modes of transactions
We have two modes of transactions. In the first kind, our e-commerce store receives orders from a customer in the USA/Canada for retail physical goods. Then we place a corresponding request to a supplier in China for supplying the products ordered, and this is done for all subsequent orders. We only Pay Chinese suppliers only when our e-commerce store receives an order. The supplier in China, based on the request of the applicant, ship the goods directly to the customer in the USA. In other words, the products do not come(enter into) to India. The Chinese supplier issues invoice to us, for which payment will be made in due course. Subsequently, we will raise an invoice on the customer in the USA, and collect the proceeds.
In the first transaction, payment is first collected by us (in USD) from the customer through International Payment Gateway (PayPal.com), which then is directed to our Indian Bank account(INR), through which we later Pay to Supplier in China (in USD).
Only Payment from USA customers enters India, and then the cost of goods is paid to the supplier as per the invoice issued through the Indian Bank account.
In the other mode of transaction, we design our clothing, necklaces, and gifts. Then those are manufactured by the company in the USA and are only sold and marketed (Advertisement on the Internet) in the United States by our company in India and under our Indian Brand name. Item design is only printed/manufactured when our store receives an order.
In the second case also, goods do not enter into India, only Payments from USA customers enters India. In this transaction, we again collect Payments in USD through Indian Company and then pay USA manufacturing company for on-demand manufacturing of our designs.