With the explosion of online shopping over the past few years, the import industry has boomed as well. There’s no better time than right now to become an importer, but you might not know where to start. From choosing the company you’re going to import products from , to who’s going to file your ISF, to ensuring your products end up safely in your customers’ hands, there’s a lot to think about as a new importer. These five basic steps will get you headed in the right direction.
Choose the Country
While China is often the go-to country for new importers, it’s definitely not the only one that can make you a lot of money. There are plenty of other countries that offer in-demand products at a great wholesale price that you can turn a profit on. Study each country’s export regulations and costs to make sure the final price is still worth your efforts. If it’s not, move on to another country until you find your niche.
Choose Your Suppliers
The suppliers you use in the country you’re importing from will make or break your business. If possible, it’s recommended that you travel to the country and meet in-person with potential suppliers before making your selection. Look for a supplier that produces high-quality goods at a reasonable price and can guarantee availability. This allows you to balance supply and demand so that you don’t end up with an out-of-stock message on your website.
Research Duty Fees and Taxes
You aren’t done paying for a product when you pay your supplier. There are still duty fees and taxes that you have to account for. This should be part of your initial research before you choose a country to import from, but if you haven’t done it already, now’s the time. Import duties are typically calculated as a percentage of a product’s declared value and as such, they differ from product to product. Other factors that might impact duty fees include the country of origin, quota controls, anti-dumping regulations, and product-specific tariffs.
Select a Reliable Customs Broker and Freight Forwarder
Importers often make the mistake of trying to run their business on their own instead of partnering with a customs broker and freight forwarder. These companies ensure that your import documentation is correct and filed on time, provide you with transparency into your shipments, and take care of getting your products safely from point A to B. You shouldn’t try to import anything without these critical partners by your side.
Ship Your Products on Time
This step might seem like a no-brainer, but it’s harder than it sounds. There are several ways to import goods, so pick the one that makes the most sense for you. For instance, you can be a drop shipper, who imports items as they’re ordered, or you can purchase inventory to keep in stock at your domestic warehouse. Either way, make sure you deliver on your shipping promises to increase the odds of your customers coming back to you when they need to order other products in the future.
Conclusion
While these steps to becoming an importer are very basic and don’t discuss the details of what an importer must do to be successful, they give you an idea about the absolute minimum that you have to do to get your company started.
