Laws for Starting a Business Selling Cosmetics Online

The FDA (Food and Drug Administration) of the United States governs all cosmetic businesses, including online businesses. You can operate an independent makeup business, but it is important to make sure you are not violating any of the FDA standards and regulations.

Most online cosmetic businesses do need a license or a permit from their local authority. Depending on your state, there can be variations in the requirements. Your local small business development agency of the Small Business Administration (SBA) can tell you exactly what permits you will be required to obtain. One or more of the following can be required: a resale permit, tax identification numbers, EIN (employer identification number) or a sales and use tax permit.

The FBA does not approve of sellers making health claims without scientific evidence to back them up. Therefore you will need to ensure that your products are properly labeled and that your marketing slogans are truthful.

Products that are made of alcohol have to be shipped via ground transportation. The routes of transportation are something that you should consider when offering certain products in an online cosmetic business.

According to the FDA, some specific items need an ingredient label, and they also advise you of the order in which the ingredients should appear on the label. For example, true soaps no not require an ingredient label, but most other cosmetic items do. When listing fragrances, you do not have to list the proprietary blend, per the FDA's rules and regulations. Having a procedure in place to follow these regulations will lead to a successful online cosmetics business.