Sourcing Agent 101
Sourcing agents and sourcing companies are playing an increasingly important role in international trade. However, many customers do not know sourcing agents well. In this article, I’ve compiled 5 of the most frequent asked questions from buyers and importers.
What Is Sourcing Agent?
A sourcing agent is a professional who helps companies find the best suppliers for their needs, taking into account factors such as quality, cost, and delivery time.
A good sourcing agent will have a wide network of contacts in the industry and will be up to date on the latest trends. Professional sourcing agents can save your companies both time and money, and their services are often well worth for your investment.
What Services Sourcing Agent Offers?
Usually, purchasing agents provide multiple suppliers for any kind of product to buyers, and they need to consider many aspects to decide who is the most secure to work with. This comparison and selection process is especially important to ensure that the buyer’s order is completed accurately and efficiently.
Pre-production sample quality confirmation is essential. For conventional products, random samples can be requested to check the quality. For custom innovative products, it is best to arrange pre-production samples to ensure that the details meet the customer’s standards.
After sample confirmation, it’s time to schedule the bulk production. The sourcing agent/company will help reconfirm the product details with the factory and oversee the entire production process to ensure that the factory completes the production on time and with quality.
They will also provide quality inspection services. Have the partner quality inspection company, inspect the finished product before shipment to minimize the defect rate.
The final step is the shipping arrangement, which requires not only expertise but also extensive import/export experience. Working with a sourcing agent really saves you time, as all goods are shipped door-to-door. They take care of all the cumbersome import and customs clearance information for you. The buyer just needs to confirm the order details and can wait for the goods to be signed for at the office without any worries.
Who needs Sourcing Agent?
Sourcing agents are not just for big companies. In fact, they can be especially helpful for small businesses and startups that may not have the in-house expertise or time to find the best suppliers.
A good sourcing agent will have a deep understanding of the industry and can help you navigate in the complex world of international trade. In additional, your sourcing specialists can help you find suppliers who offer the best terms and conditions, such as discounts for large orders or flexible payment terms.
How Much Sourcing Agent Charge?
Sourcing agents typically charge a commission based on the value of the contract they help you secure. The commission is typically a percentage of the total contract value, and it is paid when the contract is signed. The percentage of commission varies depending on the agent and the specific industry.
In other words, you only pay them if they are successful in finding you a supplier to manufacture your order, and completing inspection before they help you ship the goods out from China.
Tips to Find Reliable Sourcing Agent
When choosing a sourcing agent, it is important to select someone with relevant experience and a proven track record. A good sourcing agent will be able to quickly identify the best suppliers for your needs and will negotiate favorable terms on your behalf.
Start to Sourcing Promotional Products from China
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