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Business with China |
A competitive product is a product that has a low price and acceptable quality. For this reason, it is profitable to organize a business with China, where mass production allows us to offer goods of decent quality at an attractive price. China has become a key supplier of all kinds of goods to the whole world. You can arrange supplies and start earning real money right away. Payback of a business idea is less than 1 month, profitability is from 50%. The main thing is to know where and what to buy, as well as how to sell the product. This article contains the most relevant information on how to start a business with China. All relevant aspects of the question, as well as a short business plan. Business with China and the law of the Russian FederationWhen it comes to serious business, then everything needs to start legally. Speaking about trade with China, we need to touch upon the issue of customs duties. If you order goods for less than 1000 euros per month and not more than 31 kg, then this amount is not subject to duty. If the cost or weight is exceeded, 30% of the amount exceeding 1000 euros or 4 euros for 1 kg of excess must be paid. For example, for the purchase of a batch for 1200 euros, you will need to pay duties for 60 euros.
For official trade, you need all certificates, contracts, originals of price lists and other documentation. When ordering on Chinese sites, you need to understand that you are operating as an individual, therefore, all licenses and certificates must be requested in personal communication with the seller. To legalize a company, you need to register as an individual entrepreneur and with the tax authorities. Where is it profitable to get the goods?Choosing a supplier is an important step The first step in building a work plan is choosing a supplier. If you do not know where to start a business with China, it is best to use proven schemes. Main purchasing sites: Each site has its own characteristics and target audience of buyers, depending on the scale of purchases. AliexpressThe most famous site for goods from China - Aliexpress.com works in alliance with the mega-market www.alibaba.com. It contains a huge number of offers from different sellers. Recently, the prices on this site are not the most favorable and for bulk purchases you need to look for other options. The advantages of this site are the ability to buy directly from Russia, pay using MasterCard, Webmoney and other payment systems, and there is also free delivery. TaobaoA profitable website for retail shopping in Chinese www.taobao.com, in order to understand the text, you need to go from the Google Chrome browser and translate the page. To search for products, enter a pre-translated text through a Google translator. But this site does not have wholesale prices, which is not interesting for wholesalers. Site 1688For wholesalers who want to purchase 10 or more pieces of goods, you need to go to the Chinese website www.1688.com. You also need to work with it through a Google translator. There are 2 or 3 prices for each product - for small and large wholesale. The larger the quantity, the more favorable the prices indicated in dollars. At the current exchange rate, even $ 5 will play a role. The 1688 and Taobao sites sell exclusively to the Chinese, so you need to find a middleman. Intermediaries for purchases from ChinaThere are many intermediaries and options for paying for their services, it is important to find a reliable one. This is a key aspect of success for anyone wondering how to do business with China. What you should pay attention to:
Check this information with the intermediary, because it may happen that he does not charge for delivery, and his percentage of the product is too high. Cooperation scheme with intermediaries:
Chinese Goods Trade SchemesDropshipping is one of the most successful schemes There are many schemes on how to build a business with China:
The second scheme of work is an option of how to start a business with China from scratch without investment. Your task is to find a product on a Chinese site, a buyer and a reseller. Again, a lot depends on the good faith of the intermediary. Dropshipping can also be done through Aliexpress.com as they have shipping and work with Russian buyers. What dropshipping means and how it works:
You don't need to have a warehouse or a physical office. The minimum order amount depends on the reseller, some work with any amount. The percentage depends on the amount of the order or their quantity (regular customer), usually from 7-10%. Delivery time from 10 to 25 days, depending on the method - AVIA, railway. How much does it cost to create a selling website?The best option for "Chinese" business is to create a website - this is the only significant investment in terms of money. Many people work according to the following schemes:
Some aspiring businessmen have gone up in sales from one-page sites or the Landing page. This is a targeted sales page for dropshipping or other options. The cost of creating such a page depends on the artist:
Such a scheme is minimal in terms of investment and maximum in terms of return. Marketing strategySuccessful promotion strategy:
For greater profit, it is advisable to create several one-page sites in different product groups. The main thing is to correctly approach the preparation of contextual advertising, otherwise the money will be wasted. TOP-assortment of goodsIn order for a business with China to quickly begin to bring the first profit, you need to know exactly what to order. There are products of the "star" of sales, while others are taken for the range and respectability of the online store. You need to select products that have a good purchase price and are popular. Top list of such products:
China has a huge offer of interesting trinkets that sell well: glowing bracelets and laces, USB bulbs and fans, a player in the form of a wristwatch. You can make a real shop of unusual souvenirs or take such souvenirs as an additional product that adds visits and ratings to the site, and specialize in clothes and bags. Pros and cons of businessConsider the pros and cons of this entrepreneurial venture.
Business plan for the sale of goods from China through dropshippingWe will describe the simplest project that does not require global financial investments, where the markup for the product will be 100% of the purchase.
Monthly calculations in $ (currency of prices on Chinese sites):
From the calculations that represent approximate figures for the start, it can be seen that the payback of a business is 1/3 of a month - it almost instantly pays off. In fact, by working with prepaid clients, you do not bear the risk of losses for unsold goods. Why is it profitable to work through intermediaries? They have established schemes for working with China, contracts with carriers and experience, which ultimately will affect the absence of ridiculous mistakes. It must be remembered that there is a high likelihood of hitting the swindlers. How to recognize them:
You should not buy at low prices, as the money can simply burn out. Business in China is structured so that suppliers can offer the same-looking product, but with different quality. The required personnel for a business at the stage of formation implies the entrepreneur himself, and in the future, during development, you can connect assistants. |
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