As one of the largest e-commerce platforms in the Middle East, Souq platform provides merchants with broad sales opportunities and brand exposure. If merchants are interested in opening a store on the Souq platform, it is very important to understand and meet the entry conditions. This article will discuss the entry conditions and requirements of the Souq platform in detail and provide relevant guidance for merchants.
1. Business license: Merchants who enter the Souq platform need to provide a business license as one of the necessary documents. The business license is proof of the merchant’s legal operation and is also one of the bases for the platform to approve the merchant’s entry application. Merchants need to ensure that their business licenses are legal and valid and meet the requirements of the Souq platform.
2. Goods requirements: The Souq platform adopts the FBS (Fulfillment by Souq) model. Merchants need to deliver the goods to the cargo hold designated by Souq when they deliver the goods for the first time. This means that merchants need to arrange to deliver the goods to the warehouse designated by Souq so that the platform can provide storage and distribution services for them. Only goods that have been warehoused and meet the requirements can be sold on the platform.
3. Account Binding: According to the regulations of the Souq platform, the account registered with the business license must be bound to the bank account of the company where the business license is located. This means that merchants need to ensure that their accounts are connected to the bank accounts of local companies to realize the circulation and settlement of funds. Generally, this requirement can also ensure that merchants have a certain degree of legality and stability in their operations.
4. Fee Structure: There is no monthly rental fee for opening a store on the Souq platform, but merchants need to understand the fee structure involved in sales orders. The sales fees of orders include service fees, commissions and value-added tax. The service fee is 10 UAE Dirhams (AED) per order, and when the order amount exceeds 100 UAE Dirhams, a certain fee will be deducted. The commission varies according to the selling price of each item and the product category, and the commission rate is between 5% and 20%. Merchants should carefully understand the platform’s fee policy and settlement rules before entering the platform to ensure that they can clearly estimate their sales costs and profits.
5. Other requirements and guidance: The characteristics and operating model of the Souq platform should be familiar and followed. Merchants need to understand the logistics model of the Souq platform, including the FBS model and the self-delivery model, so as to choose the appropriate logistics method according to their own situation. At the same time, if merchants plan to sell local domestic brand products, it is necessary to register the trademark in the UAE. If you want to sell internationally renowned brands, merchants need to obtain brand authorization and submit it to the Souq platform. These measures will help ensure the compliance and sustainability of merchants doing business on the Souq platform.
In summary, entering the Souq platform requires meeting a series of conditions and requirements, including providing a valid business license, meeting cargo requirements, binding the bank account of the company where the business license is located, and understanding the fee structure and platform operation model. The business license is the basic condition for merchants to enter, which is used to verify the legitimacy and qualifications of the merchant. Merchants need to ensure that their business license is valid and meets the requirements of the Souq platform.