)
  • Magento
• Set up features like:
  • Tiered pricing
  • Bulk order forms
  • Minimum order quantity (MOQ)
  • Quote requests
  • Private login for B2B buyers

Option B: Sell on B2B Platforms

• Alibaba
• Faire
• Tundra
• Handshake (by Shopify)
• Amazon Business
• eBay Business Supply

7. Market Your Wholesale Business

• Email outreach: Reach out to retailers or resellers
• LinkedIn: Network and find B2B leads
• B2B Directories: Get listed
• Run Ads: Google Ads, LinkedIn Ads, etc.
• SEO: Optimize your website for search terms like “bulk [product] supplier” or “[product] wholesale USA”

8. Logistics and Fulfillment

Decide how you’ll fulfill orders:

• In-house (you pack and ship)
• 3PL (third-party logistics like ShipBob, Deliverr)
• Dropshipping (if you don’t hold inventory)

Make sure you offer:

• Fast shipping
• Clear return policies
• Bulk shipping discounts

9. Customer Relationship Management

• Offer excellent customer support
• Build long-term relationships
• Provide incentives for larger or repeat orders
• Use CRM tools like HubSpot or Zoho

10. Track & Optimize

• Use analytics (Google Analytics, Shopify reports)
• Track KPIs like conversion rate, average order value, customer retention
• Get feedback and continually improve product quality and service

🔑 Bonus Tips

• Start small and validate before investing heavily
• Make sure your website and platform are mobile-friendly
• Offer Net Terms (like 30/60 days) to build trust with B2B buyers (once you’re established)
• Provide samples or starter packs

Here are a few quick questions:

1. What type of products are you thinking of selling wholesale? (e.g., clothing, electronics, beauty products, etc.)
2. Are you planning to manufacture your own products, or source from other suppliers?
3. What country or region will you be selling from (and to)?
4. Do you already have any experience with e-commerce or business?
5. Are you looking to sell only online, or combine it with offline sales?