Opening an eshop without a physical store is fully legal and viable in Greece, provided you meet 3 basic conditions: (1) register your business with the tax office using the correct e-commerce activity code (KAD, the Greek business activity classification code), (2) declare a registered office (this can be your home if you sell intangible services or use dropshipping, or a rented warehouse if you hold physical products), (3) have your logistics chain in place (suppliers, courier, payment gateways).
E-commerce in Greece keeps gaining ground year after year, and dropshipping is one of the most popular ways to run an eshop with no stock and no physical store. The total start-up cost ranges from €600 to €3,500 for a basic setup.
Physical Store vs Eshop Without a Store: Cost Comparison
| Cost (per year) | With a store | Without a store |
| Rent | €8,000–24,000 | €0–3,000 (warehouse) |
| Utility bills | €2,500 | €600 |
| Staff | €12,000+ | €0–10,000 |
| Marketing | €3,000–10,000 | €5,000–15,000 |
| Total for the first year | €25,000–60,000 | €6,000–28,000 |
What are the legal requirements for an eshop?
Every business form other than a sole proprietorship, e.g. IKE (private company), OE (general partnership), AE (public limited company) or EPE (limited liability company), must have a registered office. So if you do not want to rent a shop, the eShop will be registered under your sole proprietorship, with the registered office of your existing shop.
Choosing a KAD (activity code) for an eshop without a physical store
You cannot simply pick whichever KAD you like. Each KAD corresponds to sales of the specific kinds of goods your eshop will carry, so it is wise to consult your accountant. There is also no general e-commerce KAD. The KAD is determined by what the eshop actually sells.
Does an eshop without a physical store need a registered office?
If there is already a physical store, there is no issue. The eshop can declare the same address as its registered office. But what about an eshop business without a physical store that wants to keep costs low? It can declare the home as the eshop’s registered office, but only if it does not trade physical products and sells intangible services alone. If there are physical products, there has to be a warehouse, even a small one. Naturally, it must have a different address from the business owner’s home.
What an eshop without a physical store means
An eshop without a physical store can use new technology to give quick, easy access to the business’s products and services, so customers can browse the shop’s products online at any time of day, from anywhere.
Advantages and benefits for consumers and business owners
Consumers save time while choosing from a huge range of products and services with a single click. The power of technology lets eshops without a physical store offer customers a convenient, valuable shopping experience and plenty of choice, since the goods do not need to be physically on display.
Another major cost an eshop without a physical store saves is rent. Of course, that money then needs to go into Google advertising or Facebook advertising so that the online store succeeds.
Because eshops without a physical store have no rent to pay and avoid other expenses we cover below, customers can often benefit from even lower prices than online shops can otherwise offer.
Challenges and problems of an eshop without a physical store
Every new business venture has its own challenges, and e-commerce is no exception.
Dealing with the loss of face-to-face contact with customers
Without a physical store, face-to-face contact with the customer is limited. This can make it harder to win their trust. That is why high product quality, reliability and outstanding customer support matter more than ever.
We have to accept that a customer walking into a physical store knows they will pay and leave with what they want, something they are not entirely sure of the first time they visit your online store. With the right branding and well-planned e-shop development you win customers’ trust and give them a sense of security. On the product page, multiple high-resolution photos, video and detailed descriptions all help with this.
Something to bear in mind is that many customers trust an eshop more when it has a physical store, wherever that store may be, because it makes them feel safe.
Solving reliability and delivery problems
Selling through an eshop means successfully solving reliability and delivery problems. By scheduling accurate deliveries, keeping your website reliable and giving customers easy ways to contact you, you can meet these challenges.
It is important to work with a haulage company and a courier that can process your orders quickly and reliably. There is no point selling if your goods never get delivered.
Bonus tip: In Greece, cash on delivery is very popular, so make sure these payments reach you quickly enough to keep your cash flow healthy!
Financial analysis of an eshop without a physical store
In today’s technology-driven world, businesses without a physical store, or eshops, are doing well. Below we look at a few financial and accounting points.
Costs and profits
A business owner trading as an eshop does not face the same level of expenses as a physical store. Eshops can price more competitively, cut operating costs and give customers more offers.
These costs include
- Rent
- Electricity
- Water
- Shop cleaning costs
- Staff costs for serving customers (the more successful a store is, the more staff it needs, whereas a successful online shop does not see the same exponential growth in staff)
- Municipal charges
- Day-to-day expenses (e.g. light bulbs, toilet paper, office repairs etc.)
How is an eshop taxed?
Since 2026 a new scale (Law 5246/2025) has applied to the profits of sole proprietorships, with rates from 9% to 44%. In detail: 9% on profits up to €10,000, 20% from €10,001 to €20,000, 26% from €20,001 to €30,000, 34% from €30,001 to €40,000, 39% from €40,001 to €60,000 and 44% on profits over €60,000. Young people up to 30 and parents with children pay even lower rates in the first brackets.
Advance tax is 55%, halved to 27.5% when the business earns income for the first time. In addition, for new sole proprietorships, for the first 3 years, provided gross income does not exceed €10,000, the rate on the first bracket drops to 4.5%. For a company (general partnership OE, limited partnership EE, EPE, IKE, AE etc.), the tax rate is 22% (still in force in 2026), regardless of profits. For EPE, IKE and AE companies there is an additional 5% tax on dividends paid out to the company’s members. The advance tax rate is 80%, set at 40% for the first three (3) years of operation. Your accountant can tell you exactly what applies in your case.
Dropshipping
Dropshipping is a popular way of selling products without holding stock or shipping the products yourself. The eshop acts as the “shop window” for the products. The supplier takes care of sending the item wherever the customer ordered it. The supplier does not handle marketing: it does not promote the product or attract customers, which is the eshop owner’s job. Suppliers usually feed products to the eshop through an XML file that updates prices and stock in real time.
In Greece, dropshipping is the only option if you want to sell physical products from an eshop registered at your home. One very important point in Greece is that you have to give the tax office a certificate from your supplier, and it is not certain the tax office will accept it.
Prospects and the future of the eshop without a physical store
Advances in technology and global competition have pushed online stores, or eshops, to step up their efforts in this direction. E-commerce keeps growing every year!
Trends and developments in digital commerce
Artificial intelligence, personalised experiences and social commerce platforms are some of the key trends expected to shape the future of digital commerce. A new world is opening up for eshops and for AI-powered advertising, and it will make buying through an eshop even easier.
Possible developments and changes to the model
In the coming years we are likely to see changes to the eshop model, such as a growing role for interactive stores and a focus on human contact. Many eshops already use AI chatbots for customer service, while shopping straight from social media and live video keeps gaining ground.
Conclusions
Smart solutions for 21st-century business owners: eshops without a physical store are growing fast. They are an option that avoids some traditional challenges but brings new ones. Pay close attention to keeping your eshop running properly, and choose the right partner and the right e-shop support package.
The challenges and benefits of an eshop without a physical store
Without traditional infrastructure, these online shopping centres are more flexible and respond faster to market changes. Even so, they face challenges of their own, such as the need for an excellent digital presence and solid delivery capabilities.
Outlook and next steps
The challenge ahead for eshops without a physical store is to evolve alongside technology and consumer expectations without losing the personal contact and warmth a physical store offers.
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