When starting out as an importer, it can be so overwhelming to absorb a lot of information about importation on the internet. There is so much information out there about the dos and don’ts of importation that you have to guard your decisions carefully as they directly influence your business. In view of this, we are sharing with you 5 common mistakes importers make when buying from China.

Importation is a serious business and overlooking an important process might put your business at risk. To this end, as an importer, you must learn to avoid these common mistakes when buying from China in order to avoid loss of goods or revenue.

Let’s dive in.

1. Not Partnering With a Trusted/Reliable Importation Partner

Many new importers often make the mistake of working with an unreliable importation agent. The importance of choosing and having a dependable importation partner can not be overemphasized. This is because not only does it save you money and time, but also prevents you from losing your capital to fraudsters posing as suppliers on the internet. It is common knowledge that there are a lot of fraudsters and impostors even on trusted Chinese websites. You might not know they are fraudsters because they appear genuine on the surface but on looking closely, experts like Naiyuan Mart can easily identify them and let you know whether they are reliable suppliers or not.

Another reason you should to partner with a reliable procurement partner like Naiyuan Mart is that they have territorial knowledge of the Chinese market. Hence, they can source products for you from China, verify local Chinese suppliers, manufacture your own product/prototype, pay Chinese suppliers on your behalf as well as ship your products to any destination of your choice. 

2.  Not Communicating Effectively with your Supply Chain Partner

Effective communication is an important aspect of the importation business. For an importer to be successful in running a business, there must be open communication between the business owner and the supply chain partner. This is because every aspect of the business depends on communication. Unlike the traditional market where a buyer can go to the market and negotiate directly with a seller and everything is concluded; the importation business is different because of the distance and language barriers. Importers have to rely on third parties like procurement agents to buy and import their goods for them. So, to do this successfully, there must be an effective communication channel between the importer and the supply chain partner for the smooth running and success of the business.

3.  Not Having All Required Importation Documents

This is too often a mistake many new importers make. There are a number of documents you must have as an importer in order to clear your goods. Depending on the type of freight, the following documents must be provided for your importation business.

• Bill of Lading- A document that the carrier of the goods issues to the shipper. It is the proof of shipment.
• Commercial Invoice Exit Note- A legal document between a buyer and seller that states the goods being sold and the amount the customer paid
• Duly completed Form M- A form compulsory by importers to determine import duties
• Packing List- A detailed document that states all the product and packaging details contained in each shipment
• Single Goods Declaration
• Product Certificate/SONCAP

4. Not Deciding on Shipping Process or Including Shipping Fees in Capital

Oftentimes, new importers calculate or plan for only the price of the goods to be bought and forget other charges such as shipping cost, clearing cost as well as the exchange rate between the Chinese Yuan and Nigerian Naira. It is why you should engage the services experts like Naiyuan Mart to help you navigate the business of importation by giving you an all-inclusive quote for your business. You don’t have to do the stressful work of calculating the fees yourself.

5. Not Testing a Product Before Investing Your Capital

Too many new importers make this mistake when buying from China but as an innovative company, Naiyuan Mart believes in the success of African businesses. This is why we advise our customers to buy and test a small quantity of a product before investing in a large supply. This saves you the headache of discovering your imported products are not up to expectation. Having a sample product shipped to you helps you make an informed decision so you don’t end up importing low-quality goods. In summary, it is important to do a quality assurance test before investing your capital into any importation business.

Now that you know the common mistakes importers make when buying from China, it is best to avoid making these mistakes yourself so you don’t run at a loss. 

Talk to Naiyuan Mart today and let us help you get started with your importation business.