Posted on / by Seline Chan / in Blog

Tips on Dealing With China Sourcing Agents

As the US businesses are going in for the manufacturing of their product in China, they have to depend on the China sourcing agents. Because of the increase in the number of US and UK businesses being outsourced to China, these agents have become a rage of late. Hence, many people are trying to act as sourcing agencies in order to cash in on the prevailing situation. The experienced businessmen of US and UK might know the highs and lows of China sourcing agents. Some of them who are naïve might enter into the dealing with these agents without knowing the structure as well as position of the market. For those who are a beginner, the following factors need to be taken into account while hiring these agents:

  1. When you go for these sourcing agents, they help you in doing the background check on the supplier, getting the quotations, etc. They also help in performing many time-consuming work for you. So, if you manage them in the right way, you can get so many tasks done by them at much cheaper costs.
  2. Though they can perform many tasks for you, you still need to inspect on their actions. This can be done by preparing guidelines for them to follow which includes video tutorials, checklists, completion requirements, etc.
  3. It is wise to hire the China souring agents on an hourly basis rather than on project basis. A normal sourcing agent charges somewhat around $7 per hour whereas an expert charges $ 20 to $ 40 per hour. However, it is ideal to pay them between $12 and $15 per hour.
  4. As the US businesses are going in for the manufacturing of their product in China, they have to Some of the sourcing agents are not only lazy but also disorganized and may not source the suppliers properly. So, timely inspections are essential.
  5. Though some of the sourcing agents might look hardworking and honest, but they will charge 5 to 10% commission from the factory without your knowledge.

Now, you know about the China sourcing agents. Be astute in dealing with them else you will be faced with lots of problems. Do proper research before engaging one and you might also take the advice from your friend in the same field or check the references or feedback on them.