BONUS: E-Commerce Insurance
GET E-COMMERCE INSURANCE
Yes I know, once again not exactly a software but it's something that needs to be brought to your attention. We live in a world where you can easily be sued by a customer for anything you sell.
This especially goes out to people who sell any products that deal with electronics, beauty, health, or product making claims. This also goes out to the people Dropshipping because 95% of what the gurus are preaching to sell are sketchAF. But the fact is, if the product can be touched your business is at risk.
The last thing you want in the mail is a Service Of Process (initial legal action) and not have insurance. You probably don't think it's going to happen to you until it does. All it takes is one crazy customer and best believe if you're selling thousands of products you are going to come across one of them. This is speaking from experience and thankfully I was able to report it to insurance and it was all handled from there. And no, you're not going to find retroactive insurance. So you better get on it now.
Should you not have insurance there could be a ton of things that could happen. Best case scenario? Nothing happens and the claim is dropped. Second best scenario? You pay them a large sum to go away. Worst case scenario? You end up owing hundreds of thousands or even millions and go into debt. You lose everything you worked for and if you sold a risky product you could end up in jail. On top of that a class action lawsuit could also be filed since you sold thousands of that product.
Stuff of nightmares. Even if you have a LLC which you should have one to protect you (hence limited liability...company) the corporate veil can be pierced putting all your personal assets at risk. If you don't have an LLC, get that formed first and then get e-commerce insurance aka general liability with product liability insurance immediately after. They will review and tailor to your business. Simply select the most relevant industry likely (appliance/electronics or clothing/apparel or other stores without food/drinks) and fill out the rest.
Be smart, get insurance. This isn't some optional insurance. Even if you're an Amazon seller, Amazon requires it if you hit $10,000 in sales/month. But you shouldn't wait.