Export Advice for beginners – If you have the start of a retail business idea chances are it will involve import/export activity – either raw materials, manufactured products, business to business sales or direct to consumer sales.  

 

Ecommerce has opened the world to entrepreneurs please don’t hesitate to reach out.

A bit of practical export advice from our experienced team 

1. Research and planning – take time to understand your target market, your potential competitors and the purchase behaviour of your ideal customer i.e. what channels are they using, what influences their purchase decisions – price, eco credentials, celebrity endorsement etc. 
2. Register for an EORI (Economic Operators Registration and Identification) number with HMRC.
3. Apply for import/export licences and certificates if required – to check if you need a licence and which documents you need, look up the commodity code of your goods online. 
4. Find suppliers/manufacturers of the products/parts/raw materials you need and request samples 
5. Speak to logistics and transportation companies to organise your supply chain, a logistics partner can arrange all the elements (shipping, storage, pick, pack and distribution) of your products journey – from the manufacturer to the customer.
6. Plan your finances – get quotes, cash flow is vital. 

Personal advice from MD Matt Smith – the things I learned on my export journey

1. Hone your negotiating skills – you need to be confident, as almost every interaction of your import and export business can be negotiated to secure the best deal for you. From negotiating the price, quantities and samples of the product you’ve sourced to negotiating the terms of sale, retail price, wholesale price, minimum orders, delivery times, contract terms etc etc. 

2. Becoming trustworthy is a must in this industry, by living up to your word, being fair and paying bills on time. You will build credibility and that may lead to negotiating better deals. 

 3. Become informed. Knowledge is key, starting with Incoterms*. These are the international commercial terms for the buyer and the seller to understand where shipping costs and risks lie. Understanding these terms are vital for protecting your goods and covering your risk. When you know your terms of delivery you are in a strong position to negotiate and trade. 

*There are eleven different terms of delivery: EXW-FCA-CPT-CIP-DPU-DAP-DDP-FAS-FOB-CFR-CIF. These are referred to as Incoterms 2020. 

• The standard shipping documents for export include the following, but not all are required –  

• Commercial Invoice 

• Packing List 

• Certificates of Origin 

• Shipper’s Letter of Instruction/Direct Representation Form 

• Ocean Bill of Lading 

• Air Waybill  

• Dangerous Goods Note 

There are ways to simplify your supply chain – using a 3PL like the team at TPS Global Logistics can take away all the hassle – handling the whole paperwork process for you, and even pay duties on your behalf.  

Our UK based, family run team are available to help you every step of the way. 

You can manage inventory from your own computer and track your goods whilst in transit. Visit our warehouses to discuss your business requirements with your account manager face to face or over the phone whenever you need to. Click here to see how it works.