Are you interested in doing business with the rest of the world?
It is not a bad idea, because now thanks to free trade agreements and the facilities provided by technology, you can start your business with this type of business. Thanks to the Internet, creating import or export businesses can be simpler than you thought and very profitable. Here are some basics to get you started.
- Select the company name and create a website and blog
Without a website or blog, you cannot have a business import or export network. Build a platform that allows you to develop an online presence and grow your business. The goal is to balance the flow of communications, product sales, and build your customer base to drive profits from your international business.
First of all, remember to register your business name with a reputable web host. Then consult an international trade attorney and accountant for advice on virtual import and export business establishment.
- Choose a product to import or export
When it comes to import and export, the chosen product may not be for all customers. You must decide something and hold on to it. If you saw something in another part of the world that you would like to sell to your market, you must first carry out a market study to find out if there is a good buyers’ market.
- Find the right market
If you have already selected a product, now you have to find somewhere to sell it. You will improve your chances of choosing a good market if you cultivate a special ability to keep track of current or potential trends.
You must do the task of studying the market before locating the best external or internal niche for your product or service. Two places to check trends are the World Bank and Global Edge.
- Get a provider
The easiest access to reputable suppliers may be Alibaba, Global Sources, Thomas Register. There are other sites, what’s more, on Google, through forums, even on social networks you can investigate by suppliers, manufacturers, exporters, importers, buyers, wholesalers, and potential customers of the business.
- Product price
The business model for an import or export company is based on two fundamental elements within an international purchase and sale transaction:
First Volume (number of units sold).
Second Commission in that volume.
The objective is that the price of your product (which implies its commission) is not higher than what the client is willing to pay. Importers and exporters generally have a profit margin of 10% to 15% on cost, which is the price, the manufacturer charges. Keep the price of the products separate from the logistics, since at some point the two combine with mine to deter a set price per unit. A good transport company can help here. Don’t let this part intimidate you!
- Find clients
Whenever I’ve done a good job with the optimization of engines to search your blog or website and other media promotion, customers will find you. However, you cannot rely on it alone, you must go hunting for clients. Consult with local contacts to explore commercial organizations, chambers of commerce, embassies, and consulates of commerce. There you can find specific contact lists.
Don’t forget to exploit the possibilities offered by Facebook, Linkedin, and Twitter. The point is to keep your business on the minds of potential clients worldwide.
Transportation of your products
The next step is to focus on product transportation logistics. By now, you have already located a customer who loves your product, consolidated terms of sale, and prices. Now you have to move your product.
You can find out various transport options, such as companies specialized in medium or heavy cargo shipments (depends on the size of the product). There are specialized services in global export and import charges. What you should consider apart from the price, is the guarantee they offer.