Is it legal to sell items on backorder?

Generally yes, as long as you clearly tell customers the item is not in stock and give a realistic ship date. Many places require you to ship within the promised time or offer a refund, so check the rules where you sell.

How do I allow backorders on Shopify?

In the product’s inventory settings, turn on the option to continue selling when out of stock. Then add a clear shipping-time message to the product page so customers know the item will ship later.

Backorder

A backorder is an order a customer places for a product that is out of stock, which the store accepts now and ships once new inventory arrives.

What is a backorder?

A backorder happens when a store lets customers buy a product that is currently out of stock, with the promise to ship it once more inventory arrives. Unlike a sold-out product that cannot be bought at all, a backordered product stays available to purchase. For online stores, backorders matter because a stockout can stop a winning product, and its ads, in their tracks. Allowing backorders keeps sales and momentum going while you wait for restock. Handled well, it protects revenue. Handled poorly, with unclear dates or long waits, it leads to complaints, cancellations, refunds and even chargebacks.

How a backorder works

On Shopify, you enable backorders by letting a product continue selling when out of stock. Inventory then goes below zero, which shows how many units are owed. For example, if you have 0 units of a jacket and 30 customers buy it, inventory shows minus 30. When a shipment of 100 jackets arrives, the first 30 go to backorders and 70 remain for new orders. Customers are charged at checkout in most setups, so clear messaging is essential. The product page should state an expected ship date, and buyers should get updates if the date changes.

When to use backorders

Backorders make sense when demand is strong, a restock date is confirmed, and the wait is reasonable for your customers. They suit products with reliable suppliers, popular items in a viral moment, and seasonal launches. The benefits are kept revenue, uninterrupted ad campaigns, and early cash that can fund the next inventory order. The risks are disappointed customers if the supplier slips, extra support tickets, and higher refund and chargeback rates. If you do not have a firm restock date, it is usually safer to show the product as sold out and collect email sign-ups for a back-in-stock alert.

Best practices for backorders

Show a clear message on the product page and in the cart, such as ships in about three weeks, so no one is surprised. Repeat the expected date in the order confirmation email. Only promise dates your supplier has confirmed, and add a small buffer. Send a short update if anything changes, and offer an easy cancellation with a full refund for anyone who no longer wants to wait. Ship backorders first when stock arrives, in the order they were placed. Watch your payment processor’s rules on long delays between charging and shipping, as long waits can raise dispute risk.

Backorder vs pre-order

A backorder is for a product that already exists and was in stock, but has temporarily sold out. A pre-order is for a product that has not launched or been made yet, sold before its release date. The customer experience is similar, since both pay now and wait, but the message differs. Backorders say the item is coming back soon, while pre-orders say be among the first to get something new. Pre-orders are often used to test demand or fund production, while backorders keep a proven seller moving during a supply gap.

Questions

Is it legal to sell items on backorder?: Generally yes, as long as you clearly tell customers the item is not in stock and give a realistic ship date. Many places require you to ship within the promised time or offer a refund, so check the rules where you sell.
How do I allow backorders on Shopify?: In the product’s inventory settings, turn on the option to continue selling when out of stock. Then add a clear shipping-time message to the product page so customers know the item will ship later.