Tips for you to do safe and smooth business in China..
Doing business in China is profitable but also a challenge for some businessmen worldwide as there are too much
trouble involved without enough Due Diligence work. 90% of the Chinese suppliers require 30% deposit before
production and 70% of rest balance before delivery in China. Also sometimes the supplier use high-quality samples to attract the order but use worse materials for bulk production, we have witnessed countless
trade disputes every year in China and sometimes it is quite risky for a foreign enterprise to purchase directly
from a Chinese supplier. Here are the right steps for you to do safe and smooth business in China:
First, if you have not found any reliable suppliers, then you’d better book an On-site Professional Sourcing service
from a third-party local service company like:
Sometimes only local experts can find out the truth for you in China.
Second, if you have sourced some suppliers by yourself, before you pay any deposit, you'd better book a third-party Basic Verification or Factory Inspection service like below to fully check out your suppliers.
The purpose of any verification service is to discover their real registered information and export qualifications etc
in order to avoid future trouble.
Third, if your order is very big, sign a formal Purchase Contract with them before paying the deposit. A formal
Purchase Contract both in Chinese and English is very important as China is NOT an English speaking country,
local courts only regard Chinese version of contracts as the official ones.
Fourth, if your order is very big, book a third-party During-production or Pre-shipment QC Inspection service like
below before paying them the rest balance.
Fifth, book a third-party Loading Process Supervision service to protect your interests after you pay them the rest
balance in China.
Sixth, try to use your own 'shipping forwarder' like STIN in China ( STIN can contact a shipping agent, arrange
shipment and clear the customs for you for FREE if you use STIN 'purchasing agent' service in China, by this
way you will control everything at your end.)
Of course if you need a ONE-STOP business solution service from China, you can simply book a third-party ‘purchasing agent’ service, then they shall act as your own buying office and all above services can be
covered in this service.
A qualified professional purchasing agent service may help you smooth every step in following aspects in
China in person:
Sourcing new suppliers or factories;
Supplier verification and auditing;
Management of suppliers; Price negotiation;
Delivery support (Logistics);
Formal contract documentation support;
Quality Control management;
Loading process supervision;
After-sale Service support;
Other services may be available upon request.
A good purchasing agent service is different from a trade company and they can benefit you much more from
following two points:
A trade company will protect their own interests at any time during the business in China. They will not allow
the clients to buy directly from their verified factories. They will 'buy' from the factories and add their own profit,
then 'resell' the products to the clients worldwide, the profit of trade companies is normally 10-50% against
invoice value in China, varied in different products. While a purchasing agent service, take
STIN (www.chinabizservices.com) for example, will simply act as their own 'assistants, office and eyes 'etc
in China, STIN service will protect the customers' interests from the beginning to the end during any business
activities in China. All the service charges are fixed and transparent and the commission for STIN service is
only around 5%. They only charge a small amount of service fee order by order or case by case, apparently
the customer can profit more as they can buy directly from any qualified factory sourced and verified by STIN
in China. The client is free to contact the factories for any question related.
2. Trade companies normally do not have their own team of quality control inspectors, factory auditors and
lawyers etc. STIN has a team of professional quality control inspectors, auditors, buyers and lawyers etc in
China and apparently STIN can offer better ONE-STOP business solution services for their clients worldwide.