Business with China wholesale trade. Business with China - how to organize and how to conduct it correctly

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10-15 years ago Chinese goods were not of high quality - they were the cheapest disposable consumer goods. Today the situation has changed radically - modern products from China are no different in quality from well-known European and American brands, despite the fact that their prices are 2-3 times cheaper. This is why the business of selling goods from China is profitable and promising: you will sell high-quality items at a competitive price and will be able to quickly occupy local markets.

How to work

There are several schemes by which you can conduct business:

  1. Dropshipping. This method allows you to start earning money without investment, so it is ideal for beginner businessmen. The principle of dropshipping is simple - you find people who need a product, get money for it and place an order from the manufacturer. The manufacturer sends the product to the client, and you receive your commission. Its size may vary - on expensive goods it is usually 25-35%, on cheap ones - 200-500%. The only drawback of such a business is that the client needs to wait a couple of weeks for the goods to arrive by mail.
  2. Joint purchasing. This business is well developed in thematic groups or communities. The main idea of ​​this scheme is to reduce the price of wholesale purchases. A simple example: a manufacturer sells sneakers for $30 a pair, while retailers sell them in stores for $60. The manufacturer does not deal with single orders—its minimum selling quantity is 10 pairs. Your task is to gather 10 people, receiving a certain percentage from them for their activities (usually 20%). Additionally, your group will save on delivery - its cost will be divided into 10 parts.
  3. Wholesale trade. The trading principle is similar to classic dropshipping, but with one amendment - goods are sold in bulk. Many stores will be happy to purchase goods at a low price with a short delay - you just need to organize the work scheme correctly.
  4. Creating your own online store or platform. To do this, you either need to understand information technology or hire someone to build a website for you. It will generate constant income if you offer low prices to customers, quality service And good assortment. You can work according to this scheme either in the classical way (by purchasing goods and selling them from a warehouse), or using the dropshipping method, warning people that delivery will take some time.

Business with China will bring you good profits with the right approach

Earnings without investment

How to properly organize a resale business with China without investments, so as not to go broke and achieve a more or less stable income? It's simple - work according to the first scheme (dropshipping). Select a specific type of product that you are going to sell, find thematic groups on social networks and forums to study the need for it, find a good supplier, explain to him that you want to work on the principle of dropshipping, and start earning money.

Note: Parcels worth up to 1000 euros are not taxed and do not require customs clearance, so you can safely work with most types of goods. If your parcel costs more than 1,000 euros, you can always ask the supplier to lower the price for hassle-free customs clearance.

Another good option for selling is creating a one-page website. This site will have a sales page with a description of the product and reviews about it - you can create it yourself using a template. Such sites sell goods well and require minimal investment.

It is common knowledge that China has emerged as a global trading superpower. Its leadership is largely ensured by cheap products coming from the Middle Kingdom to all corners of our planet. If you join the most powerful Chinese commodity distribution network, you can make good money on this. It is recommended to start such activities only when a high-quality business plan for selling goods from China has been drawn up. Such a document will help not only to calculate all the steps in organizing a business, but also to become familiar with the nuances, of which there are quite a lot in this field of activity.

General concept of the project

The business plan under consideration for the sale of goods from China with payments involves the creation of a trading enterprise that will sell goods according to the “bought in China - sold in Russia” scheme, without affecting the issues of organizing its own production in this country. As is known, production in it is of an exclusively mass nature. The production of batches of a wide variety of goods amounts to hundreds of thousands and millions of products. This partly explains their cheapness, and therefore the profitability of retail outlets selling Chinese products.

The idea of ​​organizing trade in Chinese goods is based on several obvious conclusions.

The first of them is that around us in everyday life there is a huge amount of Chinese products. Perhaps only food products from China do not yet dominate our refrigerators.

The second conclusion, convincingly confirmed by statistics, is that although many people can already independently order goods on Chinese trading platforms, nevertheless, the number of those who prefer to buy the necessary goods directly in Russia and not wait a month for its delivery is not decreasing.

The third belief is to understand the indisputable fact that China is the most virtuoso “master of counterfeits” in the world. Moreover, many well-known brands themselves do this, selling the rights to manufacture certain types of products to Chinese manufacturers. Considering that the quality of production in China is constantly growing, consumers receive quite decent goods from world brands at incomparably lower prices than they could buy them, for example, in Europe.

The business idea of ​​organizing trade in Chinese products is also attractive because you can start implementing it almost alone at very little cost. After promotion, investments in this business will certainly increase, but profits will also increase.

Another nuance of organizing trade with China is that you should not immediately create a “department store” in which you will sell everything, presenting various product groups. You should start with a specific type of product; it is best to determine this based on the demand for goods in your region. This could be clothing, shoes, children's products, tools, spare parts for cars, electronics, etc.

The example of a business plan offered to your attention is designed for such a popular line of business as the sale of spare parts for Chinese cars.

Market analysis

According to specialists from the authoritative media holding Expert, in the coming years Russia will face a “new Chinese automobile invasion.” At the moment, the share of Chinese cars on our roads is relatively small, their number does not exceed 3.9%. But at the same time, we cannot close our eyes to the fact that just 2 years ago this figure did not exceed 1.8%. Taking advantage of the favorable geopolitical and economic situation for themselves, Chinese automakers have become significantly more active and are beginning an offensive on the domestic auto market in all directions at once, including organization and expansion own production facilities on the territory of the Russian Federation. These aspirations are clearly demonstrated by the list of Chinese automakers present on our market. But that’s not all, the list of players from the Middle Kingdom is constantly growing. For comparison, now on the Russian car market there are: German brands – 6, Korean – 3, Chinese – 11 (!). The leading among them are 4 companies: Chery, Lifan, Geely and Great Wall.

The presence of Chinese auto giants is manifested not only in the fact that more and more of their factories are opening in our country, but also in the fact that the dealer and service infrastructure is gradually beginning to expand. Many Chinese automakers are already immediately entering the market with a ready-made package of solutions for the supply of cars and their service.

Of course, what attracts Russians to Chinese cars is primarily the price, although as the quality of production improves, it gradually increases. Demand is constrained by the lack of special prestige of the models and the lack of experience in their long-term operation. In addition, to this day, Chinese models are characterized by very low liquidity in the secondary car market. Considering that the production costs of Chinese cars are low, no problems are stopping Chinese automakers from seeking to expand their presence in the domestic market. Evidence of this is the tendency to strive to solve one of the oldest problems - providing owners of Chinese cars with spare parts. Until recently, this issue was one of the most “hot” in the attitude of Russians to the Chinese automobile industry as a whole. But it is already obvious that many companies are concerned not only with the quality of the cars they produce, but also with the creation of a service network in Russia and the supply of spare parts.

That is why organizing trade in spare parts from China is, in this particular situation, a very attractive option from the point of view of choosing commercial products.

Description of the object

A trading facility for the sale of spare parts for Chinese cars and other related products is designed to solve the following socio-economic problems:

  • Satisfying consumer demand for spare parts for Chinese cars.
  • Making a profit by creating a highly profitable enterprise.
  • Creation of new jobs.
  • Replenishment of the local budget by deducting taxes from enterprise profits.

Main stages of the project:

Stage/month, decade 1 2
1 Dec 2 Dec 3 Dec 1 Dec 2 Dec 3 Dec
Independent activity of the founder, formation of a database of spare parts suppliers + +
Registration of an enterprise, registration of permits + +
Purchasing a car +
Signing a lease agreement for retail space + + +
Purchase of trade and technological equipment + + + + +
Coordination with Gospezhnadzor and SES + +
Installation of trade and technological equipment + + + + +
Recruitment + + + + +
Concluding agreements with spare parts suppliers + + + + +
Starting a trading company +

The premises for the Chinese spare parts store are selected in the business part of the city. It is advisable that it be located near large car markets, service stations and dealership centers. Considering the prospect of expanding the assortment of Chinese goods, the store should be located in places with the highest traffic volume during the working hours of the retail facility.

This business plan assumes the use of rented premises with an area of ​​at least 200 square meters. meters. This will allow you to place all the necessary warehouses, shopping room, staff rooms.

To equip the store, standard commercial and technological equipment is purchased, the cost of which is indicated in the summary table.

Organizational and legal form

The best option for creating a store selling spare parts for Chinese cars is to register the founder as an individual entrepreneur. On initial stage implementation of a business idea, this will significantly simplify the registration of a retail facility, will not require significant bureaucratic red tape and will make it possible to apply a preferential tax regime: UTII. According to it, the declaration is submitted to the tax authorities once a quarter, UST and 3-NDFL are paid, which does not require creating your own accounting department and allows you to outsource accounting.

Recruitment

To ensure the normal functioning of the facility and meet the profitability targets set in the business plan, it is necessary to have the following staff:

Job title Number of full-time employees Salary amount (thousand rubles in mc) Total personnel costs (thousand rubles in mc)
Store director (at the initial stage of project implementation, duties are performed by the founder) 1 25 25
Commodity expert 1 14 14
Art. salesman 2 22 44
Store sellers 2 17 34
Total 117

The following working hours are established for the company's employees:

  • Commodity manager – 5-day work week from 10:00 to 19:00.
  • Sellers - 12-hour shifts (2 people per shift work two days every other day).

The store's opening hours are from 09:00 to 21:00.

In order to increase employee motivation, it is planned to introduce a bonus system based on the payment of bonuses in the amount of 10% of above-predicted revenue.

Product range

As mentioned above, important factor success in this business is a clear definition of the range of products that the store will sell. To do this, even at the stage of developing a business plan, the founder needs to study the needs of the local market for auto parts for Chinese cars. Our document uses statistics on the average distribution of models of Chinese automakers among Russian motorists.

For this purpose the following is also carried out:

  • Collection of information on the availability of dealership centers and the level of car sales for specific brands and models.
  • Collecting sales information from car dealerships.
  • Analysis of statistics of private advertisements for sales of Chinese-made cars.
  • Analysis of advertisements in the media and the Internet about the need for spare parts.
  • Research statistics most frequent breakdowns according to models from Chinese automakers.

Our business plan for selling goods from China with calculations is based on the fact that the range of spare parts sold should be focused on owners of such car brands as:

  • Great Wall.
  • Chery.
  • Geely.
  • LIFAN.

The most important condition for the smooth operation of the store is the selection of reliable suppliers of spare parts. It is assumed that these will be those that have proven themselves in Russian market wholesale companies:

  • ADK (GlavAvtoSnab company).
  • Group of companies KITPARTS.
  • Vin Motors Company.

These suppliers have a wide range of spare parts for various models Chinese cars, they are quickly delivered at reasonable prices. You can place an order with them online.

Marketing and advertising

In order to promote the store's products and increase sales volumes, it is planned to carry out ongoing activities aimed at improving the company's reputation and attracting new customers.

The following methods will be used for this:

  • Publishing flyers and banners.
  • Advertising on elements of urban infrastructure and cars.
  • Announcements on local radio and television.
  • Dissemination of information about the store in car dealerships and service stations.
  • Development of your own website and work through social networks.

The store premises are equipped with a bright sign with lighting elements.

Financial plan

Capital cost estimate for opening a store:

Capital expenditure items Amount of expenses (in rub.)
Purchase of trade and technological equipment (display displays, racks, cash registers, etc.) 350 000
Purchase of spare parts and formation of inventory 3 000 000
Payment of expenses for repairs to the premises 300 000
Total 3 650 000

Thus, over 84% of capital costs are the cost of purchasing spare parts for Chinese cars. Financing of purchases is carried out by obtaining a commercial loan in the amount of 3 million rubles for 24 billing periods at 17.5% per annum. Interest payments and repayment of borrowed funds begin from the 1st month of project implementation.

The calculation of the cost of production and the projected volume of revenue was made based on the average statistical value of the trade margin for these retail facilities of 40-50%. In some cases, the size of the trade markup may increase to 70%.

The calculation is based on the terms of renting a premises with an area of ​​250 sq. meters.

Total project costs for 1 month of store operation will be (in rubles):

Analysis of expenses and projected revenue volume of an enterprise allows you to calculate its profit and profitability:

Thus, with the amount of capital investment in the project being 3,650,000 million rubles, the trading enterprise will recoup the investment in 28.5 months. At the same time, the store will receive a monthly profit of 128,000 rubles.

Conclusion

The creation of an object for trading goods from China at this time and in the foreseeable future will be a profitable business for a number of factors. It is associated with medium-level risks and is easily diversified. At competent organizations interaction with suppliers, the company has good prospects for expanding its range, increasing the volume of goods sold, and creating its own regional trading network.

For Chinese entrepreneurs, 2017 was a year of lower prices for imported raw materials, reduced economic pressure from the United States and, as a result, an increase in foreign trade. Exports to Russia alone increased by 22%, and overall growth was almost 26% compared to the previous year. Experts say that 2018 will be just as favorable for China, and therefore Russian entrepreneurs can expect new interesting products, convenient logistics schemes, good discounts and raising the quality standards of Chinese products.

Pros and cons of purchasing in China

The main part of export transactions between Chinese and Russian businesses is the supply of equipment (about 60%) and small wholesale trade in clothing and footwear, plastic products, furniture, leather goods, jewelry and toys (about 30%). Of course, similar goods can be found in Russia, but often their cost is so high that the reseller is not able to make a markup that will cover all pre-sale costs and also provide an opportunity to earn money.

The average small wholesale markup for the Russian manufactured goods group is about 30%, for the Chinese group - 200%.

It is obvious that any businessman who knows how to count money will invest in a scheme with Chinese supplies. But it is not only the possibility of colossal markups that makes the Chinese export offer attractive.

Important advantages of implementing business ideas from China are:

  • a huge selection of current and innovative products (as many new products as in China are not produced in any country in the world);
  • the ability to bargain with Chinese sellers until a very significant reduction in the original cost;
  • convenient, fast and cheap logistics(already today there are dozens of consolidation warehouses operating in Russia, and their number will only increase).

The weakest point of Russian-Chinese commercial schemes is the difficulty of translation. There are often situations when the parties seem to have agreed on the same terms of a transaction, but in fact the Chinese partner begins to fulfill its obligations with a significant deviation from the agreements. And only when the circumstances are clarified, it is discovered that the Chinese kept silent about something or joked about something, but the Russians did not clarify it in a timely manner.

In order to avoid these problems in the first stages of organizing trade with Chinese suppliers, it is recommended to hire a reliable consulting agent for the first three to five transactions. He will teach you how to properly negotiate with the Chinese side and correctly consolidate agreements on paper. The cost of such an agent’s services is about 10% of the transaction.

Business with China and laws

Any commercial activity between Russian and Chinese entrepreneurs must be regulated by an appropriate agreement drawn up in writing. Of course, if you order 100 pieces on Aliexpress wristwatch, pay for the goods through the payment system of the online resource and wait for the watch to arrive at your warehouse; no additional written agreements need to be concluded.

But if you directly contact a supplier or manufacturer, transfer money yourself through a bank and organize delivery, then you cannot do without a written two-sided document, sealed by both parties.

Do I need to pay customs duty for the import of goods purchased from Chinese online stores?

Customs duty in mandatory paid on supplies cost from 1 thousand euros or more or weighing 31 kg or more. Billing period- calendar month. These standards are established only for postal items to the address of individuals.

Accordingly, if an individual receives parcels from China in his name per month in the amount of up to 1 thousand euros and up to 31 kg, he is exempt from paying import duties and taxes.

If cargo is transported across the border entity or individual entrepreneur, completely different customs rules apply to such an operation.

Legal entities (including small enterprises and individual entrepreneurs), when importing goods into the customs territory of the Russian Federation, are required to pay duty, VAT, excise tax, and also pay for customs clearance services.

The total cost of legalizing a consignment of goods from China is 45.15% of the declared contract price of the product.

After a product is legalized, it can be sold on the territory of Russia, paying taxes according to the tax system under which the entrepreneur operates.

If you are just starting to work with China, you should not immediately get involved in commercial supplies. Work for several months as a private individual, evaluate the prospects of the direction in which you are working, and only then enter into commercial contracts. Moreover, newcomers to the Chinese market are not recommended to immediately invest more than 500 euros into the business.

Ways to bypass paying fees

As shown practical experience, attempts to save on customs duties can be very expensive and put an end to your entire entrepreneurial career. Therefore, if you decide to sell a current product and mark up 150 - 200% of the cost, do not save 45% on paying all the necessary duties. You risk being left without goods, without money and with a damaged business reputation.

But if you have an adventurous spirit, you like to fool the system, and you don’t want to share your earnings with anyone, then you can try to bypass paying duties in the following ways:

  • negotiate with the supplier to understate the contract value of the goods in invoices (there is a risk of not receiving the goods, and claims for the return of the advance payment can only be made within the limits of the invoice, which you deliberately underestimated);
  • involve several partners in the business, in whose name you can receive parcels without exceeding the monetary and weight limits (1 thousand euros / 31 kg).

If you don’t want to deal with duties, customs clearance and delivery at all, then the best option- hire an intermediary who will look for you good product in China and will deliver it. Intermediaries publish a complete list of services and their prices on their websites. On average, cooperation costs 10% of the cost of the batch.

How to start trading with Chinese suppliers

The main thing you need to get started is a great desire! A person who wants to do something looks for everything possible ways realizing your intention. He tries, makes mistakes, tries again and achieves his goals.

Who can do business with China

If we analyze the success stories of Russian entrepreneurs who have built a legal and profitable business with China, then most of them initially had a merchant instinct and an economic education.

Yes, they had already traded goods of Russian, European, American origin and knew how to build relationships with suppliers. They, with their skills, simply entered another market with a cheaper product and the possibility of a higher margin.

Therefore, if you are currently involved in trade, working with Chinese suppliers will not be strange to you.

Those who understand the latest products in the electronics market, spare parts, car accessories, and gadgets can make good money various types and modifications.

Those entrepreneurs who can predict fashion trends for future seasons also have a chance of success.

At the stages of introducing new products to the market and during their promotion, manufacturers offer buyers the most comfortable conditions cooperation (low prices, free shipping, free trial samples, etc.).

Experts note the cyclical nature of the Chinese goods market. The cycle is approximately 3 years. There is a high probability that this year some product items that were actively selling out three years ago will be popular (with the exception of gadgets).

Business with China in 10 steps

If you don’t know where to start trading Chinese goods, you can use the ten simple steps method. Here's a simple step-by-step plan:

  1. Find capital of 1 thousand euros (it’s better to own your own; it’s difficult to raise money with borrowed money).
  2. Select the five highest-rated products (ratings can be tracked using the functionality of the Aliexpress website).
  3. Find the suppliers most loyal to wholesale buyers.
  4. Depending on the conditions offered by suppliers, choose the most profitable business model for the operation.
  5. Order trial copies of product items.
  6. Determine the target audience who will be interested in this particular product.
  7. Build a post-sales communication strategy with your target audience.
  8. Calculate your markup percentage.
  9. Place the first order with the supplier (the price of the first purchase should not exceed 50% of the initial starting capital, and better - 30%).
  10. While the order is in progress, begin collecting applications for implementation according to the chosen scheme.

These steps must first be worked out on paper, adding details as they are implemented. This diagram should always be before your eyes, and then you will be able to restore the logic of your actions at any time if you feel that some processes have begun to get out of control. To correct the situation, it will be enough to return to the point where the mistake was made and work through it again.

Business visit to China

A business visit to China for one person costs approximately 1.5 thousand US dollars for 3 days (including visa and air travel in both directions). This amount does not include the services of a translator and business consultant, without which it is initially difficult for a Russian entrepreneur to manage. If you are bringing specialists from Russia with you, multiply the cost of the trip for one person by three. A Chinese translator and consultant will cost several times less, but you need to negotiate with them and sign a contract while still in Russia.

If you plan to come to China and look for help there, then most likely you will simply waste your time and will not be able to solve the business problems that were planned.

Obviously, a business trip to China is an expensive undertaking, especially for a novice entrepreneur, so it is recommended to organize such a visit only after several months of work and only with earned money.

Experts advise setting aside up to 20% of earnings from each operation in a business development fund and using this money for travel, organizing negotiations with Chinese manufacturers and expanding your own business.

Where to go in China:

  • to exhibitions (Shanghai International Spring Exhibition, Beijing Exhibition, Shenzhen Exhibition, etc.);
  • to fairs (Canton Fair, etc.);
  • to manufacturers interested in direct cooperation;
  • for themed sales.

It is quite difficult to track these events on your own, so, again, at first you will have to use the services of consultants.

It is believed that the most valuable advice that the pros can give to beginners is: don’t be afraid to start! But this advice doesn’t work well if you don’t really know where to start. So we've put together a few business recommendations about what you need to do to feel confident in the market from the very first steps:

  • order marketing research on the group of goods that you want to trade (the opinion of a third-party specialist will expand the scope of your ideas about the business you plan to engage in);
  • undergo motivational training specifically on Chinese business topics;
  • find a like-minded person on online platforms (forums, social networks, offline);
  • approach each of your transactions as if it were your whole life’s work (carefully study your suppliers, demand everything from them Required documents for the product, specify delivery dates in detail, study the calendar of Chinese holidays, etc.);
  • always be prepared for the fact that your partners may turn out to be unscrupulous (you shouldn’t fall into total distrust and paranoia, but you should always agree in advance on the conditions for exiting a failed deal);
  • form a reserve fund (at least 10% of profitable operations);
  • From the first purchase, keep your own extended statistics (the more accounting items you track and analyze, the more thoughtful your every entry into the market will be).

Classic beginner mistakes

Let's name three main mistakes that prevent beginners from starting a business with China on their own:

  1. Lack of a business plan. It's not just about financial indicators, but also that any business endeavor must have a goal. Best target for a startup - increasing trade turnover, registering your own company and expanding the scope of activity.
  2. Lack of specific deadlines (if you are looking for start-up capital, then a specific deadline must be set - no more than six months, and preferably three months).
  3. Reluctance to learn new things. The business technology market produces updated formulas every six months successful sales, if you do not study and use this information, you will not be able to compete adequately in your niche.

Unfortunately, universities, colleges and academies do not teach the intricacies of organizing business supplies from China. Yes, in academic institutions you can get basic knowledge in economics, logistics, financing, etc., but you need to gain practical experience on your own.

Or you can pay successful practitioners to share their work. Today, several well-known specialists work in the field of teaching trade with China:

  • Dmitry Kovpak;
  • Evgeny Guryev and Vasily Noginov;
  • Alexander Martynov.

All trainers provide online training, publish books, and also provide individual consulting.

The average cost of a book is about 500 rubles, an online course is about 10 thousand rubles, and individual consulting is about 200 US dollars per month.

Before purchasing a course subscription or arranging for consultations, read a book written by a trainer. The material in the book will give you the opportunity to understand how well the author of the course understands his business, whether he explains in detail to his clients the nuances of setting up a business, and whether he is ready to share truly successful schemes.

Determining your resources

Correctly determining your starting positions is perhaps the first important step on the way to building a business strategy. If you overestimate your capabilities, you will quickly find yourself in the minus; if you underestimate, there is a high probability that you will never reach a leadership position.

Is it possible to start a business in China without investment?

Of course, it is possible to organize a business without any investment, but with such a start it will take you a very long time to increase your turnover.

Yes, you can order two watches on Aliexpress for 300 rubles, wait a month for delivery, and then resell them for 1000 rubles. With such a scale, your monthly earnings will be 1.4 thousand rubles. To earn 30 thousand rubles on the same watch, you need to ensure a turnover of twenty times more.

If you want to organize a resale business without investments, you must understand: although you really won’t have to invest money in purchasing (since all purchases are made with the customers’ money), you will still have to promote your site and collect orders with your own money.

Even if, say, you are an Internet marketing guru and you yourself can organize powerful promotion of your project on the Internet, then in any case you will invest your efforts and time in this matter - a resource that you could profitably sell to customers.

Yes, perhaps a few years ago some active businessmen managed to make money out of thin air, but today the market for Chinese goods is very saturated, and in order to make money on it, you will have to give your all.

How to determine your niche in business

If you have a small starting capital, up to 1 thousand US dollars, and absolutely no experience as a reseller, then it is safest to trade goods with a purchase price in the range from 300 to 500 rubles. The advantage of doing this:

  • the opportunity to receive wholesale discounts;
  • in the average price range there is not so much risk of getting a product of very low quality;
  • large sales market.

Stay in this segment until you can invest up to $5 thousand in purchases. With such investments, you can switch to products that cost more High Quality and sell them not only through social networks and one-page sites, but also through shops and retail outlets in your city.

As for choosing an assortment, trade in the product that you understand, that you feel and that you can evaluate as a specialist. You must know and be able to tell a lot of useful and interesting information about what you are trading. If you already have such a product in mind, start with it.

Effective business models for trading Chinese goods

The main tasks of an entrepreneur who wants to do business with goods from China:

  • minimize the risk of purchasing product items that are not in demand on the market;
  • buy a quality product inexpensively;
  • cheaply and quickly deliver it to the end buyer.

The ideal scheme looks like this:

  • a reseller finds a cheap product in China;
  • interests potential customers;
  • sets its own high markup;
  • collects orders;
  • arranges purchases from a Chinese manufacturer;
  • the manufacturer directly ships their purchases to customers;
  • goods arrive to customers required quality and within the agreed time frame.

This scheme has one drawback - it is very difficult to implement. But nevertheless, you can get closer to it. Moreover, today there are a number of business models operating in the market that bring trade in Chinese goods as close as possible to an ideal intermediary scheme.

This model is for entrepreneurs who want to start a business with China from scratch. As part of this project, the maximum you can do is receive wholesale discounts from suppliers for single purchases. Chinese manufacturers offer wholesale discounts from 20% to 50%.

To implement this model, you need to find partners who also want to save on wholesale discounts. It is best to look for co-customers for joint purchases on local forums or in regional social network groups.

You can organize a face-to-face meeting with partners from your city, make sure of their trustworthiness, and thereby minimize the risk of fraud.

There is no need to worry that by organizing a joint delivery to one city, the partners are thereby creating competitors for themselves.

If the product is really worthwhile, you will in any case be able to sell it quickly and at a good price.

Organizing retail dropshipping from China is almost impossible, especially at the initial stage of business development with minimal investment. And that's why.

The dropshipping scheme assumes that the manufacturer himself organizes delivery to customers, and the dropshipper acts only as an intermediary (looks for customers for the manufacturer and provides him with delivery addresses).

The functionality of Chinese purchasing sites (Aliexpress, Alibaba, Taobao, etc.) does not allow any delivery other than to the buyer’s address.

But if you still find the idea of ​​dropshipping the most attractive for yourself, you can purchase a ready-made online store operating under a Chinese franchise trading platforms.

Such franchises are sold today by the same Aliexpress, Taobao, Alibaba. The essence of the franchise is that a Russian entrepreneur buys a ready-made showcase site on which goods from Chinese manufacturers are posted, promotes this site, promotes its advertising and generates orders to China through his showcase.

The cost of such a site starts from 1 thousand dollars.

Wholesale sales

Wholesale trade of Chinese goods is a less risky business than buying a storefront website. The wholesaler's task is to search for the most profitable product and subsequent sale of wholesale quantities to smaller retail outlets.

This scheme can be implemented if you have experience in doing business, official registration as a subject entrepreneurial activity and purchasing capital of at least 300 thousand rubles. With such a purchase you can get good wholesale discounts.

The advantage of this scheme is that you will not have to spend time on retail sales. By investing in large wholesale and selling all the goods in one go, the entrepreneur has the opportunity to speed up the turnover of goods. By investing 300 thousand rubles and spinning them three times in two months, you can earn a million rubles.

The complexity of this scheme is the search for reliable small-scale wholesale customers. Usually, at first they agree to the deal, but when they need to pay money for the goods, they begin to doubt and refuse to cooperate.

To prevent this scenario, immediately conclude sales contracts with your customers and take an advance payment from them. Then, even in case of refusal, you can minimize your risk.

Search for business partners

You can look for partners in China when your business is officially registered, is focused on foreign economic activity and has a turnover of at least one million rubles per month. This result can be achieved in two months active work, provided that you started the business from scratch.

Partners can solve the following tasks:

  • help the Chinese manufacturer comply with delivery conditions (consulting partner);
  • set up production of products to order (you agree with the Chinese manufacturer that he will manufacture the product specifically for you);
  • produce goods for you (according to your technical specifications and under your brand).

Finding a conscientious assistant in China is not at all easy. But if you find it, then consider yourself ahead in the competition.

Helping Partner

Most often they work independently or on behalf of a large consulting company. Contacts of two or three consultants in China can be obtained from companies that organize business trips to the Middle Kingdom. But in any case, you need to look for these contacts at the stage when you no longer want to be limited to purchasing from online stores and you have a desire to make a business offer to Chinese manufacturers.

What can a Russian businessman offer to a Chinese one:

  • interesting idea in a cheap version;
  • a good percentage of the sale of a batch of finished products;
  • repurchase of draft blanks (with their subsequent refinement in Russia).

The difficulty is that at the stage of developing an idea, you not only do not know Chinese, but also do not have up-to-date information about:

  • what is the cost per unit of product produced in a Chinese workshop;
  • how much do raw materials and resources cost?
  • How truly new and relevant is your idea?

A business consultant in China will give you answers to these and a number of other important questions. He will also compile a list of the most reliable manufacturers with a good reputation and organize the most convenient way delivery of goods to Russia.

To make sure that your assistant truly fulfills his obligations in good faith, at the stage of pre-contractual negotiations, ask him for contacts of his clients who can give recommendations.

Supplier search

If you plan to switch to wholesale purchasing in China as soon as possible, you need to look for a reliable supplier from the first days of work.

Even when making small purchases on Aliexpress, enter into business negotiations with sellers for further cooperation. Yes, most likely 80% of your negotiations will not be successful, but even having three reliable suppliers will allow you to establish a profitable business.

Search large manufacturers, with a staff of about 1 thousand employees. Cooperation with such companies is the least risky and more promising in terms of developing your own business reputation.

The disadvantage of working with a large company is that the purchase price of the goods is higher than in small workshops that use cheap labor and outdated equipment.

To check whether your Chinese partner (intermediary, manufacturer) is trustworthy, test it using the following checklist:

  1. Availability of your own website (in Chinese and English).
  2. Date of creation of the site and information about its owners. This information can be verified using special identifying services (one of such services is http://whois.domaintools.com).
  3. Unhindered provision of company registration documents.
  4. Link in correspondence to business contacts.
  5. The fact that the counterparty does not hide the address production capacity(and you can check it on the map).
  6. The payment condition is the counterparty's bank account.
  7. The company is not on the black list of scammers.
  8. Willingness to provide product samples.
  9. The counterparty’s willingness to provide you with an invitation to obtain a business visa (even if you are not planning to go to China yet, ask about the possibility of assistance from that party in obtaining your entry documents).
  10. Information about the supplier on the Internet. Use Google search, check all the data that you know (company name, legal and email address, names of contact persons, etc.).

And, of course, before purchasing, you need to carefully study the reviews of real customers about the products and the manufacturer on electronic trading platforms.

Where and how to buy goods in China wholesale and retail

Alibaba, 1688 and Taobao sites are designed for wholesale deliveries from China, and Aliexpress for retail deliveries.

Taobao and 1688 provide information only to Chinese. Aliexpress today is available in many languages ​​of the world, including Russian.

Despite the fact that many experts in purchasing on Chinese online platforms claim that today it is almost impossible to find high-margin goods for resale online, these conclusions are not entirely true.

Yes, today it is much more difficult to open a super-profitable business than five to seven years ago (even on the American Amazon, some groups of goods are sold at the same prices as in China). But, for comparison, if the average retail markup on goods from Russian manufacturers is 50%, then the minimum markup on goods purchased on Chinese wholesale sites is 100%.

And then, the prospects of working with the Chinese are much more attractive than with a Russian manufacturer, since with increasing turnover and long-term cooperation, Chinese companies are ready to double or even triple the discounts on their goods, and a domestic manufacturer is unlikely to agree to such concessions.

A little about the psychology of Chinese businessmen

As already mentioned, we poorly understand the mentality of Asian peoples, their laws and business customs, so the most reliable option for starting a business in Chinese territory is cooperation with a business consultant. But if it is not possible to pay for the services of such a specialist (approximately 300 US dollars per month), then you must learn to independently navigate the peculiarities of building relationships with Chinese partners. And here are a few rules:

  1. Learn English and at least start learning Chinese.
  2. Always be friendly and calm, but never take someone’s word for it.
  3. From the very beginning of building joint plans, demonstrate your professionalism and seriousness of business intentions (study the documents in detail, make your suggestions and adjustments, be attentive to details).
  4. Be open with your partners (provide all your registration documents), but do not reveal your future business plans (in case of questions, it is better to prepare some clear and simple wording without details).
  5. Ask for advice from a Chinese person, but follow this advice with extreme caution, as the Chinese are very fond of making fun of Europeans (this step will allow you to better understand whether you are dealing with a prankster or a truly conscientious partner).
  6. Fix all agreements on paper, and first consult a lawyer about what a legitimate agreement should look like under Chinese law.

Starting your own successful business

The most important moment for a businessman is to find a product , which suits both the price, the quality, and the terms of delivery. If you find one, then consider that very soon your small business will turn into a large profitable project.

What products can you make money on - TOP 10 products from China

First of all, look for something new and not yet promoted on the RuNet among the following product groups:

  • pet supplies;
  • goods for children (literally all items, from diapers to bicycles);
  • inexpensive haberdashery;
  • car accessories.

Advantages of trading these groups of goods:

  • they are in demand all year round;
  • cyclical demand (even if you did not sell the entire batch immediately after purchasing, there is a high probability that after a couple of months the demand for this product will become active again);
  • long shelf life;
  • Possibility of sales through offline outlets with a higher margin.

By purchasing a batch of such goods for 30 thousand rubles, you can earn at least 50 thousand rubles.

30 cent items from China for resale

Products with a purchase price of up to 20 rubles per piece sell very well in markets, in trade stalls and in supermarkets. Such purchases are best made by entrepreneurs who already have their own retail outlets and want to diversify their assortment.

The most popular product from this category:

  • car chargers-cigarette lighters,
  • liquid lipsticks,
  • disposable tattoos,
  • cases for keys and credit cards made of eco-leather,
  • hairpins and jewelry,
  • keychains and headphone cases,
  • magnets and silicone bracelets.

The average cost of goods purchased at 20 rubles per unit on the market is at least 100 rubles. Wholesale selling price is about 60 rubles per piece.

So it turns out that having purchased a batch for 200 thousand rubles (10 thousand pieces), the entrepreneur will immediately earn 400 thousand rubles. And this is a real business that today operates in every city and small town.

New ideas

Promoting new ideas of Chinese light industry in Russia is a profitable business, but very risky. It can only be done after gaining experience in the Russian and Chinese markets.

But if you still want to promote such a new idea, then it is better to do this not through online stores, where buyers come to buy goods they already know, but through landing pages and one-page pages. The format of such sites allows you to comprehensively advertise a new product, familiarize visitors with reviews of product owners and give the maximum useful information about the product.

Edible in small containers

One of the new products on the Chinese market is small snack kits in colorful and convenient small containers. Such a set may consist of dried fruits, a bag of tea or coffee, snacks, etc.

It is best to sell kits in bulk to gas station chains, supermarkets, pharmacies, and drogerie stores.

The cost of such containers is from 100 to 500 rubles per purchase. You can sell them at a double markup.

For a fur coat - to China!

You can start a business in fur coats only if you understand natural furs and can evaluate the quality of tailoring, and also if you have the opportunity to personally travel to the Middle Kingdom, select the goods yourself and arrange for its delivery with a reliable carrier. In this case, you will be able to sell each fur coat at three times the purchase price (on average, fur coats that are sold in China for 1 thousand US dollars, in Russia go for three thousand dollars).

Almost all types of fur and the most popular models are represented on the Chinese market.

Packaging of goods

Another profitable idea, the essence of which is the purchase of wholesale quantities of semi-finished products in China and their subsequent packaging in Russia. In this format you can trade Chinese tea, seeds, nuts, etc.

Packaging material can also be purchased from Chinese manufacturers.

On average, earnings from such operations are up to 200% of the cost of the initial purchase.

Test purchase and determination of markup

This is a mandatory stage for which you do not need to spare any time or effort. Order 10 units of the product and offer it to retailers for evaluation. If the product is relevant and in demand, the retailer itself will offer a good small-scale wholesale price.

Yes, with such a scheme, there is a danger that while the main product is on sale, the retail buyer with whom you discussed sales options will find another seller or lose interest in your product. But this is your task as an entrepreneur: to negotiate all the terms of delivery so that your partners do not refuse their obligations.

According to experts, reselling goods is the easiest and, at the same time, the most profitable way to earn money. It is especially profitable to sell Chinese goods, which are characterized by low prices and quite acceptable quality. The most important thing is to find a manufacturer who will supply products on terms that are favorable to you. Any person can organize a resale business with China without investment. We will discuss how to do this correctly in this article.

Business without investment is real

Recently, many aspiring entrepreneurs are concerned with the question of how to start a business in China without investment? The easiest way to make money is dropshipping. This is a very popular line of business that does not require start-up capital. Its essence lies in establishing direct supplies of goods from the manufacturer to the buyer. This type of business appeared in our country relatively recently. It began to develop in parallel with online commerce.

Let's take a closer look at all the subtleties and nuances of doing business with China without investment. For example, you have your own online store. A customer visits your website, places an order and pays for his purchase. After that, you look for the product he needs from partners in China, buy it at a lower price and send it to the client. The difference in prices is your profit. All you need to do is find a trusted partner. It is advisable to agree on cooperation with the product manufacturer. If you order goods worth no more than 1 thousand euros, you don’t have to pay customs duties. Large orders require official processing and payment of all taxes.

One page site

Another option for those who want to organize a resale business with China is a one-page website or, in other words, an online trading platform. Such a resource should be stylish original design. In this matter, you need to pay special attention to every detail.

Entrepreneurs go to various lengths to ensure that the user who visits the site clicks the “buy” button. A one-page website is perfect for promoting any product. According to statistics, products that sell best are those offered at a low price in a single copy. People buy it much more willingly than several items with the same discount. As a rule, buyers are lost in front of a large assortment, so they may visit an online store and end up not buying anything. On a one-page site, everything is simple, since it presents only one type of product with complete information.

To open such a business with China without investment, you need to choose popular products that are in great demand among consumers. It is desirable that this be some kind of unique product. It is clear that TVs or refrigerators are unlikely to interest buyers, since nowadays you can buy such equipment anywhere. Before creating a website, carefully consider its design and functionality. If you do not have knowledge in this area, seek help from specialists who will create a high-quality Internet resource for you and fill it with unique content. In addition, the issue of delivery of goods needs to be resolved. In this case, you can use the services of a postal or courier service. If we are talking about some large cargo, agree on cooperation with a transport company.

What to trade?

Before starting a business with China, you must first decide. Product production in China covers almost all market segments:

  • Clothes;
  • Shoes;
  • Textile;
  • Medical equipment;
  • Electronics;
  • Kids toys;
  • Industrial machines and production lines.

If you are not interested in reselling goods, you can find an interesting idea for small business production from China and implement it in your country. It is most profitable to order equipment for an enterprise from Chinese manufacturers. China offers any construction, woodworking or packaging equipment, equipment for sewing shops, car services, etc. Chinese manufacturers will organize the delivery of equipment, train staff and tell you how to organize production in a small space. In addition, they provide a guarantee for the maintenance and repair of purchased equipment.

Branded items

Another one profitable business An idea from China is the resale of branded items. Many famous trade marks moved their production to China. These are all kinds of companies that produce:

  • Clothes;
  • Household appliances;
  • Watch;
  • Computers and more.

Cheap labor allows you to implement any small business ideas in China without any problems. Take Nike sportswear as an example. Despite the fact that this is a well-known American brand, almost all of its products are made in China. Of course, the company strictly controls the quality of its products, which is a guarantee that you are buying a really good product. By hiring the Chinese, Nike significantly reduced production costs and, accordingly, increased its income.

Communications

Beginners often ask the question, where to start a business with China? At the formation stage, the most important thing is to formulate an offer that will interest the buyer. Therefore, you should not immediately set prices that are too high. When your outlet begins to flourish, prices can be gradually raised. At the initial stage, try to save as much as possible on advertising. Products can be promoted absolutely free on thematic forums or on social networks. In order to carry out effective advertising campaign no investment required free time and your imagination. In addition, in the process of self-promotion, you will be able to find out the preferences of your audience and, based on the results obtained, create a suitable assortment. You should not abuse discounts, as they reduce your income. If the product is in demand on the market, it will be bought at the price you set.

The most popular Chinese trading platforms

To implement new business ideas from China in 2018, you need to find a reliable supplier. In principle, it is possible to establish cooperation with several sellers who supply goods, both wholesale and retail. Let's look at some of the most popular online stores that offer customers free delivery of goods:

  • AliExpress. This is one of the largest Chinese Internet resources where customers from different countries peace. Here, buyers can safely purchase any product, since the money is transferred to the seller after the client confirms the quality of the purchased product;
  • BuyInCoins. This site presents a wide range of products. There are often promotions here where you can purchase goods at favorable conditions. Prices on this trading platform are about a third lower than in other online stores. In addition, you can find discount coupons on the Internet that allow you to purchase goods at BuyInCoins for another 5-8 percent cheaper.

Organizational aspects

Beginners often ask how to organize their business from scratch in China? As mentioned above, the easiest way is to open your own online store. If you don’t know anything about web technologies, you will have to pay money to developers to create and promote your electronic trading platform.

How much money do you need to start a business with China?

Chinese goods can also be resold through regular stores. The easiest way to implement a business idea for selling goods from China is to rent a retail outlet in a supermarket. You can also organize product sales through social networks. For example, your VKontakte page may resemble an online store, but will not require any financial investment. This great option for people who are looking for . To increase sales, you can hold various competitions and sweepstakes. For example, a person who reposted his page can win an inexpensive gadget. As a result, you will be able to attract a large target audience to your product. As a rule, any new business ideas from China bring good income, so your business will prosper.

The Internet opens up virtually limitless possibilities, among which trade especially stands out. But where to start your own business online? In this article you will learn how to set up business with China from A to Z.

Relevance of business on the Internet

Many people mistakenly believe that the online trading niche has been occupied a long time ago, and the average person simply cannot survive among the huge competition. But, as practice shows, business on the Internet is only gaining momentum every year. So why not take this chance?

Thousands of users all over the world are looking for unique and inexpensive products. But not everyone can independently place an order in a foreign online store. Correspondence with the seller often causes difficulties, and payment for goods seems to be something very difficult. That is why intermediaries appear every day who are ready to buy goods in the Middle Kingdom with a minimal markup

Business with China from A to Z: where to start?

For a newbie, finding a wholesale supplier and successfully delivering the goods may seem like an overwhelming task that requires certain skills to complete. In fact, everything is much simpler. But before starting the practical part, you need to draw up a business plan.

The basis of planning will include start-up capital, the direction of activity (topic of goods for sale), the formation of a customer base, the choice of delivery method and the establishment of a markup. You need to think through every detail, because the success of the business depends on it. You should also consider the average per capita income in your area. After all, you must admit, few people will be able to buy Cell phones for 20 thousand rubles at 15 thousand rubles. Look at the situation realistically.

Choosing a direction

Financial independence is what drives people to build their own business. Goods from China will be an excellent start on the path to generating a stable income. But how do you know which products will be in demand?

To do this, you need to carefully study the market settlement, in which you are going to organize your business. Analyze what goods residents lack and what they would like to see on store shelves. After all, not in all cities and towns of Russia you can find stylish clothes, unique cases for smartphones, unusual children's clothes or inexpensive equipment.

It is very important to provide the population with exactly the product that people need most. At the same time, greater risk will accompany small businesses in China, which are characterized by a narrow focus. Choose consumer goods. This will allow you to quickly create

Do you need equipment for business from China?

The big advantage of organizing an online store is minimum costs. This is especially true if the supply is provided by China. Equipment for small businesses on the Internet at the first stage is limited only to a computer with access to the World Wide Web. Everything else depends only on the scale of the case.

If you plan to provide home delivery to your customers, then you need to resolve the issue of transport or hire a courier. A large online store with an assortment exceeding a thousand items will require an office and several employees. After all, registering orders from customers is quite difficult to cope with alone.

We arrange the supply of goods

Where to find a wholesale supplier? This question perhaps confuses many novice businessmen. After all, at first glance, it is not so easy to contact Chinese sellers and agree on the regular supply of a certain product. Distance also plays a role, but everything is much simpler than it seems.

Today, there are many marketplaces where sellers from China list electronics, clothing, accessories and much more. Thanks to the system, anyone can place an order even without direct communication with the supplier. Such resources, as a rule, have a Russian-language interface and convenient payment in electronic currency. And buyer protection allows you not to worry about your money if the package doesn’t arrive.

Search for clients

Business with China from A to Z includes such an important point as searching for potential and direct buyers. After all, it’s one thing to purchase a batch of goods and create a website. It’s quite another to attract customers and get them to make purchases.

In this case, social networks come to the rescue. After all, it is there that a huge number of solvent people of any age are concentrated. By creating a group or community, you can attract specifically the residents of your city by targeting

Social network allows you to create photo albums of the goods you sell, attach descriptions and communicate directly with customers. In addition, this method does not require any financial costs, unlike creating a personal website. But the latter cannot be avoided if you have a fairly solid customer base and a wide range of products.

Organizing a business with China from A to Z on your own is quite possible. After all, this requires only a well-thought-out plan and minimal time and money costs. Believe me, you will receive your first profit very soon. After all, people on the Internet are always looking for something new and interesting. And you can become an intermediary between the manufacturer of such a product and the buyer. The main thing is not to be afraid of difficulties and only go forward.

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