Sanj, for FCL commodity type imports yes perhaps, particularly if you instruct supplier Ocean bill of lading only (not consigned to forwarder) but for what is likely to be LCL to start (tapware) with ex China, FOB all the way. Also beware China supplier who only offer EXW, they don't have an export license which will mean your forwarder will need to buy the export customs documents from a trading company.
Importing
- Thread starter Brian84
- Start date
I originally set my pricing for a $US figure of 85c. The last couple of years I have been making "extra" profit. This has given me the ability to grow the business by ploughing that profit back into more stock. The last container I bought I got 84c, so I am not stressing yet. I will not put my prices up until the US dollar goes down below 75c. Can you reduce costs in other areas to keep your net profit the same?
Talking to one of my clients last week, large Furniture Importer, he has 8-12 months stock @ 0.93 so no need to move on price yet. You'll find quite a lot of businesses in this position. Larger players tend to have an advantage in a falling dollar situation as they are more likely to hedge, have significant amounts in their USD account and hold more stock.
A little here and there perhaps. Nothing significant though. Long term im not too worried, after all it goes down for us it goes down for everyone else too. Just need to start seeing prices trend up a bit more.
Yep, I place the order & they do all the work.
Um.....never heard of this. Is this your tax agent or your freight forwarder?
OMG!!! I need to talk to your forwarder. I'm being charged around $5k for half a container. Anybody got any good forwarders in Sydney that charge fee's like Moyjos' agent?
Yup agreed
That is what I thought with the last couple of orders I brought in. Of course part of that was the GST component too, but still very high. I have had quotes from other companies, but they were more than what I'm paying.
Skater, ask your customs broker to run you through GST Deferral, would need to be doing BAS though monthly rather than quarterly. We have all clients who are eligible enrolled, for clients with duty free product, does away with the need for disbursement invoices, cuts down admin and helps cash flow as you can imagine. There is also a direct debit scheme with Customs for duty payments but that's a separate matter.
On your last point, i'd suggest that a significant component of that cost is duty and GST no? Happy to have a quick look at an invoice for you.
I'm guessing GST/Duty inclusive, obviously value dependent.
To your point, ex China currently, on the retail side break point LCL vs. 20' is approx. 12cbm. Other trades are different, ie. USA much higher.
I have been twice. AMAZING very exhausting and overwhelming. I would like to go again, but it really is not productive from a business point of view. I get much more done by trawling alibaba and sending emails.
Ah, I do BAS quarterly. Monthly would do my head in. Yes, you could be right about the GST component. All I know is I get the invoice & pay it. Then send to the accountant.
I get stuff from China, but my biggest & most frequent ones come out of the USA.
Many beginners go to the Canton fair and come back with entirely different product than they set out to buy, then come home with a container full of stuff they have trouble moving 
I would say that the job of the general importer is not easy, without a edge you will struggle.
I would say that the job of the general importer is not easy, without a edge you will struggle.
I'm hoping to go this year. Not really sure if that is the best place for what I'm looking for & my China supplier isn't going, so can't get an invitation from them.
I trawl alibaba, but really don't much joy from it. There's a heap of sellers selling the same product, you try to order it & they don't have it, then try to give you something else.
I would agree.
The bigger pay off comes if you specialise and build a reputation in that market, in my opinion.
Then if you have a point of difference with your products/branding you don't always have to compete on price against the masses.
It's too easy for fly by nighters to come in and destroy markets by selling too cheap, but they don't last long.
Now the dollar's dropping, they will all disappear again.
Yes what ace says.
If your selling low margin products..the ccurrency fluctuations will hurt you. Rising costs in aus will hurt your. I used to sell a ton of stuff on eBay but found Ppeople are happy to under cut you to make 20 cents profit.
if your selling a lot of products sort your inventory system
as it will get quite tedious indindividually doing up letters and parcels.
BuT if you find the right thing and do it the properly you might hit it big.
I believe I line has become more about convienience not about being ccheaer
Hence the trip to China. I want to locate a source for my products that I can have branded with my own name, and not have to compete with some idiot who doesn't know/care what the product is worth & discounts it to stupid levels.
What do you find generates the most business for you? We used to have good rankings organically but went to **** a couple of years ago. Ebay has been very average for us and gumtree i find we get a lot of time wasters and bargain hunters. Adwords seems to work well but spending a lot on it. Over 10k some months.
