According to actual operation data, orders from the eastern region of the United States account for nearly 35%, orders from the western region of the United States account for 38%, and orders from the southern region account for about 27%. The eastern and western regions of the United States are far apart. It takes 5 to 8 days for the western warehouse to reach the northeastern United States using USPS Ground? service. If the weight difference of SKU is large, such as furniture sofas, tables and chairs, lockers, lawn mowers and other heavy and large goods, it is not suitable for cross-region delivery, because their mutual delivery time and cost are difficult to control. In a single market, if there is enough scale to support sub-warehouses, two warehouses in the eastern and western regions of the United States can be configured as standard, covering the optimal delivery range and serving as backup solutions for each other. At the end of the year, there are often blizzards on the east coast of the United States, and warehouses and transportation are prone to paralysis. At this time, orders can be allocated and shipped from the west. Although the delivery time is slightly longer, the business will not be interrupted. If there are sub-warehouses in the east, south and west of the United States, then except for remote areas, other regions can basically achieve 97% delivery within 3 days. However, the more SKUs there are, the more difficult it is to dynamically allocate inventory between warehouses when multiple warehouses are shipped at the same time in a single market.
To set up a company, you need to understand the corporate tax system and company types. In developed markets in Europe and the United States, the laws on companies and the laws on business are similar, and the supervision is mature. The type of American company determines its tax reporting and accounting methods. In federal countries, the taxation of each state is different. If a company is located in a tax-free state, it must operate in that state. If it operates in other states, it must pay taxes in accordance with the tax laws of the state, such as income tax, sales tax, property tax, and wage tax. All business-related expenses of the company can be used to offset income, such as warehouse rent, shipping, distribution and other related logistics costs. There is also a procedure similar to the “annual review/annual inspection” of the business license to show the normal operation of the company. The company can report losses for three consecutive years, but if it continues to lose money afterwards, the tax will consider the company to be non-profit and not a commercial behavior, then the expenses cannot be deducted, but the income must be taxed.