China is one of the leading sellers of manufactured goods in the world. It is also known as “The World’s Factory”.
Sourcing from China is an excellent cost-effective decision. Business companies often face a language barrier which proves to be a hindrance for foreign buyers. In this scenario, a good buying agent can be a great benefit for the business.
Buying agent is a third party who helps to locate the right supplier in a country. They help to make familiar with customs, language, and business practices of that place. So below are some tips to find a buying agent in China.
The location of the buying agent is important to be considered while looking at the Google list of buying agents in China. A foreign company doing agent business in China is easier than native people. As China has rigorous policies regarding internet searching, buying agents of china on Google is difficult. So when one chooses a foreign buying agent they should ensure that they have a good-staffed office in China. One should verify the period from which they have an office in China. Buying agents' proven record is an important consideration.
There is enormous variation in the method of Chinese business and business operation at other places. The difference is because of differences in custom, mindset, and culture. It is prudent to select a buying agent that has many years of working experience in China.
One should choose a buying agent that gives authentic references to other businesses. Further cross-check these references through their website and table-talk. Figure out the time for which they are working as buying agents and their quality of work.
One buying agent should be able to give needed documentation for the shipping and sourcing process. The documents include the Lading bill, fumigation certificate, detailed packing list, and origin certificate.
When a company is buying products from another country, product quality check is of utmost importance. One should get clear details on the buying agent's deals with quality issues.
All business transactions in China require having a trade license. They have very strict laws and have a specific license for each type of business. Before hiring a buying agent the most important thing to check is their license.
A good buying agent should be proficient in both the language of Mandarin and English. At times one can need to directly speak to buying agents to make sure they at the Chinese office are proficient in English.
Different buying agents have different fields of expertise. There is a requirement to check to buy an agent’s prior experiences in a product one is interested in sourcing. For this one should ask the agent for records and even look at the buyer’s preference.
Many times buying agents have to take kickbacks from product suppliers. These types of agents can find suppliers quickly but the quality of the supplier’s product, in this case, is doubtful. Make sure to check that the buying agents meet certification and quality norms.
It is an important factor to be considered in choosing the apt buying agent for a business. One has to be flexible with their budget and determine the price of products before paying the buying agent. Be reasonable and practical.
After shortlisting the buying agent’s one should negotiate the charge rates. Large companies usually have fixed rates. In the case of independent buying agent negotiations go better as they are more flexible with their rates. Besides, consideration should be given to margin discounts. At times they even give discounts on the repetition of orders.
If one considers hiring a buying agent from China, choosing the right one is a crucial step. Getting good quality products at the right time and price can help in business growth. The future of business depends on the buying agent one chooses. So one should take time and consider all the tips mentioned above to select a buying agent.