How do I find a good sourcing agent?
Here’s what makes a good sourcing agent:
- Business License.
- Experience & Specialization.
- Testimonials. The more experience a sourcing specialist has, the more companies they will have served.
- Location & Flexibility.
- Supplier Network.
- The sourcing agent is paid by the factory.
What is a product sourcing agent?
A product sourcing agent supports eCommerce companies in procuring raw materials or ready-to-sell products at a competitive price. They play a crucial part in ensuring that a company’s profit margin remains strong.
How much are sourcing agents?
Sourcing agents often work on a commission basis. It’s not possible to give an exact percentage figure here because it depends on the order quantity, order frequency and order value. Usually the commission percentage is between 2 and 10 percent, often around 6%.
How do you pay a sourcing agent?
The most common forms of compensation a sourcing agent will receive are the following: Flat rate commission: This rate is usually advertised and ranges between 1% – 10% of the factory price. They collect this fee when it is time to pay the supplier, and tack it onto their clients invoice.
How are sourcing agents paid in China?
As there is no standard, you may have to pay anywhere between 5%-10% of the order cost as sourcing fees. However, the percentage will depend on the size of the order and also the type of product. If your order is bigger, some sourcing agencies may work on as low as 3% commission.
Should I get a sourcing agent?
There are multiple reasons for getting a product sourcing agent, but the major one is that you increase your chances of locating high-quality goods efficiently and quickly. Buying agents can find high-quality suppliers in your place, and much more effectively than you would do.
What is a China sourcing agent?
A sourcing agent’s typical role is to help a client company find suppliers and products that it needs. The sourcing agent brings value to the client company through its networks of manufacturers and contacts across China.
How can I get an Alibaba agent?
First, the agent must be part of a trading company listed on Alibaba (so these are not individual freelancers — these are middlemen). Second, the company must have been a “gold supplier” for at least 3 years. In other words, they must have been paying for Alibaba’s services for at least 3 years.
How much does a China sourcing agent cost?
How much do sourcing agents charge in China?
Commission – Apart from the flat fee model, a China sourcing agent might charge a commission on the total dollar value of the purchase order. Commissions in the 5% to 10% range are said to be common in China. However, commissions depend on the type of product you require and your order size.
How do sourcing companies work?
A Sourcing Company or a sourcing agent helps a company find sources for products and supplies at a low cost and/or of a certain quality or attributes. Some may represent a few select factories or serve multiple companies. At Cosmo, we have no exclusive contracts and search for the best factories for a company.
What is a sourcing agency?
These sourcing agencies usually have a large supplier network and the human resources to provide you with a sourcing agent that’s experienced with your type of product. However, in comparison to independently operating sourcing agents, these companies are usually a little more expensive.
Do UK sourcing agencies have Asian subsidiaries?
Besides, sourcing agencies headquartered in the UK always have subsidiaries or other forms of representation in Asia. Tiger Global is sourcing and manufacturing agency founded in 2008, primarily focused on fabrics, garments, molded plastic products, and other consumer goods.
What are the best countries for sourcing?
One of the most popular countries for sourcing is China, because most products can be manufactured very cheaply there. China is the world’s largest producer of factory goods and a world leader for many product types. If you want to have a customized product, there is a good chance finding a suitable manufacturer in China for it.
How can our product sourcing services help you scale your business?
Let us help you scale your business with our product sourcing services. From concept to door we can make the whole process much easier than you may have thought. From the initial enquiry to the end delivery we deal with all in a way no one else does in our industry. FACT! We source your product. We provide a price. We arrange shipping.