In simple terms, an import export agent is the middleman who bridges the gap between a buyer and a seller. Their main motive is to bring the best and most optimum price for their client who can either be a buyer/seller of a product/ service.
In fact, if you take our word for it, then becoming an import export agent is the best way to start in this wide import-export industry. Wondering why? Enlisted below are all the reasons:
- It helps you build a strong professional network:
With the passage of time, based on your skillset and hard work an import export agent can build a very wide professional network of buyers and sellers. This ensures your clients continue to get the best prices which eventually mean they stay long term.
- It helps you make good money:
A successful import export agent makes money based on their skillset. There are a number of key skills which can help you make more money as an agent. The key skill is to identify all the diverse sources of income and try to earn from them. We will discuss the ways to make more money and protect your commission in the further parts of this article.
Now that we know about the advantages of beginning as an import export agent, let us have a look at the various means of income by which they can earn a good sum.
- Consultation fees:
The local as well as international companies trying to setup their business in a new country or region usually require an import export agent to advise them on the market blueprint. Such opportunities are good to charge consultation fees. Moreover, if you have any additional services to offer in this regard and if the company is impressed by you then they might consider collaborating with you on long-term basis.
- Commission fees:
This is the easiest and the best way to make money for an import export agent. There can be a number of varied services you can provide like referrals, cheaper warehouse storage, higher sales, and brokerage fees and so on. Mind you, there can be a commission for every service you offer and every service you offer can earn you a commission.
- Customer Representation and Marketing:
There can be organizations that can pay you to become the face of their company in the market. Thus, you have to market their services or products, get them higher profits and represent them to potential dealers and buyers. This is how you can make money by representing and marketing your customers.
Though one develops skills required to communicate and deal with their clients, there is a high risk that you get a meagre or null commission fee for all the hard work you put in. This is especially true when you are a newcomer or when you initially enter a new market.
We have curated the following list of checkpoints by which you can protect your commission in import- export business.
- Seal the deal with a solid commission agreement in place:
A commission contract is the legal and most effective method of protecting your money for the efforts you are putting in. We strongly advise you to sign one such commission contract with the parties involved. Additionally, make sure you include the following two documents:
- Representative Agreement:
Representative Agreement is of utmost importance to an import export agent. It should contain the following details:
- Cost price or selling price of the product or service.
- Commission rates which were pre decided.
- The contract period.
- Seller/ Buyer details.
- Commission Agent details
- Commission fee per the unit of quantity.
- The representative authority and country law.
- Payment method, bank details, timing and currency
- Penalties in case of contract breach.
- Non- Disclosure Agreement:
A Non- Disclosure Agreement or an NDA is important to protect your i.e., an agent’s long-term interests. This prevents both the parties from signing a deal without you knowing it. This means that an NDA ensures that the parties involved in the deal do not directly approach each other without your knowledge. A notification / clause of the same is to be mentioned in the Representative Agreement too.
Mind you there is only one of the two things that any businessman needs when dealing in a market – to buy something at a low cost or to sell their product at a high cost. As long as you get them the best deal available in the market, they are bound to stay! The above contract agreement is just to keep your deal in place and avoid any discrepancy.
Let us now quickly have a look at how can Impexperts help you. We have a 38 + years old legacy in providing import – export services, courses and a trade network. The trade opportunities we offer are the best in town and we make sure to stay from end-to-end. Our loyalty and support is the main thing we offer in addition to our services. Want to learn more about us? Call us :- +91-9211066888.