Hiring a wholesale supplier overseas from a country such as China may seem like a huge business risk—and in many ways, it is. But some of the world’s largest and most successful companies have been doing it for years. When done right, working with wholesale suppliers from China can truly pay off. The key is to find the right supplier. Here are three tips on how to find the one for your business.
• Due Diligence
Many companies fail to do enough research on the supplier and then end up surprised when they do not deliver. Based on your decision solely on a few internet searches may get you somewhere, but online feedback is not a solid basis for reliability or excellence. Choose a Chinese wholesale supplier that has at least a decade of history and experience in the trading industry. They also should be affiliated with a host of business institutions such as the American Chamber of Commerce in China or the China-Britain Business Council. Go through their website and social media accounts, and read up on reviews from past clients. Lastly, verify their license and registration. The Administration for Industry and Commerce or AIC is a local government agency whose records can be accessed in the internet for identification and verification.
• Personal Visit (When possible)
Going to China may seem like exactly the hassle that you were trying to avoid by researching and sealing deals online, but paying a prospective supplier a visit certainly has its advantages. Inspect their factories and meet the managers and employees to see if they are capable and reliable enough to be your supplier.
• Labor, Materials and Facilities
Ideally, you want your wholesale supplier to offer these four things: skilled and affordable labor, high-quality raw materials, top of the line equipment, and well-maintained facilities. While these factors are signs of a dependable supplier, you should also look beyond them. Make sure that the supplier can guarantee transparency. They are overseas, which is why they should take extra measures for you to trust them. The best wholesale suppliers in China always provide regular reports and allow third-party inspectors to improve processes and spot defects and irregularities.