6 Ways You Can Make Exporting Goods Easier For You
Commerce has been around for almost as long as humans have. Imports and exports brought food, drink, clothing, furniture, and just about anything else in the world. Imports are goods and services that are imported from one country to another, while exports are goods and services that are manufactured in one country and sold in another market.
Therefore, whether a product is imported or exported (or both) depends on whether the trade is focused or not. Here are some tips for you on how to make it easier to do this kind of job.
Table of Contents
Get basics in order
Starting a business in the 21st century requires covering certain basics, such as building a website and using social media channels such as Facebook and Twitter. The first step is to get the basics in order. This means that your business in the state where you are headquartered needs to be registered, obtain the necessary business license to operate legally, etc. A business plan is also required.
This business plan should also include compliance with the rules and regulations of the market in which you operate. For example, importing alcohol and tobacco products into the United States requires permission from the Alcohol and Tobacco Trade and Excise Commission. Permits are free but may take several months to obtain. If you do business with other countries, you should perform similar research, taking into account everything from each country’s different legal back label requirements to insurance.
Get the logistics
This is one of the hardest parts, finding someone who is willing to do a lot of work for you. Giving it a try with the customs broker in Calgary is generally a good idea for all export companies, as they act as a shipping agent for moving freight. This saves you a lot of time, and you don’t have to worry about transporting products from your factory to your warehouse. Essentially, you give them information about your company and your intentions for the product, and they can help you with transportation arrangements, insurance, and, in many cases, permits, obligations, and licenses to work in other countries.
Pick a product to export
The next very important step in starting a business is to find a product or industry that you are interested in and that you think will sell well in the international market. Once you have found your product, you also need to identify the appropriate market for it. After all, you need someone to sell it. This is where trend-spotting skills come in handy. The best products for importers and exporters are those that are just beginning to become popular or those that are expected to become popular in the future.
Source your suppliers
Once you have found a product you want to trade internationally, you need to find a manufacturer or other producers who can manufacture it and build strong partnerships. Good supplier relationships are essential to the long-term success of your import/export business. Generally, you can find suppliers through companies such as Global Sources, Alibaba, and Thomas Register. You’ll need to convince your supplier of the benefits of entering the market you wish to sell to and the logistics of moving your product from your local warehouse or manufacturing facility to another factory.
Price your product
Once you have identified your target market, you now know what products you want to work with. Next, we need to calculate how much to charge. An import-export company’s business model typically involves two key understandings: the number of units sold and the commission paid for that quantity. Try to price your product so that the product markup (and ultimately the commission) does not exceed what the customer is willing to pay. However, it should not be set so low that it is not profitable.
Find your customers
The next thing to take care of is finding customers to sell to. Determining a market is not the same as finding customers. You can’t ship your product to New York Harbor and start selling it to everyone who stops by at the dock. Usually, you need to find distributors or customers who will sell your product to other people. If you have a high-quality website with digital marketing campaigns, chances are your customers will find it. But first, do things the old-fashioned way: cold calling. Check with local contacts, local chambers of commerce, trade consulates, embassies, etc. These companies may provide a local contact list that can be very helpful when starting an import/export business.
The world of exports is a dazzlingly complex system, balancing both economic and emotional needs. Make sure to satisfy both of them while working on your business.