Online gift shop with a niche

Online shoppers buying presents for friends, family and colleagues, often at holiday times or for birthdays and weddings.

You sell products at a markup over wholesale cost and can add gift wrapping, personal messages or bundled gift boxes at a higher price.

• Picking a niche and sourcing products
• Basic website and photography skills
• Online marketing and social media
• Order packing and customer service

• Check if your municipality requires a home-based business licence
• Register for GST/HST once you pass the small supplier threshold, and check how provincial sales taxes apply to online sales
• Shipping costs across a large country can eat into margins, so test them early
• Product liability and business insurance, and check your home insurance covers stock stored at home
• Product labelling rules, especially for items like candles, toys or cosmetics, so check with Health Canada or the relevant regulator
• Holiday peak delays: plan stock and shipping cut-off dates in advance

Estimates suggest startup costs typically around $1,000 to $6,000, depending on your website, opening stock and packaging. Monthly revenue is estimated at roughly $500 to $4,000, depending on your niche and how well you market it.

Check whether your municipality requires a home-based business licence, and how GST/HST and provincial sales taxes apply to online sales. Also check product labelling rules for items like candles, toys or cosmetics with Health Canada or the relevant regulator.

Shipping costs across a large country can eat into margins, so test them early. Plan stock and shipping cut-off dates ahead of holiday peaks, and check your home insurance covers stock stored at home.