How To Sell On Flipkart? Complete Guide [2024]

Interested in selling your products on one of India’s largest fashion ecommerce portal? You have come to the right place. In this article, I will share complete details to sell on Flipkart.

Flipkart is among the largest online retailers in India. With its increasing online reach and credibility, it is reaching a record high profit every year. In the financial year 2019, the revenue generated was 42%, which equals Rs 43,615 crores. 

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At present, Flipkart has more than 100 million registered customers, 10 million daily page visits, and 8 million shipments every month to 1000+ cities. Naturally, there are enormous opportunities to discover as a Flipkart merchant. 

Why Sell On Flipkart? Advantages of Selling Online on Flipkart

Why Flipkart? This is an obvious question when there are also other high revenue-generating e-commerce platforms in India. Well, Flipkart is a marketplace offering service models designed extraordinarily to help small sellers make maximum profit. 

• Logistics Support: Flipkart helps sellers to deliver orders in time, which is an important factor for the success in business online. With the “Flipkart Advantage” service, which offers a 30-day return policy and a 24-hour delivery option, small sellers can create a better buying experience for their customers. 
• Affordable Fee Structure for Startups: Limited fund is the major issue that all beginners in the market come across. Many new sellers embark on the online market venture, but not all can survive due to the hefty fee charged by most of the marketplaces. This is where Flipkart stands out of the crowd. It has a pricing structure based on the areas of delivery, order value, and the dimension of the product. They even have a price calculator to estimate the product price, including shipping charges. 
• Easy payment: The settlement amount is credited to the seller’s bank account within 7-15 business days of dispatch.
• Attractive Rewards: Flipkart offers its seller partners several reward programs integrated with minimal commissions and many other benefits. 
• Protection Against Returns and Seller: Flipkart offers a Seller Protection Fund (SPF) program, under which smaller sellers can have the benefit of claim requests under the conditions like lost order in transit by Flipkart’s dispatch partners and returns and product damage in transit.
• Benefit from Market Trends: Seller can have an understanding of the products that are high in demand, the trend in the market, best selling, etc. using the information collected by Flipkart. 

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How to Sell on Flipkart?

While many find it difficult to go through the lengthy process of being an online seller, Flipkart has eased off the process to a great extent to delight the sellers. In this article, we will learn how to become a seller at Flipkart step-by-step.

Here are the steps to follow to become a seller on Flipkart:

1- Get Legal Business Entity

When you go for the Flipkart seller registration process, it asks for information and documents related to the type of legal business entity you want to register with. Therefore, before you move to Flipkart to become a seller, you need to form a legal business entity. 

In India, five types of business entities are there. But, Flipkart offers only four types of options along with trust and foundation to register your business as legal.  

So, these are the four classifications Flipkart has to offer:

• Individual or Sole Proprietorship Firm
• Limited Liability Partnership/Partnership Firm (2 entity included in1)
• Private Limited Company
• Trust and Foundation

Each business entity has different features and has its own set of compliances. So, you need to know which one matches your criteria (excluding Trust and Foundation). If the structure chosen is incorrect, it can be bad for your business. It also matters in terms that with the company registrar, the company has to file income tax returns and annual returns. 

Let us check out the difference between all the business entities. .

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1- Sole Proprietorship Firm

This type of business is owned and handled by a sole person. It is prevalent among the unorganized sector, especially traders and merchants of small scale businesses.

Advantages:

• No need for government registration.
• No requirement of government regulatory paperwork.
• All the profit made goes to the owner.
• No requirement for double taxation.
• The owner’s income is the only income that is taxable.

You are eligible for registration if you own:

• PAN card 
• Aadhaar card 
• Registered office proof (utility bills and rental agreement)
• Bank account 

2- Partnership Firm

This business structure involves two or more individuals. They handle and control business as per the preset clauses in the Partnership Deed like obligations, duties, profit shared, etc.

Advantages:

• Effortless to start.
• Risks shared between the partners.
• No need to submit annual returns to the MCA Statuary.
• The audit is not necessary.
• Shutting down is hassle-free. 

Registration is optional in a partnership firm. 

3- Limited Liability Partnership

If compared to a Private Limited Company, this business structure is relatively economical to incorporate. Also, it is better than Partnership Firm as tax liabilities are shared by each owner. The LLPs are not liable for business debts and have a certain life period, unlike other business structures.

Advantages:

• Lesser paperwork
• Effortless to form
• Liabilities free
• Provides tax flexibility
• Sticking to the business structure is non-mandatory
• Profit-sharing is flexible

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Steps to Register LLP

Step 1: Start with filling up the form to obtain the DIN/DPIN (Designated Partner Identification Number).

Step 2: After obtaining your Digital Signature Certificate, register it on the MCA portal. 

Step 3: Check for your LLP name approval by the Ministry of Corporate Affairs.

Step 4: After the approval of the LLP name, fill up the incorporation form to register the LLP and get the LLP agreement.

4- Private Limited Company

Popular among startups and growing companies, this company structure is in high demand these days. It is preferred by the business newcomers as it curbs the liabilities of its shareholders, enables easy outside funding, and enables them to offer employee stock options to pull talented ones. 

Advantages:

• Company owner’s liability covers only their shares.
• The share transfer is easy.
• Debentures issuing is allowed.
• Tax benefits are higher.

Steps to Register a PLC 

Step 1: Start with filling up the form for obtaining the DIN or DPIN (Designated Partner Identification Number).

Step 2: Next, fill up a name registration application.

Step 3: Now, you can draft MOA and AOA by the SPICE-E form on the website of MCA. MOA states the company’s objective, while AOA states the company’s rules and regulations. 

Step 4: Get PAN and TAN applications.

Considering the structure of the company, an appropriate certificate is issued. 

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2- Seller Registration on Flipkart: How To Register Your Business On Flipkart

Here are the steps to follow to register your business on Flipkart:

Step 1: To register as a seller on Flipkart you need to go to Flipkart Seller Homepage.  

Step 2: Click on “Register Now” and you will land on seller sign up form.

Once you fill up this form, you will receive an email from Flipkart like the one below, which will confirm that you have successfully registered yourself.

Step 3: You will reach the next page asking your pick up address. You need to enter your pin code, which will be verified, and then you need to enter your address. 

Step 4: In the next step, you will need to enter your business details and choose the option of your choice. Then, click on “Continue”.

Step 5: Next, you will be taken to the bank page with a number of options. Choose an option and click “Continue”.

Step 6: After giving your bank details, you will again receive a verification email asking you to verify your email. Just verify and you have a Flipkart seller account.

Step 7: After verifying your account, you will be taken to the final page where you will have to fill up the following categories. Besides, you also need to upload a scanned copy of every supporting document to prove you are a genuine and active business entity.

• Name of the store
• Business Details
• Virtual Signature
• Bank Details
• A picture of a canceled cheque
• List of products interested in selling
• Tax Registration Documents; GSTIN Documents
• Supporting KYC Documents

Apart from all the above information of the seller, there are some other important documents Flipkart asks for. These documents need to be submitted based on the type of business being registered.

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3- Submit Documents of Your Business To Start Selling On Flipkart

Your business is registered already, so all you need to do now is classifying your business under four different legal entities given on Flipkart and submit the documents accordingly:

• Private Limited Company
• Sole Proprietorship Firm
• Limited Liability Partnership/Partnership Firm
• Trust and Foundation

Following documents for identity proof and address proof you would need to submit for the above-mentioned business types:

Private Limited Company

Identity Proof

• Copy of Memorandum of Association
• Copy of Incorporation of Private Limited Company Certificate
• Company PAN Card

Address Proof 

• Company Electricity bill
• Company Landline Phone bill
• Lease or rental agreement

Sole Proprietorship Firm

Identity Proof

• Bank statement accounting registered on Flipkart payment gateway.
• Letter issued by a recognized Public Authority or Public Servant verifying identity.
• A business letterhead signed and declared that the bank account is in the name of the business and is owned by the individual managing the account.
• Passport
• Voters ID
• PAN Card
• Driving License
• Any other photo identity card

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Address Proof 

• Proprietorship firm’s Landline Phone bill 
• Proprietorship firm’s Electricity bill 
• Proprietorship’s Bank Account Statement 
• Letter issued by a recognized Public Authority or Public Servant verifying identity.
• Ration card
• Letter from Employer
• Lease or license agreement

Limited Liability Partnership/Partnership Firm

Identity Proof

• Certificate of Partnership registration or LLP Incorporation 
• Deed of Partnership 
• Power of Attorney issued to a Partner or an Employee for smoother business transact on the behalf of the owner.
• A document including photographs to prove the Partners and the person with the Power of Attorney.
• The LLP or Partnership Firm’s PAN Card.

Address Proof 

• An official address proof to confirm the address of the Partners and the persons with the Power of Attorney
• Firm/Partner’s Telephone bill
• Firm/Partner’s Electricity bill
• Lease or Rental agreement
• Company Electricity bill
• Lease or License agreement

Trust and Foundation

Identity Proof

• Registration Certificate of Trust or Foundation
• PAN Card of the Trust

Address Proof

• Landline Phone bill in the name of Trust
• Electricity bill in the name of Trust
• Lease or rental agreement

4- Submit Tax-Related Documents

Once you have submitted the documents of your business entity, the following documents needed relating to tax registration and bank account in the name of the business:

• Business name
• PAN Card in the name of the individual or private limited company or partnership
• TIN Number (Tax Identification Number / Sales Tax Number / CST Number) in the name of a business
• TAN for Tax Deduction at Source (TDS) in the name of a business
• Bank account name
• Bank account number
• Bank IFSC code

5- Start Selling On Flipkart: Add Your Products

 Following is the step by step process to get your brand approved for selling on Flipkart. 

Step1: Login to your Flipkart Seller Account and click on the listing. 

Step2: Select ‘Add New Listing’ by clicking on Listing. 

Step3: Now, upload an individual product or products in bulk depending on your choice.

Step4: Once you have uploaded the products click on the “check Inventory Health” to check your inventory. You will land on this page. 

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6- Manage Your Products Through Dashboard

Flipkart offers a dashboard to the seller’s account to manage all operations. With the dashboard, you can update or change all the details of the product. For instance, you can change pricing, description, etc. But changing the product or MRP title is not permitted, once your listing is updated.

7- Get Shipping And Logistics

Flipkart offers the benefit of shipping and logistics support. It has tie-ups with several logistics partners located across India to pick up and deliver orders anywhere in India in the least time. The logistics partner or courier services provide packaging support, materials, and training. 

After an order is received, the seller has to pack the product on their own and keep it ready for shipment. The courier service executive picks the order from the seller and drops to the destination. 

Flipkart offers two shipping methods:

• Flipkart Standard Delivery: In this delivery process, stocking of products and order execution is taken care of by Flipkart. Flipkart also displays products on the product page, when sellers send products. This process takes 45 days to refund and replace.
• Flipkart Advantage/Assure: Sellers get 24 hours shipping and delivery in this shipping method. The delivery is backed by 30 days by returns policy or refund. 

8- Promote Your Products

Flipkart provides many features and options to promote your products. Here are some of them included: 

• Product Listing Advertisements ( PLAS ) enables you to feature your products in select pages. 
• Registering as Flipkart Advantage seller gives another benefit. Just stock your products with Flipkart and they will do warehousing, packaging, delivering, and even handle returns through their fulfillment centers.
• Flipkart’s spike sales are a popular means of attracting customers, but for that, you will have to reduce your prices a lot, which might in turn impact your profit. 
• Google Ads and Facebook Ads are very effective in driving targeted traffic at a very cheap price. Around 87% of people believe that social media helps them to make purchase decisions.
• Reviews matter a lot to establish you as a trusted brand. Reply to all the reviews and be careful while handling negative reviews.

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A Note On The Flipkart Payment Policy

• A small percentage of commission is charged on each sold product on the basis of the value of the product.
• Shipping fees have to be paid by the seller. The shipping price can be added to the product price.
• A collection fee is also charged by Flipkart, on the basis of payment mode, which may include cash or prepaid on delivery.
• A fixed fee is also charged on the basis of order value slabs.
• You can get your payment settled within 7-15 business days.

What’s Next?

Flipkart equally takes care of the sellers and the site visitors. Therefore, it provides maximum ease and benefit to its sellers to ensure the maximum sale and more options for site visitors. By providing promotions, advertising, and analytic support, sellers can analyze which of their products is performing better on this platform. 

Today Flipkart is one of the leading online shopping sites. Be a part of it and take the maximum advantages to reach your business success.