Importing/exporting commission rates

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Hello All,

I am new to the site, I came across it today for the first time and it looks like an unreal source of information is available here.

Firstly apologies if my question has been answered before, I have spent hours looking for answers and can't seem to find one.

I am in the process of setting up my own business, acting as a import/export agent. I spent the last year living in China and built up a good network of contacts during my time there. I have identified a gap in the market to export certain British goods to China, and believe I can broker these deals.

One of the points I can't seem to get my head round is the commission payable when brokering deals. I believe the commission is paid by the manufacturer? What I dont understand is that if they know they will be paying a commission rate of say 10% for the transaction, then surely the first order they place will be tiny, in which case the commission payable will be minimal.

Maybe I am completely wrong, I have read elsewhere that an agreement goes in place where by the commission is paid every time goods are exchanged between the two parties in future.

I apologise for both my lack of knowledge and ignorance.

I only began learning about trading this week, hopefully someone can really help me along with this.

Adam
#commission #exporting #importing #importing or exporting #rates #trading
  • Profile picture of the author Importexport
    @ Adam,

    The general subject you are interested in has been dealt with in the thread Importers should consider countries other than China

    You won't find all the answers there, but I think it would be a good starting point for you.

    If after reading through that thread you have more questions, just post them there and I will do my best to answer them for you.

    Walter
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    Use emotions and perceptions to build a great brand. Ask me about my book LabelsThatExploit. For safe sourcing and easy importing from 41 countries globally, see https://provenglobalsourcing.com
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  • Profile picture of the author big tymer
    you are exporting goods from Britain to china?
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