Distributor of a foreign company in Russia: how to start a business not from scratch. Distributor of a foreign company in Russia: how to start a business not from scratch Types of distribution activities

Each of us has heard the word “distributor” many times, but not everyone has had to think about how to become a distributor. We are all looking for ourselves in this life, and the profession of a distributor presupposes freedom, including financial freedom.

A distributor is a trading company that purchases products from manufacturers on favorable terms and sells products on regional markets. The distributor company is the second link in the trade chain, it comes immediately after the manufacturer.

How to become an official distributor?

The secret of the distributor's profit lies in the fact that he works with manufacturers on the most favorable terms, receiving privileges and the maximum possible discount on products.

What are the responsibilities of a distributor? He must conduct active sales according to a well-chosen work scheme. The key to success will be energy, enterprise, and the ability to conduct and conclude profitable deals. Here is the main list of distributor responsibilities:

active search for clients;
conducting product presentations;
signing contracts and concluding transactions.

What does it take to become a distributor?

Anyone who has the necessary natural qualities and has a burning desire to earn good money by working for themselves can master this profession. If you wish to become a distributor for a specific company and are already an individual entrepreneur, you must simply submit an application to the manufacturer. Attention, you should choose companies for cooperation carefully! Give preference to the most well-known companies with extensive experience, length of service, and a good reputation. Don’t be lazy to compare the terms of cooperation, calculate the benefits and economic effect, look for pitfalls. Choose the best, this is the only way you can get ahead of your competitors and offer your to potential customers the highest quality products at reasonable prices.

When your application is reviewed, you will receive a response. If the decision is positive, the company’s specialists will contact you and they will clarify all the details of the cooperation. Collaboration can be regular or remote. Normal cooperation takes place within one locality or district, and remote cooperation occurs within different regions or when searching for clients through a.

Now you know in more detail about how to become a successful distributor. Work, move forward, learn and act, and then success, luck and financial well-being will definitely become constant companions of your business!

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 work. 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 the 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 products for free is a great success for a newbie.

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 of a 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 may sell industrial equipment because he has specific knowledge in that 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?

Interested in how to become a sales representative for a company? 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 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 completely justified, since products intended for children must be of high quality. If you open your 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 an enterprise, you can install several in educational institutions or shopping centers. 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.

For example, a mechanic may sell industrial equipment because he has specific knowledge in that 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 representative of a company 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.

Distributor of a foreign company in Russia: how to start a business not from scratch

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.

Lack of permanent salary;
Large risks of losing start-up capital.

Where can I find a company? Interested in how to become a sales representative for a company? 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.

How to become a manufacturer distributor

If you are given this opportunity, don't miss your chance!

Conclude an agreement with a foreign company, according to which you will be given a certain time to sell the products, after which only you will have to contribute money.
Enter into an agreement with a foreign manufacturer and collect orders from suppliers and dealers, that is, work on full prepayment.

A manufacturer can have any number of distributors, just as a distributor can have an unlimited number of suppliers. Also, you will need to correctly compose an email in which you need to indicate your work experience, the advantages of cooperation with you, the market situation in your country, opportunities for selling products in your region, etc.

How to become a distributor of a foreign company?

First of all, it will be necessary to study the specifics and basic conditions of work of a foreign company with distributors, as well as familiarize them with the peculiarities of Russian conditions. In this case, you will also need to make several foreign business trips and conduct presentations in a foreign language.

Important

Such negotiations and approvals require significant time and additional effort - you will have to independently study a lot of additional information, be prepared to explain a lot and convince partners of the economic profitability of the project, and negotiations will have to be conducted at the international level and according to international business standards. Here it is very important to competently prepare and conduct negotiations and presentations to foreign potential partners.

It is very important to study all the nuances of cooperation, prepare a competent business plan and presentation, and present a forecast plan for procurement and sales.

How to become a distributor: 7 detailed steps

Therefore, the responsibilities of the distributor include promoting the product on the market, expanding the target market and constantly searching for buyers. What needs to be done to become a distributor Those who are interested in this profession are primarily interested in how to become a distributor of a particular company.
To do this, it is necessary to conclude a special distribution agreement and receive an official certificate, which is certified by the general director of the manufacturing company. After this, you can begin to distribute the product, which the supplier provides to the distributor at the price that they agree on in advance.
However, the above is relevant for cooperation with large manufacturers, and if we are talking about the product of a company engaged in small business, then, most likely, you will first have to cooperate on a dealer basis, that is, completely purchasing the product from it.

How to become a successful distributor in your region

Based on the specifics of the product and the current situation on the market, a foreign manufacturer may have one distributor or several; this determines the main terms of the contract between the manufacturer and the distributor. The current market situation and the specifics of the goods also determine the conditions for organizing the dealer network and the intensity of the distributor’s work.

Some foreign manufacturers already have some kind of representative office or simply an office in the importing country, then establishing interaction with the manufacturer-supplier is quite simple, since company representatives are already well acquainted with the peculiarities of Russian business and it will be easier and faster for you to agree on everything with them . If a foreign company does not have any representatives in our country, then establishing contacts will require much more time and good command of a foreign language.

How to become a distributor?

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 the region without significant financial investments, choose a market segment that includes goods whose cost ranges from 5-20 thousand.

rubles

How to become a distributor

Attention

You should also take into account all possible risks due to the unstable economic situation in the country, fluctuations in the exchange rate, etc. A foreign manufacturer will most likely give preference to a company that has its own warehouse, transport and a well-functioning work scheme.

In addition, you will periodically need to travel abroad and deliver goods from there, which also requires certain material costs. If the desire is still too great, try the following options:

It is very rare, but it still happens that the manufacturer is ready to send free test samples of the product. This type of work is more typical for small young enterprises.

How to become an official representative of a company in your city?

It is also important to note that such contracts provide for the supply of goods on an advance payment basis. There may also be some additional conditions regarding the timing of the return of defective or non-marketable products and other restrictions.

In some cases, such a work scheme may not be very acceptable. In any case, whatever work scheme you choose for yourself, it is necessary to study in advance, negotiate and clearly state in the contract all the terms of the partnership.
How much money do you need to invest and is it possible to do without capital investments? In general, organizing any business requires at least minimal capital investments. If you do not have the opportunity or desire to make the necessary start-up expenses, then in this case, then offer your foreign partner to distribute the upcoming financial expenses between the parties or postpone them over time.
You need to realize that you will make money in distribution only in the long term, when you learn to negotiate with suppliers and form a customer base. You need to devote all your time to this. This cannot be regarded as an additional business. Try the product When you decide on the products you want to bring to the Russian Federation, it makes sense to order testers. Better yet, don’t skimp and spend 100-200 thousand rubles: get a visa to the country where the product is produced and go to the exhibition.

Consider different brands, try it for yourself, talk to company representatives. We fly to such exhibitions every year. Ask the right questions When choosing a supplier company, I always pay attention to the quality of the packaging.

How to become a distributor - who is he and what does he do + 7 detailed steps + recommendations for cooperation with foreign companies.

The concept of “distribution” is familiar to many, although this branch of activity is relatively new in post-Soviet countries.

But despite this, many are interested in the question how to become a distributor.

In fact, it is not difficult, but before choosing such a profession, you need to familiarize yourself with its features and operating principles.

Who is a distributor?

Before moving on to considering how to become a distributor, it is worth finding out who it is.

The word “distributor” is of English origin (distributor) and translated means distributor, distributor.

Speaking in the language of economics, this is an individual (in the form of an individual entrepreneur) or legal entity (enterprise) that purchases goods at low prices directly from the manufacturer for the purpose of their further sale to buyers, dealers or other sellers.

To put it briefly and simply, a distributor is between the manufacturer and the buyer or sellers.

There are several schemes for the movement of goods:

with one or more dealers

Manufacturing company → Distributor → Dealer → Retailer → End consumer

without a dealer

Manufacturing company → Distributor → Retailer → End consumer

direct sales (most often used in network marketing)

Manufacturing company → Distributor → End consumer

As you can see, in the chain of movement of goods from the manufacturer to the final consumer, no matter how long it is, the distributor will be in second place.

He can sell products to dealers, or he can immediately provide them to customers.

The main difference between a distributor and other intermediaries is that he is the official representative of the manufacturer and has the exclusive right to distribute products in a certain territory.

At the same time, a contract is concluded between them, which will describe the terms of cooperation, including the pricing policy.

The distributor's income, in turn, is a discount provided by the manufacturing company.

What types of distributors are there:

general - has the fundamental right to distribute the goods on his own;
exclusive - has the sole right to distribute the product in a certain territory. Most often, such distributors form a network of official dealers and sell goods through it.

One manufacturer may have several distributors, and those, in turn, may be representatives of several companies.

What is the difference between a distributor and a dealer?

Many people confuse a distributor with a dealer, because both act as intermediaries and sellers of goods.

The main differences between them are not stated anywhere in law, because the terms of their cooperation will be specified in contracts.

But generally speaking, the distributor sells goods only in wholesale quantities, and the dealer most often works for small wholesale and retail.

Criterion	Distributor	Dealer
Place in the chain of movement of goods	Second. He purchases goods directly from the manufacturer and can sell them to other intermediaries or end consumers.	Third. It purchases goods from distributors and sells them to retailers or end consumers.
Right to official representation	Only the distributor has the right to be an official representative, he acts on behalf of the company	Works on its own behalf, and therefore is more independent and mobile.
Purpose	Creation and development of a sales network. The distributor must constantly search for new dealers or retailers.	Sales and delivery of goods to the consumer as quickly as possible at a price favorable to the dealer.
Financial benefit	Most often, the price at which the distributor sells the product is indicated by the manufacturer himself. Thus, the representative receives a discount, which will be his income.	The dealer can independently set the price markup. Income will be the difference between the cost of purchase and sale.

How to become a distributor and what does it do?

If you are asking the question: “How to become a distributor?”, then you should know what exactly he does:

expansion and expansion of the sales network;
constant monitoring of the sales market;
promotion, with whom he collaborates;
searching for new dealers and retailers;
conducting an analysis of demand for goods in your region;
providing marketing services to dealers;
when purchasing electronic or household appliances and equipment, installation, configuration and warranty service.

Step-by-step instructions on how to become a distributor

So, if you are interested in how to become a distributor, then you should know that an agreement will be concluded between you and the manufacturer, which is called a “distribution agreement”.

It will state:

rights and obligations of both parties;
conditions for the purchase and sale of goods;
pricing policy.

Sometimes the manufacturer requires that the future distributor undergo a probationary period.

During this time, he can demonstrate his professionalism in the field of sales.

If everything goes well, then the distributor receives a certificate from an official or exclusive representative of the company.

Now let's move on to step-by-step instructions on how to become a distributor:

Choose the direction in which you want to work.

This could include food, household goods, household or electronic appliances, cars and much more.

To do this, analyze the market; perhaps some niches are not yet occupied, but there is a demand for them.

Also consider new companies that are not yet present in your area.

To do this, visit thematic forums and post advertisements.

Passive search for buyers can be done by creating your own website.

Perhaps potential clients will find you on their own.

Travel independently around the region in search of sales points.

To do this, you need to take samples with you and travel around your region with offers of cooperation.

It is important to be able to use your communication skills here.

Create a marketing and sales department.

For these purposes, you can use the Internet (social networks, thematic sites), outdoor advertising, and advertisements in local print media.

You will learn from the video what mistakes distributors often make in their activities:

If you are looking for an answer to the question: “ How to become a distributor?”, then decide for yourself how much time you are willing to devote to such activities.
Your income will directly depend on your desire to work.
If you are a student or a young mother, you can choose network marketing, in which case you will only spend half your working day.
And when collaborating with large manufacturers who produce expensive products, you can have millions in turnover at your disposal.
Therefore, choose a direction according to your capabilities and get to work.

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