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Can you really make money selling on TikTok? 

While most people still think of TikTok as the place where Gen Z shares dance videos, smart sellers are quietly building profitable businesses through TikTok Shop—and they’re doing it without needing millions of followers.

TikTok has transformed from a social media platform into a serious e-commerce marketplace where ordinary sellers reach customers through short videos, live streams, and authentic product demonstrations. Unlike traditional online stores that rely on paid advertising to drive traffic, TikTok Shop lets you turn entertaining content into direct sales.

The numbers tell the story. With over 150 million active users in the U.S. and seamless in-app purchasing, TikTok Shop creates opportunities that didn’t exist even two years ago. 

Still, not everyone can sell on the platform.

So how do you know if you qualify? The eligibility requirements are specific, the application process has particular steps, and understanding both can save you time and frustration before you start.

This guide walks you through exactly what you need to get approved and start selling on one of the fastest-growing e-commerce platforms in the world.

Can I sell on TikTok Shop? What are the requirements?

Quick Answer

You must be 18+, have U.S. residency, valid ID, business registration (for companies), and operate in supported countries to qualify for TikTok Shop.

The Bottom Line

TikTok Shop accepts both individual sellers and registered businesses in the U.S., but the application process requires specific documentation and takes 24-48 hours for approval. With TikTok’s recent legal stability and 6% commission rates, now is the time to get started—but only if you meet the eligibility criteria and can handle the platform’s demanding shipping requirements.

Key Requirements to Get Started

• Age: Must be at least 18 years old with valid ID
• Location: U.S. residency required (10 countries total supported globally)
• Documentation: Government-issued ID for individuals, EIN and business license for companies
• Timeline: 24-48 hour approval process (some approved in 19 hours)
• Fees: 6% referral fee + 2.9% transaction fee starting April 2025

Who Can Sell on TikTok Shop in the United States?

Individual Sellers can qualify if they have:

• U.S. driver’s license, passport, or state ID
• Legal name and date of birth
• Last 4 digits of SSN or ITIN
• Residential address proof
• Active U.S. bank account

Business Sellers need additional documentation:

• Employer Identification Number (EIN)
• Business registration documents
• Business representative information
• Primary business address
• Business bank account

Quick Check: Are you 18+ with valid U.S. ID and residency? If yes, you can likely qualify as an individual seller and start immediately.

What Countries Allow TikTok Shop?

TikTok Shop operates in 10 countries as of 2025:

• North America: United States 
• Europe: United Kingdom, Ireland (invite-only), Spain (invite-only)
• Southeast Asia: Indonesia, Malaysia, Philippines, Singapore, Thailand, Vietnam 
• Special: China (separate platform)
• Cross-border selling is allowed between all supported countries, so U.S. sellers can reach customers globally within the TikTok Shop network.

How Long Does TikTok Shop Approval Take?

Typical timeline: 24-48 hours for most applications 

Fastest approval: Some sellers report approval in as little as 19 hours 

Delayed cases: Additional verification may extend the process

Pro Tip: Have all documentation ready before starting your application. Complete applications process faster than those requiring follow-up information.

Individual vs Business TikTok Shop Accounts: Which Should You Choose?

When to Choose Individual Account:

• You’re a solo entrepreneur or side-business seller
• Haven’t formally registered a business
• Lower sales volume (under $100K annually)
• Want simpler setup and management

When to Choose Business Account:

• Registered company or corporation
• Need multiple team members with different access levels
• Higher volume operations (over $100K annually)
• Want advanced analytics and bulk management tools
• Plan to scale significantly

The Reality: Most new sellers start with individual accounts and upgrade to business accounts as they grow. You can always upgrade later.

What Products Can You Sell on TikTok Shop?

Permitted Categories Include:

• Fashion items and accessories
• Electronics and technology products
• Beauty and personal care items
• Home goods and décor
• Pre-owned luxury handbags (quality standards apply)
• Collectibles and small household goods

Strictly Prohibited Items:

• Firearms, weapons, and ammunition
• Tobacco, alcohol, and vaping products
• Drugs and illegal substances
• Counterfeit or replica goods
• Adult content or explicit materials
• Hazardous materials

Important Note: Some categories like cosmetics and food products require additional health and safety certifications. Always verify specific category requirements before listing products.

What Are TikTok Shop’s Fees in 2025?

Commission Structure (effective April 1, 2024):

• Standard referral fee: 6% of total order value
• Jewelry category: 5% referral fee
• Transaction fee: ~2.9% of sale amount
• Fulfilled by TikTok (FBT): Starting at $3.58 per item

Fee Calculation Formula: Referral Fee = 6% × (Customer Payment + Platform Discount – Tax)

New Seller Promotion: 2% commission + $0.30 per order for first 60 days OR up to $500,000 in sales (whichever comes first).

Compared to competitors: TikTok’s 6% is lower than Amazon’s 8-15% but higher than Walmart’s 2.5-8% range.

What Tax Requirements Must You Meet?

All U.S. Sellers Must:

• Complete W-9 tax form
• Provide Taxpayer Identification Number (TIN) – either EIN or SSN
• Maintain detailed sales and expense records
• Register for state sales tax where applicable

TikTok’s Reporting:

• Reports all transactions to IRS
• Provides 1099-K forms at year-end
• Automatically calculates and reports seller income

State Tax Consideration: You may need to register for sales tax collection in states where you have economic nexus (varies by state, typically $100K+ in sales or 200+ transactions).

How to Apply for TikTok Shop: Step-by-Step Process

1st Phase: Preparation (Before You Start)

1. Gather Required Documents:
   
   • Individual: Valid U.S. ID, proof of address, bank account info
   • Business: EIN, business license, business bank account details
2. Verify Your Information:
   
   • Ensure your legal name matches all documents exactly
   • Confirm your address is current and matches bank records
   • Double-check your phone number and email are active

2nd Phase: Application Submission

1. Visit TikTok Shop Seller Center
2. Complete Eligibility Check with basic information
3. Submit Required Documentation based on account type
4. Create Your Seller Account with business details
5. Set Up Payment and Tax Information

3rd Phase: Shop Configuration

1. Configure Shipping Preferences and delivery zones
2. Set Up Return Policies (required for customer trust)
3. Create Your Shop Profile with compelling descriptions
4. Add Your First Products following TikTok’s guidelines

Timeline Expectation: Most sellers complete the entire process within 3-5 days, including approval time.

Is TikTok Shop Worth It for New Sellers in 2025?

The Opportunity: With TikTok surviving recent legal challenges and 153.5 million U.S. users expected to use voice assistants by 2025, the platform offers unprecedented reach for sellers who can create engaging video content.

The Reality Check: TikTok Shop demands more than traditional e-commerce:

• Content Creation: You need video content skills or budget for creators
• Shipping Standards: Fast shipping requirements (24-48 hours) with high customer service expectations
• Algorithm Dependence: Success relies heavily on viral content and platform algorithm favor
• Competition: Growing rapidly as more sellers join the platform

Success Factors: Based on our experience with omni-channel sellers, brands that succeed on TikTok Shop typically:

• Already have content creation capabilities
• Can handle 24-48 hour shipping requirements
• Have products that work well in short-form video format
• Understand their target audience aligns with TikTok’s demographic

How Canopy Management Helps You Navigate Multi-Platform Success

Here’s what we’re seeing with our partners: TikTok Shop works best as part of a comprehensive multi-platform strategy, not as a standalone solution. The sellers achieving the strongest results are those who leverage TikTok Shop alongside optimized Amazon and Walmart presences.

Our Integrated Approach:

• Platform Synergy: We help you coordinate inventory, pricing, and promotions across TikTok Shop, Amazon, and Walmart
• Content Strategy: Our team understands how to create TikTok content that drives sales while maintaining your brand authority across all platforms
• Operational Excellence: We ensure your fulfillment and customer service meet TikTok’s demanding standards while scaling efficiently

Real Results: Our omni-channel partners achieve an average 84% year-over-year profit increase by leveraging platform-specific strengths rather than trying to manage each marketplace in isolation.

With TikTok’s regulatory uncertainty now resolved and the platform’s e-commerce features maturing rapidly, 2025 represents a critical window for established sellers to capture market share before competition intensifies further.

Ready to explore how TikTok Shop fits into your broader marketplace strategy? Canopy’s TikTok Shop experts can help you determine if the platform aligns with your business goals and guide you through a successful multi-platform approach.

Frequently Asked Questions

Q: Can I sell on TikTok Shop if I’m not a U.S. citizen but have a U.S. business? A: Yes, as long as your business is registered in the U.S. with proper documentation (EIN, business license), you can qualify as a business seller regardless of your personal citizenship status.

Q: Do I need a minimum number of followers to sell on TikTok Shop? A: No minimum follower count is required for selling products on TikTok Shop. Follower requirements only apply to creator programs and affiliate marketing, not direct product sales.

Q: Can I use my existing Amazon or Shopify inventory for TikTok Shop? A: Yes, you can cross-list inventory across platforms. However, ensure you can meet TikTok’s specific shipping timeframes and customer service requirements, which may be more demanding than other platforms.

Q: What happens if my TikTok Shop application gets rejected? A: You’ll receive an email explaining the rejection reason and how to resubmit. Common rejection causes include incomplete documentation, address mismatches, or prohibited product categories.

Q: Is TikTok Shop better than Amazon for new sellers? A: Each platform serves different purposes. TikTok Shop excels for video-friendly products and younger demographics but requires content creation skills. Amazon offers broader reach but higher competition. Most successful sellers use both platforms strategically.

Q: How quickly do I need to ship orders on TikTok Shop? A: TikTok Shop requires fast shipping, typically 24-48 hours for order processing. Late shipments can result in penalties or account suspension, making reliable fulfillment critical for success.

Q: Can I dropship on TikTok Shop? A: Dropshipping is possible but requires careful compliance with TikTok’s shipping and customer service policies. You remain fully responsible for order processing and customer support regardless of your fulfillment method.

Ready to build a multi-platform e-commerce strategy that includes TikTok Shop? Contact Canopy Management to discover how our integrated approach can maximize your success across all major marketplaces.

Canopy Management is a full-service marketing agency for Amazon, Walmart, and TikTok sellers. Our team consists of multi-million dollar, omni-channel entrepreneurs, industry leaders, and award-winning experts.