Hi I am going to be setting up a online business where i will be selling electronic products and when a order is placed i will contact another company that i know and make payment to them so they can send the product to my client is this illegal? would there be any sort of issues with this? Mostly i will start selling on ebay first then online website.
At the minimum I believe you would have to disclose that is the way your business is operating, because it requires sharing the shipping information of the buyer to a third party. I don't know if there are any rules about selling items you don't actually possess, but you could run into issues if your supplier is unable to timely fulfill your order.
Well i would state in the TOS that we will be sending there information to 3rd party so they can ship te item i also will be saying if the 3rd party is unable to send the item on time it is not our fault ect.
It's probably a good idea to speak to an attorney. I doubt that a simple notice that claims you aren't at fault if the item isn't shipped on time would actually give you any legal protection. This is what the FTC says: http://www.ftc.gov/bcp/conline/pubs/alerts/intbalrt.htm FTC has lots of information for people doing business in the US: http://www.ftc.gov/bcp/conline/pubs/buspubs/ruleroad.htm For example you will probably have to provide warranties for the items you are selling: If you aren't doing business in the US, look for similar information for the country in which you are doing business.