Can a business name have an online store?

Yes, you can definitely own and operate an online store with a business name. In the eyes of the law, a business name is not a separate legal entity but an extension of the entrepreneur's personal activities. This means that as an entrepreneur, you make all contracts and commitments in your own name, but you can use the business name in your business.

From a tax perspective, the income from your business's online store is added to your personal tax return. The income from your online store is business income for your business, which is divided into capital and earned income. This can be either an advantage or a disadvantage, depending on your overall income and tax planning.

When it comes to liability issues, it is important to note that you are responsible for all obligations and commitments of your online store. This applies to, for example, product liability, customer returns, data protection issues and possible complaints. Therefore, it is recommended to obtain appropriate insurance for your business.

What permits and registrations are required for an online store with a business name?

Setting up an online store with a business name requires certain mandatory registrations. First, you need a business ID, which you can obtain by filing a notification of establishment with the Finnish Patent and Registration Office (PRH). When conducting commercial activities, registration with the Trade Register is usually mandatory.

An online retailer must also register for VAT if their turnover exceeds EUR 15,000 in a 12-month period. VAT registration is done with the same declaration of incorporation.

You may need special permits depending on the industry. For example, selling food, alcohol, cosmetics or medicines online requires separate permits or notifications to the relevant authorities.

An online store must comply with data protection legislation (GDPR) and consumer protection law. This means that you must:

• Create clear delivery terms and conditions and a registration statement
• Ensures that the online store processes customer data legally
• Offer consumers a 14-day right of withdrawal
• Clearly state product prices, shipping costs, and delivery methods

Which e-commerce platform is best for my business name?

When choosing an e-commerce platform that is suitable for your business, you should consider ease of use, cost, and scalability. Ready-made e-commerce platforms that do not require technical expertise are suitable for small-scale operations.

Shopify is an excellent choice for small business owners for several reasons. It is easy to use, fully localized for the Finnish market, and offers all the essential tools for running an online store. Shopify's advantages include ready-made payment and shipping methods, responsive page templates, and a wide range of applications.

Shopify has a clear cost structure - you pay a monthly fee for the package you choose and any additional applications. As your business grows, you can easily upgrade to larger packages. Shopify's scalability is a significant advantage, as the platform grows with your business and enables expansion into international markets.

Other options include WooCommerce, if you want a WordPress-based solution, or Finnish platforms like MyCashflow. It is important to consider your own technical skills, budget, and growth goals when choosing.

Summary: Business name and online store – keys to successful entrepreneurship

A business name is a convenient and flexible way to start an online store, especially when you are just testing your business idea or operating on a smaller scale. Remember to take care of the necessary registrations, tax obligations, and legal requirements for your online store.

The key factors for a successful online business are:

• A clear business plan and identification of the target group
• The right e-commerce platform to support your growth goals
• High-quality customer service and clear delivery terms
• Effective marketing and online visibility
• Efficient logistics and warehouse management

Start setting up your online store by creating a plan, registering your business name, and choosing a suitable e-commerce platform. As you grow, you can always consider changing your business form, for example to a limited liability company, if your operations expand significantly.