Become a company dealer in your city. Dealer activity: features of earnings and possible risks. What you need to get started

How to become a dealer?

Contrary to popular belief, not only “business giants” can ask this question.

Many newcomers to the field of entrepreneurship would not refuse to have stable ground “under their feet” in the form of an experienced and reliable company, and to develop thanks to such support.

It is important to understand an essential detail: the dealer does not simply resell the goods of the employing company.

Its goal is to thoughtfully and efficiently present the products of the “parent” company, properly prepare the client base for the perception of the newly arrived product, and take care of the reputation and promotion of the brand.

Who is a dealer: detailed explanation

A dealer is an employee, often of huge corporations. The purpose of its work is to expand the sales market for products in new regional centers.

An uninformed reader may compare the work of a dealer with the activities of a speculative business. However, this opinion absolutely does not correspond to reality.

The dealer plays the role of an independent entrepreneur in the market segment entrusted to him: he purchases products from only one manufacturer at a price wholesale prices, and subsequently implements it without changing the brand.

At the same time, be sure to take into account all the subtleties marketing activities parent corporation.

The work of a dealer has some parallels with politics.

The leadership of a particular region can make independent decisions within their region.

However, regardless of the views and desires of local politicians, decisions on global issues necessarily coincide with national ones.

Likewise, the dealer chooses his own ways of doing business, but his marketing policy is necessarily subordinate to the “parent” entrepreneurial person

Behind last years the number of dealers in Russia has decreased.

First of all, this is due to the increase in the dollar exchange rate. Currency fluctuations are steadily leading to an increase in purchase prices for imported products.

To remain a successful player in the market or open your own dealership, in the current moment of economic instability, it is important to have certain qualities.

What qualities should an applicant for the role of a dealer have?

When submitting your resume to the human resources department of a potential job for a dealer position, you need to understand the key question: what do employers expect from applicants?

List mandatory requirements for dealers:

Experience in entrepreneurial activity.

Hiring a newbie is too risky.

Moreover, if we're talking about about reputable companies that require guarantees and the proper level of performance from the very first days.

Communication skills and high level activity.

A dealer is a very energy-intensive profession.

To perform his duties efficiently, the applicant must demonstrate the abilities of a “great speaker” in the process of negotiations with partners.

Also, the profession does not provide a clear work schedule.

Therefore, you must be ready to perform your duties at any time of the day or night.

Stress resistance.

One of the decisive factors in almost any job.

It’s not for nothing that applicants most often indicate this quality in their resumes in the “about themselves” column.

The work of a dealer will require even greater tolerance and self-control, because it is associated with constant emotional stress.

Special requirements associated with distinctive features sold goods.

At the same time, any peculiarities of doing business in the region where the future dealer operates are taken into account.

What could become such requirements?

The presence of an appropriate material base for placing goods, preparation of documentation for opening an LLC, decisions with sales points - all this can be taken into account by the employer.

Interest in potential employment.

This point seems self-evident.

However, it is just as important as the other factors listed above.

Enthusiasm sometimes plays a decisive role in the decision difficult situations work-related.

If you think you meet all of these points, be happy for yourself!

You have every chance to become a successful dealer and develop both your business and promote your employer’s products.

How to choose the right business area?

In order to become a dealer, you must choose an employer company.

To do this, first of all, you need to determine the market segment that you want to represent.

When choosing a business area, you need to start from personal experience and priority areas for your region.

There is another option: if you want to work with a specific company, you need to establish what its managers consider when expanding the geolocation of their business.

Let's look at the main potential goals:

Taking into account the features and specificity of the goals of the “parent” organizations, you should be thoughtful about the choice of the business area and company you represent.

Only a clear understanding of your goals and the experience to implement them will make your work as a dealer a success, not a failure.

The third option for determining your “dealer path” is to analyze your own capabilities.

For example, a legal entity with connections to the right market sales, points of sale, authority in the market, can claim to open a dealership of a world-class company.

If you don’t have such a solid “starter kit”, consider a more modest employer that offers support in the initial stages of business development.

How to become a dealer: 3 steps to the goal

STEP 1: Find an employing company

The first step to becoming a dealer is finding an employer.

In this process, it’s worth starting from your location, it’s also worth considering regional features business.

Instructions for finding an employer:

Decide on your business area.

Use one of the three options discussed in the previous section.

Analyze the competition.

Once the industry has been determined, analyze the market in your region for the presence of large representations of other top companies from the chosen line of business.

For example, if you want to represent the automotive business sector, analyze the automobile market of your city (federal region).

Suppose the selected region is “neglected” car brand"Audi". So a potential employer has been identified!

Contact the company.

After determining the organization whose interests you intend to represent, you need to contact the personnel department.

In practice, this is done as follows: you find contacts of the nearest representative offices of the organization in your country, contact them, and clarify the details of cooperation.

The second stage is contacting directly the main office + providing project documentation By .

The final stage.

If the employing company shows interest in you, representatives of the main (management) office will ask you to attend a meeting of responsible employees.

The main task of the potential dealer is to confidently present his business plan at this meeting.

After analyzing the possible expansion of business in your region, a final decision will be made.

On initial stage interaction, the potential dealer, to a large extent, demonstrates the skills of a marketer (effectively presenting his program for the development of the “parent” business in the region).

The second stage involves real actions to implement plans.

STEP 2: Registering a business

At its core, dealership activity is entrepreneurship.

It is very simple to explain - the dealer organizes his own separate enterprise through which he operates.

That is, a dealer is an employee who organizes a “work office” for himself and sets the rules for internal work in it.

The “paper” component of the process is .

Another form (for example, individual entrepreneur) is unacceptable.

Only a legal entity may be allowed to perform the functions of a dealer.

The dealer receives the status of a legal entity by organizing his own enterprise.

In its focus, it must correspond to the company represented. To do this, of course, the dealer must coordinate each step with management.

This is the only way the employer will be aware of the process of registering a representative business and will be able to control it.

To regulate the process, a cooperation agreement is concluded, which includes:

• approval of product supply routes;
• implementation plan + deadlines;
• product promotion plan;
• volumes of product purchases;
• basic description of the cooperation scheme.

Example of a dealer agreement:

Registration of an LLC is carried out in three stages:

1. The first stage: organizing the composition of the founders and accepting the charter agreement + opening a current account in the bank.
2. The second stage: submitting an application with all the necessary amendments to the Federal Tax Service, which will register the organization for tax purposes in the Unified State Register of Legal Entities (register of legal entities).

Third stage: practical implementation.

This includes renting space, hiring employees, organizing the work process according to the employer’s requirements.

After concluding contracts and registration legal entity, the dealer can begin selling goods on the Russian Federation market.

STEP 3: Sale of goods by a dealer

To ensure high-quality promotion of goods, the dealer can rely on the supplier.

The procedure for carrying out marketing campaigns is often described in the contract.

It is beneficial for every employer to help the dealer get comfortable with promoting products and properly organize the sales process.

At the first stages of supply and sales, the dealer can be assisted by a consultant who has more experience in relevant activities.

The dealer’s task, depending on the goals of the representative activity, may be:

• In work on the scheme of distribution of products through retail chains, i.e. direct participation of the dealer in negotiations with market representatives.
• In sales of goods through our own points of sale.
• In combined activities: selling goods through our own networks + organizing agreements with partners.

Choosing one of these interaction patterns is a key factor in determining your future responsibilities as a dealer.

Some more information about who a dealer is and how to become one in the video:

A dealer is a unique profession, a type of entrepreneurial activity that requires the “employee” to be fully dedicated and interested in his work.

Considering this as a springboard for making a smooth transition to independent entrepreneurship is not entirely the right decision.

Cooperation with a supplier as a dealer involves impeccable obedience to the statutory policies of the parent corporation, without any opportunity to realize one’s ambitions in full.

The path to success as a dealer is to be willing to represent someone else's product with the same care and dedication that you would use to produce your own.

Moreover, the dealer is an important person in any large corporation.

You will become part of a large team, you will feel support “behind your back”, but you will also receive high requirements to the quality of your work.

If you have no questions left, how to become a leader, but only more determination has increased, start acting right now!

Thanks to the support of his “big brother,” even a novice entrepreneur is able to conquer heights that seem unattainable at first glance.

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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;
• Great risks of loss starting 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 retail 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 retail chain. You should not strive to conclude a cooperation agreement with a large manufacturer. At first it is better to work with 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 latest 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.

Household chemicals

Such products are included in the category of essential goods, so they will be in demand in any economic conditions. If you have never done such a thing and do not know in your city, seek help from specialists. Professionals will tell you where to start a business and help you prepare all the necessary documents.

The profitability of such an enterprise depends on various factors. The main problem is the high competition in this area. In many cities there are entire retail chains that sell goods at low prices. To prevent your household chemicals store from going under, open it in a large city with a population of more than 1 million people.

conclusions

Many companies that want to open a representative office in another city or region are faced with the problem of finding motivated, responsible employees. If you have these qualities, you can start looking for an available vacancy. Take action and you will definitely succeed.

“There is nothing more criminal than coming up with a great idea and not implementing it,” says Donald Trump. If you dream of having your own business (beauty salon or something else), financial independence, nothing should stop you, not even the lack of start-up capital for business development. When there are a lot of ideas for building your own project, but the financial situation is not the best, you can try to become a dealer.

Who is a dealer?

A dealer is an agent of a manufacturer who acts as an intermediary between the manufacturer of a certain product and a person or legal entity wishing to buy it.

In Russia and other countries, there are manufacturers who do not have their own sales offices and wish to sell their goods through dealer networks. For such companies, such cooperation is beneficial. They do not need to spend money on opening retail outlets. At minimal cost, they can quickly convey information about their products to a large circle of potential buyers.

Dealers are divided into several categories depending on their field of activity. There are intermediaries working on the stock exchange. They are participants in the securities market. Another type buys certain products in bulk and sells them to retail customers. There are representatives large enterprises, for example, automobile holdings that find buyers and receive a percentage of sales. If you decide to become a dealer, first of all decide in which area you want to work.

Becoming a manufacturer's dealer is not just about representing the products of a certain company, it is about being its regional representative (for example, a manufacturing company). Dealer sales consist of the following stages:

• discussion of cooperation issues, current prices, percentage of sales, etc.;
• make a deal;
• sales of related products of the plant;
• provision of additional services ( service maintenance, installation, transportation from the factory).

Becoming an exclusive dealer of a manufacturer means gaining the right to solely represent the company in a certain region. This status gives privileges in partnership, since the representative gets rid of competitors and receives special financial conditions.

Becoming an intermediary means taking an intermediate place in the chain “manufacturer – final consumer”. His main role is to find a buyer and complete the transaction.

How to become a manufacturer's dealer?

In order to become a dealer, you need to determine. But the choice of a manufacturer is far from being the only criterion. In order to become an official representative of the plant, you need to prepare.

Qualities required to work as a dealer

Practice shows that not all people can become a dealer, as well as, and reveal themselves in the field of trading. Experts have identified a number of qualities that a person should have:

1. activity;
2. communication skills;
3. ability to negotiate and persuade;
4. stress resistance;
5. initiative;
6. competitiveness.

If you see the above qualities in yourself, you can try to realize yourself in this area and become a dealer.

Advice: when negotiating, you must “exude confidence,” since the main task in this activity is to convince that the proposed product is of the highest quality.

If you are trying to establish cooperation with a store representative or other trading network, convince him that if you take the product for sale, it will literally be swept off the counter. To do this, you need to be persistent, be able to present the product, indicate its advantages and benefits for the buyer.

It's important to be prepared for rejection. Unsuccessful transactions are an integral part of working as a dealer. Here it is important not to get upset, analyze the mistakes made during negotiations and move on, searching for buyers.

Required Documentation

To become a manufacturer's dealer, you need to prepare a package of documents, since this business is serious and can bring in a lot of money.

In most cases large manufacturers To sign a partnership agreement, the following conditions must be met:

• you must be a legal entity;
• presence of an office;
• conclusion of a mediation agreement.

For cooperation you must also provide:

1. passport details;
2. charter (if you are a legal entity);
3. memorandum of association;
4. tax registration certificate;
5. certificate of state registration;
6. ownership or lease (sublease) agreement for non-residential premises where the sales location will be organized;
7. Bank details.

The list of documents may vary depending on the requirements of the manufacturer. If you plan to work in automobile business, you need to provide permission to sell Vehicle from the traffic police.

Description of activity

After signing a cooperation agreement in a certain region, it is necessary to draw up a promotion strategy and development concept.

At the first stage, conduct an analysis of the market in the assigned territory, the level of demand and options for promoting products. Determine ways to optimize sales and how to interest a potential buyer. Don’t ignore your competitors, monitor their work.

After this, you need to try to build your customer base. To do this, make a list of companies that may be interested in the product being sold. Before arranging a meeting with potential clients, make as many inquiries as possible about them and develop a negotiation methodology. The larger the customer base, the higher the income level will be.

If you want to become a dealer from a prestigious company or large plant, you need to overcome competition from other applicants. In order to have an advantage over them, you need to take into account a number of factors.

First, they pay attention to experience in this field. Secondly, a lot depends on the region of location. If a representative applicant wishes to become a dealer in a city that is saturated regional representatives this company will most likely refuse him. If the manufacturer does not have a representative office in this area, he will be more willing to cooperate. The established customer base is especially valued. The decision to partner is also influenced by:

• reputation;
• availability of technical base and work premises;
• the possibility of attracting qualified personnel;
• possibility of warranty service.

How much money do you need to invest?

Investments are required to conduct intermediary activities. To become a manufacturer's dealer, you will not need the same amount of capital as, for example, to build. But most often, investments in the chosen project are needed.

It is difficult to name a specific amount; it all depends on the manufacturing company. But if you manage to agree with the manufacturer to receive the goods for sale, you can avoid large investments. You can pay after the product is sold, but the price in this case will be higher than if you pay in advance.

If you have the opportunity to pay for the goods immediately, then the size of the investment will largely depend on the type of product and the volume of the purchased batch. It is also worth including in the business plan the costs of transportation, warehouse rental, office space, personnel recruiting, legal and accounting services.

How to become a dealer without investment?

If you were unable to raise start-up capital, you can become a dealer without investment. There are several ways to do this.

Sales of products to order

Perhaps by looking at price lists on specific product, you might have seen the “To order” mark next to the “Price” line. This means that you first need to deposit money into the specified account, after which it will be transferred for use. The algorithm for executing this scheme is as follows:

• the manufacturer signs a contract with the supplier for the supply of products at a dealer price;
• the products are put up for sale at the dealer’s outlet (not the product, but the name of the unit in the price list);
• the buyer makes an advance payment, which makes it possible to purchase the goods from the manufacturer;
• the purchased goods are sent to the buyer, who, in turn, deposits the rest of the money into the dealer’s account.

This scheme is suitable for goods in the mid-price category. Everyone will buy inexpensive products in the nearest store, albeit at an inflated price, but without waiting. For items that are too expensive, an office or store is required. For example, automobile intermediaries rent large areas for showrooms.

Providing goods for sale

Today, many manufacturers provide their goods for a certain time, during which the intermediary must sell it. After the end of the agreed period, the products must be paid for, and 1-3% higher than if the dealer paid without installments. The possibility of return is specified in the contract. Most often, if the goods are not sold in full, the full price must be paid, which increases the risk of financial losses for the intermediary.

Free testing

In some cases, the manufacturer agrees to send free samples their products, which help to test them, present potential buyers. For an intermediary, such a scheme is extremely profitable, but, unfortunately, today manufacturers rarely agree to work under it.

If the idea of ​​becoming a dealer doesn't suit you, consider

Who is a dealer? Why becoming a dealer is a great start for aspiring entrepreneurs. Is it possible to become a dealer without investment? Where to look for employers.

A dealer is an individual or legal entity that carries out retail trade goods purchased in bulk from a manufacturer or distributor. Selling a finished product is the most common business in the world. He demands small investment, as a rule, paying off in short time. Many successful businessmen today with large capitals began by representing the interests of another large company. Therefore, aspiring entrepreneurs are wondering what they need to do to become a dealer.

What to do to become a dealer

Getting started isn't that difficult. If you decide to try yourself in this field, answer the questions:

• What product will you be selling?
• Where will you get this product?
• What trading method will you use to sell the product ( a store on the market, pavilion, warehouse, online store)?
• How much money are you willing and able to invest?
• Who will you sell the product I have chosen to?
• What form of cooperation with a manufacturer or supplier are you interested in?

Once you have roughly decided on the product, the form of cooperation with the employing company and the method of implementation, you can begin to look for a company that suits your wishes.

Finding an employing company

Companies are interested in selling their goods through dealers, since this takes less money and resources than creating their own retail network. There are many offers of cooperation, so in most cases there are no problems with finding and choosing an employing company. It is more difficult to convince company representatives that it is you who will sell their product. Often the company producing the product has a list of ready-made requirements for its dealer. They include having experience in successfully selling various products in retail networks. However, if you are convincing during the interview and show yourself to be an adequate partner, then it is quite possible that the manufacturer will be satisfied with your candidacy.

Moreover, not all companies choose their dealers. Many manufacturers sell a trial batch of goods to everyone, and the better the dealer sells units of goods, the more discounts and bonuses he receives.

Registering activities

In order to carry out trading activities, you must register with the tax authorities. Most beginning entrepreneurs register as individual entrepreneurs, as it is easier. However, it should be remembered that both individual entrepreneur registration and legal entity registration have their advantages and disadvantages. To summarize, an individual (IP) is personally liable for his debt obligations with personal property, and also cannot share a share in the business with his partner. There are many more requirements for a legal entity (for example, the presence authorized capital, a complex system for withdrawing profits, etc.), but at the same time they are taken more seriously and cooperate more willingly. In addition, when creating a legal entity, you can divide the shares of the business between partners.

If you want to be a dealer, the business registration form must be discussed with your partner. But in most cases, registering as an individual entrepreneur will be enough for you.

A dealer certificate is a document that confirms your right to sell products from a certain manufacturer, and also serves as a guarantee of quality from the supplier company for the end consumer.

We are looking for clients to sell goods

The most important part of any business is the customers. Therefore, it is worth paying a lot of attention to searching and attracting buyers. If you are selling a product from a well-known manufacturer, then for successful sales it is important to choose a good location for your store or properly set up SEO when it comes to online sales. If the product is not so well-known, then it is worth investing in its promotion. Therefore, immediately ask yourself the question: can I convince the buyer that he needs the product? How will I do this?

Many successful small businesses reselling goods began precisely because the entrepreneur had clients. A friend of mine has her own store of orthopedic pillows. She started her business not by searching for suppliers, not by registering an individual entrepreneur, and not by opening a store. She did joint procurement for my large family at a wholesale price from the warehouse, but in the end, due to the move, I was forced to sell the pillows. A friend wrote the price in the sales advertisement not as wholesale, but as retail. The pillows sold surprisingly quickly, and she was glad that she got rid of them so easily and even profitably. As a result, they began to recommend her to friends as a person from whom they could buy quality pillows, and she received calls and messages. After that, she decided to purchase another batch of pillows for sale, and about six months later she opened her own retail warehouse store.

Warehouse store is a fairly common business format for new dealers.

How much money do you need to invest?

Dealers, especially beginners, often wonder how much to invest in a business and what exactly to invest in, as well as whether it is possible to become a dealer without investment.

In any case, you will have to invest. But the size of the investment will depend on your ability to negotiate with the supplier and the conditions under which you cooperate. By saving on some items, you can minimize investments, thereby reducing risks.

To understand what you can save on, let’s look at where the dealer invests:

• for the purchase of goods (direct payment for the goods);
• for storage and transportation of goods (warehouse rental, trading floor, payment for cooperation with a transport company);
• advertising and sales costs.

If you negotiate well, it makes sense to save on the first point by agreeing with the supplier to purchase goods for sale. That is, first you sell the product, and only then pay for it. But this option has its own risks and is also less profitable, since the price for goods for sale is usually higher.

Large suppliers often help their dealers with market promotion, advertising and marketing, providing their own developments, but the organization of promotions is usually undertaken by the dealer

If you want to try yourself as a dealer, but are not yet ready to invest your own funds, you can try a “demo version” of this activity by working as a regional employee (for example, a sales representative) of the company whose products you are interested in promoting. This way you will gain the experience necessary to start and, if it is successful, you will earn money without your own investments. But the income with this method of earning will be significantly lower, as well as the risks.

Where can a dealer look for employers?

Nowadays it is very easy to find a supplier or employer. There are many resources on the Internet for finding partners. The most famous of them are:

1. “Russian Manufacturers” - on this site all Russian manufacturers can leave a request to find their dealer, and dealers can find a request and contact the supplier. All products are conveniently divided into categories, which makes it much easier to find what you need and what is interesting.
2. “Suppliers.ru” - this resource was created to ensure communication between suppliers and buyers. Here you can also easily find the product and supplier you need. Moreover, this can be either a manufacturer or a distributor (a person who purchases goods in large wholesale from the manufacturer and sells them in smaller quantities to dealers).
3. “I am a dealer” is not only an extensive catalog of dealer offers, but also informational assistance to beginning dealers; here you can read the latest news in the business world, as well as find a lot of useful information.

Using these and other resources, study market offers and choose partners that interest you.

How to become a successful dealer

To become a successful dealer, you need to constantly develop yourself and your business. This includes an increase in client flow, improvement of business design, and pumping personal qualities, and search for more qualified personnel.

Sell ​​a popular product

In order to successfully sell a product, there needs to be demand for it. If you try to sell sleds in Thailand, then most likely, no matter how talented a seller you are, you are unlikely to succeed in this enterprise. The time when you could sell anything is long gone. People are wary of new offers and products, as well as intrusive advertising.

Form your client base and constantly expand it

A dense flow of customers ensures good profits and success for the dealership. Therefore, it is important to form and maintain a customer base. To do this you need:

1. Analyze the market. Where do your clients spend their time? What are they buying? What need will your product satisfy?
2. Collect buyer contacts. To offer a product to a buyer, it is important to know how to contact him. Exist different ways collecting contact information about your potential client. It's like online databases that are collected using parsing (if sales are carried out in in social networks), and offline databases for working over the telephone. If you plan to sell goods through a store, you can issue savings cards to customers indicating their contact information, in order to inform them about discounts and bonuses later.

Appreciate regular customers

It is important to recognize regular customers by sight, provide them with bonuses and create loyalty programs. If customers see your good attitude towards them and your unique approach, they will come back to you again and again, and also recommend you to their friends, which will ensure constant sales and even expand your base due to positive reviews.

Create a positive image

To sell your or someone else's product well, it is important to make a positive impression on people. It’s also endearing appearance, and manner of communication, and the ability to negotiate, respecting the interlocutor and showing moderate persistence in the presentation of one’s ideas. It is important to be able to convey information not only verbally, but also non-verbally. Gestures, voice, manner of communication, gaze can also affect the impression of you and, accordingly, the decision to cooperate. Therefore, you need to create an image of a successful person who knows what to do and who you can trust.

In almost every successful company There comes a time when it is necessary to expand the geography of sales in order to increase the number of consumers of manufactured products and make a profit. At this stage, the company initiates a search for a person who could perform the functions of promoting the product in a certain region of the country or abroad.

We are talking about a dealer - legal or individual who purchase the company's products at special conditions and at wholesale prices for subsequent sale at retail or in small wholesale. This is the so-called intermediary between the manufacturing plant and buyers (other intermediaries).

Taking into account the fact that the dealer is the largest wholesale buyer, he is given exclusive rights to the product, purchasing it with all kinds of discounts at the lowest prices.

Such conditions are beneficial, among other things, to the manufacturing plant, which, in addition to increasing volumes, also receives product representation in an undeveloped region, plus the opportunity to shift some of the important organizational issues to an intermediary.

Selection criteria

Cooperation with a large company presupposes that the dealer has the ability to withstand competition from other contenders for occupying this niche.

When choosing a dealer, companies pay attention to:

• presentation of the enterprise (photos, infrastructure, characteristics of activities, etc.);
• experience in this field and the presence of an established client base;

• region of residence (doing business) and knowledge of the situation in this region: knowledge of the region’s capacity in services and products; the concept of the component shares of the main sellers in the market; having an idea about the activities of competitors; having knowledge of key clients in the market plus maintaining contact with consumers on an ongoing basis;
• stability financial situation, readiness for investment (construction);
• availability of technical base and staff of qualified employees;
• interest in product promotion;
• favorable for potential clients location of infrastructure facilities, including proximity to major highways, convenient access roads, etc.

The standard period established for reviewing applications and making a decision varies from one to one and a half months.
If the decision in favor of one or another official dealer is positive, a dealer (service, distribution) agreement is concluded with the latter for six months (considered as a probationary period).

Opportunities for business efficiency

Representation of the manufacturer for the subjects of the dealer network means great opportunities used to ensure the efficiency and profitability of the business.

This:

• receiving discounts from list prices plus bonuses for worthy fulfillment of dealer obligations;
• guaranteed centralized delivery of goods to warehouses;
• additional training for service, sales and marketing specialists;
• participation in special leasing programs, including the opportunity to purchase equipment for service centers for leasing.

In addition, when carrying out activities, the dealer receives from the manufacturer full marketing, technical and advertising support (providing advertising products, technical literature, organizing exhibitions, etc.).

Required documents

If you are interested in an offer to become an official dealer of a manufacturer, you may be asked to prepare certain documents.

Namely:

• documents confirming the status of an independent legal entity in the proposed region;
• completed application form plus evaluation paper, where information about the enterprise, its location, sales, team and readiness to invest is indicated;
• business plan as part of working with the manufacturer, taking into account the above aspects.

These documents are usually sent to a representative of the dealer network development bureau. Next, the applicant will be provided with more detailed information related to the requirements for entities of the manufacturer’s dealer network, as well as a list of mandatory documents, the presence of which is mandatory for consideration of the application.

Start-up capital and availability of required infrastructure elements

There is no unambiguous wording for answering the question about the dealer’s startup costs. It all depends on the manufacturer and their requirements, the circuit used and the dealer’s own experience. For example, if you intend to become part of the dealer network of KAMAZ PJSC, you need to be ready to invest in maintaining working capital for the purchase of products. This is about 10-12 million rubles for cars and exactly the same for spare parts.

Even at the initial stage, it is necessary to provide 5 million (up to six months) and 12-13 million rubles over a period of one and a half years for the development of the infrastructure of the dealership center.

If you manage to reach an agreement with the manufacturer regarding the receipt of products for sale, you will be able to avoid large investments and pay the company after you sell the goods.

However, the price with such a scheme will be an order of magnitude higher than if you paid the fee right away.

If you are ready to pay for the goods immediately, the amount of investment will depend on the volume of the purchased batch and the type of goods.

In addition, you will need to take care of the presence of the required elements of dealer infrastructure in the proposed region (taking into account the declared status).

You will need:

• a protected area intended for receiving and storing products;
• warehouses with conditions for loading and unloading;
• service center under management, ready to carry out all operations;
• sales and purchasing office space for staff plus a relaxation area for clients.

The type of activity under consideration has many pitfalls; it requires the presence of certain personal qualities and the fulfillment of a number of requirements of the manufacturer. At the same time, this is a very interesting and profitable activity, in which success can only be achieved with a competent and balanced approach.

home » How to earn » Become a company dealer in your city. Dealer activity: features of earnings and possible risks. What you need to get started