Companies offering to open a branch in their city. How to open a branch of an online store? Suppliers and possible cooperation schemes with them
A company representative is a specialist who promotes the products of a specific manufacturer in a certain region. Any sane person who wants to achieve financial independence dreams of taking such a vacancy, since it is quite profitable and very interesting job. We will tell you how to become a company representative in your city in this publication.
Where to begin?
In order to become a representative of a large company you will need:
- Experience in a specific field;
- Competent business plan;
- Personal interest in products;
- Availability of a team of professionals;
- Necessary technical equipment;
- Willingness to invest funds.
In addition, you need to collect a package of documents:
- Charter;
- Constituent documents;
- Registration certificate;
- A document confirming that you are the head of the organization;
- Lease agreement for office space;
- Bank account.
Dealer without investment
Many citizens who want to try their hand at this field often ask the question: how to become an official representative of a company without investment? There are several ways:
Trade on order
You've probably seen the “made to order” mark next to some product items in the price lists of online stores. This means that the buyer must deposit money for the goods into the seller’s account, after which, after a certain time, he will receive his purchase.
If you look at it through the eyes of a businessman, the situation looks like this:
- The entrepreneur signs an agreement with the supplier for the purchase of goods at dealer prices;
- Exhibits goods for sale at its outlet, or rather, includes it in the price list and various promotional materials;
- The buyer pays for the purchase, after which you buy the goods from the supplier with the money received and transfer it to the buyer.
If you want to become a representative of a company in a region without significant financial investments, choose a market segment that includes goods whose cost ranges from 5–20 thousand rubles. Consumers prefer to buy inexpensive everyday goods in nearby stores, even if their prices are slightly overpriced. If you choose too expensive products, you will have to rent an elite office or store. For example, for car sales, large areas are rented for showrooms.
Goods for sale
If you have firmly decided that you want to become a representative of companies, but do not have the funds to realize your plans, you can try to enter into an agreement with the manufacturer in order to receive goods from them for sale. Many large companies are accommodating to budding entrepreneurs and willingly agree to such cooperation.
The most important thing is to sell the products on time. If you do not have time to sell all the goods within a certain period of time, you will have to pay money for it, and 1-2% more than its original cost. In some cases, suppliers take back unsold goods. Return conditions must be specified in the contract.
Free testing
The manufacturer sends samples of its products to the sales representative so that he can try them out. If you find such a company that agrees to provide you with their products for free to test, consider yourself very lucky, because many suppliers refuse to work under such conditions, so the chance to test the products for free is great luck for a beginner.
Official representative
This is the most profitable option, since you get a guarantee that the products you sell will be of interest to the end consumer. The supplier provides you with full information support, and also assists in the organization and development of a trading enterprise. Advertising specialists promote products at a professional level, so you don’t have to waste time and energy on it.
Work in a foreign company
Many domestic enterprises are not adapted to agency work. In addition, some of them may not fulfill their obligations. In this regard, newcomers are often interested in how to become an official representative foreign company? Abroad, this form of sales has long become commonplace and has become widespread. If you have no work experience, look for a company that provides training.
Let's take a closer look at what steps you need to take to become a representative of a foreign company:
- Choose a line of work that you are familiar with. For example, a mechanic might sell industrial equipment, since he has certain knowledge in this sector;
- Find a suitable company and offer your services to it. The necessary information can be obtained on the Internet or from industry directories;
- Decide on the product range. For example, along with lifts for car repairs, you can offer consumers balancing stands, compressors and other equipment for car services;
- Enter into an oral or written agreement with the company;
- Study the product carefully to determine its commercial and technical advantages.
Advantages and disadvantages
Before becoming a company representative in your city, you need to familiarize yourself with all the advantages and disadvantages of this profession.
Pros:
- There is no upper limit on income levels. The more efficiently you work, the more you get;
- There are no competitors within the company;
- Support from a strong partner;
- Free education;
- Fast start.
Minuses:
- Lack of permanent salary;
- Large risks of losing start-up capital.
Where can I find a company?
Are you interested in how to become sales representative companies? Many manufacturers post information about available vacancies on their own websites on the Internet. You can also send your resume to different companies. Perhaps someone will respond and offer you cooperation.
Try to collect as much information as possible about the activities of different companies. This will help you choose the right supplier, on whom the success of your business depends 90%. You should not give preference to any supplier based on low prices. If you are committed to serious work, you need to pay special attention to the company's reputation. It is also very important that the products you will sell are in demand in your region.
How to choose a company?
Before making a final decision which company or manufacturer is more profitable for you to cooperate with, you must first find out.
Construction Materials
Nowadays, trade in building materials brings good profits, so many successful entrepreneurs cooperate with enterprises that produce such products.
Before that, decide on the scope of work. You can open a small outlet or a large supermarket. It all depends on your financial capabilities. According to experts, at the stage of formation, an average company will bring much more profit than a large one commercial network. You should not strive to conclude a cooperation agreement with a large manufacturer. At first, it is better to work with a small company. In this case, you will earn good money and gain the necessary experience.
Furniture
This is the simplest and most easily implemented idea. Almost all furniture that can be purchased on the market is sold through dealers. An exception may be foreign-made products or large retail chains.
If you decide to start a business and don’t know, first of all you need to find a furniture factory and agree on cooperation with it. The manufacturer bears full responsibility for the complete set of furniture and its quality. If the buyer discovers any defect, the furniture factory is obliged to replace the product.
Baby food
Before that, many aspiring entrepreneurs get jobs as sales representatives. This allows them to gain the necessary experience and understand the range offered by modern baby food manufacturers.
This approach is quite justified, since products intended for children should be different high quality. If you open own store and purchase low-quality goods, the company will quickly go bankrupt. Working as a sales representative allows you to learn from the inside all the features of trading such products, and the experience gained will guarantee the success of your business.
Video: About the profession of sales representative
Confectionery
It is most profitable to sell food products during a crisis. Despite the fact that almost all citizens are starting to save, they continue to buy food, and especially sweets. Before that, draw up a competent business plan and find reliable suppliers who sell quality products at affordable prices. The most profitable option is direct supply of goods from the manufacturer. In this case, you will receive the freshest products at low prices.
To reduce the payback period of the enterprise, it can be installed in educational institutions or in shopping centers some . In such walk-through places, chocolates, cookies in small bags, lollipops, etc. are excellently sold. Since this piece of goods sells quickly and in decent volumes, vending machines will generate good income.
Dealers are people who take goods in bulk for subsequent resale to sellers or stores individually or in small quantities (and not just drug dealers, as many are accustomed to believe). Most newcomers in this business do not want to make special investments: they are afraid of “burning out” if they suddenly don’t buy the product, there is not enough money to start, or other reasons, it doesn’t matter. For product owners, this desire is often not to their advantage, so there are not many options to implement their plans.
How to become a dealer without investment?
Method one - selling to order
Perhaps you have seen in the price lists of online stores the note “made to order” next to the indicated cost of the product. It means that you must first deposit the full cost of the goods into the seller’s account, and only then, after some time, they will transfer it to you for use. If you look at the situation from a business point of view, it looks like this:
- The dealer enters into an agreement with suppliers for the delivery of goods at the dealer price (in some cases it is possible to work without an agreement).
- The product is offered for sale at the dealer's point of sale. More precisely, not the product itself, but the lines in the price list and promotional materials.
- Buyers are charged an advance payment, for which the dealer purchases goods from suppliers.
- The purchased product is transferred to the buyer.
Please note that if you work according to the “made to order” scheme, it is better to cover the market segment of goods in the middle price group (5-20 thousand rubles). It will be easier for customers to buy cheap goods in a nearby supermarket, albeit at a slightly inflated price, but quickly and immediately. If the goods are too expensive, you will have to spend extra money on renting a good office or store. For example, the same car dealers, in order to impress customers, are forced to rent large areas for showrooms.
Method two - goods for sale
Many manufacturers provide for this type of cooperation. The dealer is given a certain time within which he must sell the product. After the established period, you will need to pay for the goods, and the amount will be 1-2% higher than if you paid everything at once, so the risk of “burning out” does not disappear. If you fail to meet the deadline, you will have to compensate suppliers for losses. Only in rare cases can the goods be taken back from you (the terms of return must be specified in the contract).
Method three - free testing
If the manufacturer with whom you are going to cooperate agrees to send free samples of their products so that you can try them “in combat conditions,” then you are very lucky. Most suppliers do not want to work according to this scheme, so the chance to check a product for free is extremely rare.
Method four – become an official representative of the company
By choosing this option, you will receive advertising, information and consulting support, assistance in development, trade organization and, most importantly, a guarantee that the product you are selling will be of interest to the end consumer. In addition, advertising specialists are involved in promoting the product, which saves you from having to do it yourself.
As you can see, it is quite possible to start a career as a dealer without investments, without risking anything (or almost nothing, as in the case of taking goods for sale) and without being obligated to anyone. Of course, you will have to put in a fair amount of effort, which will eventually have to pay off.
Readers' opinions
I read the title of the topic - “How to become a dealer?”, I don’t know about you, but I immediately have associations with drugs.
Qwer, I think that “test in combat conditions” means testing the ability of a product to arouse interest among consumers and its quality, of course, too. If consumers buy the first small batch of goods and speak well of it, then they can safely purchase an even larger batch (this time with their own money) and sell it without any problems. The dealer, by the way, can also thanks free samples study the characteristics of the product offered to him for sale.
The idea is good, but there are also a lot of risks. First of all, I think you should study the market and test the quality of the product. In this case, you need to thoroughly study the product you are selling. And only then offer implementation services. In general, it’s a troublesome task, but worth it.
There are risks everywhere. And even more so, dealers, but here usually dealers are not just ordinary people, but those who have been engaged in some kind of art for years. For example, a person who is a fan of paintings can easily become a dealer in this area, since this is his element, and he will not buy low-quality goods for a lot of money.
If you become a company representative, there will be control from the company, which will not have a very good effect on your desire to sell. But less and less is given for the sale of goods every year. If they provided children's goods for sale, I would open a store myself.
Many trading companies offer to become distributors or dealers only for their regular customers which have proven themselves with positive side on the basis of an agreement concluded with them, but not a single foreign company will give goods for sale to a supplier they do not know; this is very risky for them.
Angelica
For my dacha, I ordered different tools from the factory for cultivating the land. After payment, I was offered to become a dealer in my region. Unfortunately, at that time I could not do this, since I had just bought the product, and it was winter, and I did not test it in operation. Then it was already too late. I checked the markets specifically in the fall and they were already selling their goods with all their might.
Before becoming a dealer (that is, making a good investment financially and organizationally), it is wise to work as a sales agent (that is, the “made to order” option or something similar in essence). Thanks to this, sales tools will be formed and a circle of regular customers will be developed. And in general, you can feel confident in this sales market.
Dara, I was also offered to become a distributor through a company that distributes cosmetics, one of the cosmetic lines, but I was not satisfied with their working conditions. They have a sales plan, and hence bonuses and cash rewards, but this is acceptable for those who are free from other work, and this takes a lot of time.
Angelica
I will be experimenting with different fertilizers this summer. If it works out, I might think about selling it. At the same time, I will conduct an experiment with film and polycarbonate. You can conclude an agreement for the sale of Svetlitsa’s film, this is still rare in our country. But I'm more interested in vermicompost. True, it is expensive and I’m not sure whether they will buy it in the villages.
Dara, why is he so good? It’s just that I also have a problem with flowers, they don’t grow well, they put out leaves, but they don’t bloom. I tried to make different soils, but it didn’t make any sense, they were still capricious. I read a lot of reviews about the HB101 fertilizer, but they don’t send one or two packs, but only a batch.
Angelica
Oh, about the flowers, it’s all chemistry. I bought flowers at the market for planting, they all bloom and are so beautiful and alive. But I planted them from the hypermarket, but they don’t bloom and even grow poorly. I think you need to buy a good one first planting material. Regarding dealership, it’s a good idea, especially since now many products are offered for sale, but it is important to take into account the demand in the region so as not to make a mistake with the niche.
And I have with car dealers. Everyone thinks to the extent of their depravity, as they say. But the “no attachments” label is not entirely appropriate for this topic. You need at least a retail outlet, which is what TS wrote about. And at first, few people will dare to pay you the full amount of the advance payment in the case of “to-order” sales.
Angelica, vermicompost, and specifically even vermicompost contain all the necessary elements for plant nutrition. Plus, this soil is clean from all viral and fungal diseases. No pathogen develops in vermicompost. And now about the flowers. Flowering requires different conditions and the soil and its composition are not always to blame. Sometimes a cold winter is needed for flowering.
Zikam Stone, distributors or dealers, are the same sales workers having their own property (store, warehouse, retail outlet), who decide to take a large batch of goods for sale, or purchase it immediately. As for sales agents, their task is to offer manufactured goods, conclude a supply agreement, and control the supply of this type of product. Therefore, in many ways, they different functions. But both of them are united by the fact that they have a common task, which is to sell goods and find new customers.
Angelica
Don’t think that I’m too picky about the little things, but I’m wondering if there are differences between a dealer and a distributor, I can’t even pronounce this word correctly. Why are the names different if the function is the same? Or is a dealer not a distributor?
I would like to test something for free, a walk-behind tractor for example: rolleyes: .
Dara, this is the same thing, it’s just that now many vacancies are borrowed from other languages, but in fact their meaning and functions do not change, i.e. a wholesale batch of products is taken from the company at one price, and then it is distributed to its clients, but with a preliminary markup . The company encourages those dealers who take an active part in promoting their products and periodically rewards them with a bonus system.
Angelica
The most normal way is to take the goods for sale. Here the profit will depend only on you. If you simply become a representative of the company, you will receive a percentage of sales. He is usually not that tall. And it turns out that you are not running a business, but working for some company.
Dimcha.k, take goods for sale, perhaps the best way, but no one will simply, without checking you and making sure of your integrity and business viability, dare to entrust you with such a consignment of goods on which you can earn really good money. This is time, and quite a lot. But through a sales office, you can achieve success much faster, even if you don’t have complete freedom of action, especially if you choose the right product niche to work in.
You will need
- - a power of attorney in the name of the person who will directly carry out all formalities;
- - an application for opening a representative office with a translation into Russian or in Russian, if you speak it well enough;
- - the charter of your company or a document equivalent to it according to the laws of your country, notarized translated into Russian;
- - document about state registration your company with notarized translation into Russian;
- - the company’s decision to open a representative office on the territory of the Russian Federation, certified by the signature of its first person and seal and translated into Russian;
- - Regulations on the representative office of the company with translation into Russian;
- - bank statement on the solvency of the company with translation into Russian;
- - letters of recommendation from Russian business partners;
- - document confirming legal address representative offices ( letter of guarantee or a lease agreement and a copy of the certificate of ownership of the premises or a copy of your certificate of ownership if the office belongs to your company.
Instructions
Start working on opening a representative office by finding an office for it. The future legal address must be reflected in the decision to open a representative office. It's easiest if you own commercial real estate in Russia. Otherwise, you will need a letter of guarantee from the owner or a lease agreement. Any of these documents must be accompanied by a copy of the certificate of ownership of the premises you are renting or intend to rent.
Contact the Registration Chamber of the Ministry of Justice of the Russian Federation in any convenient way. In a number of cases, representative offices of foreign companies in Russia are registered by other organizations. The list of them is too extensive, so it would be better to contact the Ministry of Justice for advice on what to do in your situation. In addition, even if you register a representative office through another organization, for example, the Chamber of Commerce and Industry, after registering for tax purposes, it is still advisable to obtain accreditation from this agency, especially if you plan to send citizens of your country to Russia to work in the representative office. Otherwise, it will be more difficult for them to resolve visa issues.
Prepare a decision on opening a representative office in accordance with the legislation of your country, indicate in it the purposes for which you are opening it, for what period (according to Russian laws, up to three years with the possibility of extension) and at what address.
Write an application addressed to the Registration Chamber of the Ministry of Justice or another body, depending on your situation. Be sure to include the name of your company, the date of its foundation, address in the country of residence, types of activities, position and name of the first person or the name and composition of other management bodies in accordance with your Charter, the purpose of opening a representative office, information with whom and how cooperate in Russia and what plans do you have regarding the development of this cooperation. The more convincing the arguments in the application, the greater the chances of a positive decision. If you do not speak Russian well enough, prepare the document in your native language.
Develop the Regulations on the representative office in the Russian Federation in accordance with the Charter of your company and the legislation of the country of its residence. Reflect in this document the goals of creating the representative office, its functions, powers, and future address.
Take from your bank documents confirming the solvency of the company: a statement of the account balance or the history of the movement of funds in the account for a period of six months.
Prepare a power of attorney for the person who will handle all formalities in Russia. In it, reflect his first and last name, position, if this is your employee, passport and Russian visa data, if relevant (for citizens of the Russian Federation - internal passport data and registration address) and what exactly you trust him with: to represent the interests of your company when registering its representative office in the Russian Federation, interact with government and commercial organizations on this issue and sign Required documents.
Translate all necessary documents into Russian. Russian official organizations only accept translations certified by a notary. You can receive such a translation at the nearest Russian consulate or use the services of any Russian translation agency.
Submit the entire package of documents to your representative, who will deal with formalities in Russia. In case of a positive decision, he will register the representative office for tax purposes. To do this, he needs to write an application in the established form and contact the tax office servicing the legal address of the representative office with all the documents that he receives from the registration authority. And then, if necessary, with the same sets of documents and all the papers that will be received at the tax office - to the Registration Chamber of the Ministry of Justice of the Russian Federation for accreditation.
Quite a lot of people dream of starting their own business. But along this path, many business pitfalls await everyone. And the desire can evaporate instantly. However, you can also implement a lighter option, namely, open a regional branch of a large online store in your city. Of course, this process is not so simple, but almost anyone can cope with it.
Before opening a branch, it is necessary, naturally, to study all the issues and find out how this project will be profitable. To open your own online store, you need to have great potential: know programming, SEO optimization, find suppliers and open an office. And this is just the beginning. A lightweight option is that you can open a representative office of a large online store in your region. This process is not so simple, but it is much easier to implement. The main thing is to adhere to a certain algorithm, which will be discussed below.
Preparing to open a store branch
First stage. You need to decide which online store you will start collaborating with. For this purpose, all stores known to you are monitored. Naturally, preference should be given to the one that has been operating on the market for more than 1 year. For example, 5-10 years. This way, in the future, you will advertise your branch with great success, especially if it belongs to a well-known company. Cooperation with narrowly targeted stores may not be profitable at all. It is better if the categories and range of products offered can satisfy the most demanding buyer.
Make a selection of online stores working with regional offices, and analyze pricing policy and the range offered.
Stage two. After you decide on a store, you need to call the main office and find out what contractual obligations and partnership conditions they offer. Ask to be sent a financing agreement and find out what percentage of the sale you will be paid.
Stage three. Register an individual entrepreneur with a single tax. The single tax rate is based on the type of activity, number of employees and annual turnover.
Stage four. Now you need to find an office. There is no need to purchase it; you can rent it. It will be better if you decorate it with a noticeable sign and if it is located in a crowded place. A sign as part of your advertising will help you “promote” your store. Be sure to equip your office: install a printer, scanner, computer, and also connect to the Internet. It is enough for the room to have several squares and accommodate equipment and a table. And in the future we can expand. If you decide to sell large goods, then choose an office on the 1st floor, and preferably with a separate exit. Not all delivery services allow for large items to be lifted to the office door, and you will need to carry it yourself.
Stage five. Now you can move into the office and enter into a cooperation agreement. After which your details, namely telephone number, office address and other contacts and coordinates, the online store will place on its website. After this, people will start contacting you.
Stage six. You need to enter into an agreement with transport company, of which there are quite a lot now.
On this organizational matters finished.
Return to contents
Expenses required to open a representative office
A branch of an online store involves costs such as:
- purchase of a site management system - from 4 to 40 thousand rubles (the amount depends on the required modules);
- creation of a competent design project - from 25 to 50 thousand rubles;
- development of the entire website concept, texts, navigation, menus and other things - up to 50 thousand rubles;
- domain registration - approximately 250 rubles annually;
- purchasing hosting - from 2000 rubles annually.
Naturally, you can make a website yourself using a template design and place it on free hosting. However, it is unlikely that such representation will be effective and will achieve its goals.
Return to contents
Nuances and scheme of work
So, the online store’s representative office is ready. You need to familiarize yourself with the offered assortment, read articles on the topic of choosing products so that you can answer customer questions. Large stores They often organize all kinds of trainings and seminars, both online and in their office. It is there that you can learn a lot of invaluable useful information.
A branch of an online store operates according to the following scheme. The buyer goes to the site and, after deciding on the product, contacts you. Your task, if necessary, is to advise him and place an order. Questions regarding equipment, terms and guarantees can be found at the head office, where, as a rule, online regional supervisors are present. You can place an order either with or without prepayment. It is, of course, convenient for the buyer to purchase goods without prepayment, because he will not need to go to the office or bank in order to make the payment. After all, not everyone pays through electronic payment systems. This is not very profitable for you, since the buyer may not pick up the goods. But usually there are no problems with returning unpacked goods. The transport company delivers the goods to your office, and the buyer can pick it up in a few days.
Since you will receive a percentage of each item sold, it is in your best interest to sell as much as possible. For this, the number of residents living in your region is quite important. If there are more than 500 thousand people in the city, then the income will be quite significant. Over time, word of mouth will start working, and customers will come not only from the site.
