UK distributor Advice Pls.....

WinnieJ

Hi
I am currently using a US product that is not availble here and it's expensive to get it here which would put UK buyers off. It has just been on Oprah and think its just a matter of time before it comes to the UK as is getting bigger and bigger in the US......

I am therefore thinking of asking the company if I can becaome their sole UK distributor but have no idea how to go about it. I work full time and have millions of questions. Apparently the guy who became the UK distributor for Titleist golf balls in the UK made his millions this way!

Not sure if this is the right place but can anyone please advice me what being a distributor entails and what considerations I need to take? I am going to put a proposal together to the company so anyone who has advice on how to deal with US companies also very appreciated.

Any advice much appreciated.

Winnie

WinnieJ

Have I posted in the wrong place? Please tell me if I have!

Winnie

GiveItBack

Hiya

The right place I think, but perhaps no-one has any ideas yet? I've been mulling it over - I don't have a clue, but something might come to me, or I might figure out someone who knows.

I imagine the first thing they'd look for is a distribution network. Experience of this kind of thing? Otherwise, I don't know..

jack*tigger

I would say - being an armchair expert !! - that you would need to do some research first.

ASk the US manufacturer
1. Do they already have someone lined up to be UK distributor?
2. If no are they looking for someone?
3. What are the pre-requisites?
4. How much will each unit cost you?
5. Do they have any set mark up etc?

In the UK
1. Have people heard of it?
2. Do people want to buy it?
3. How much would they pay?
4. Are there any shops that would sell it for you?

Then you need a business plan.

1. How much stock do you need to buy?
2. Do you need a web page?
3. Do you need staff?
4. How are you going to distribute?
5. How much is all this going to cost?
6. How are you going to finance it?
7. When are you going to make a profit?
8. Do you need a licence to import it?
9. Is it legal in this country? eg if its a diet supplement does it need to be licensed? Has it got a licence?

I'm sure there are a million and one other questions that need to be answered but these will do for a start.

Savvy_Sue

jack, I think you've made an excellent start.

The only thought I had was why the US company would want to distribute via the OP: she'll need to be able to tell them that at some point! I didn't post it as it didn't seem terrifically constructive ...

WinnieJ

Ahh you guys are great! Thank you so much, Jack you have loads on there I hadn't thought of so really very helpful thank you. Sorry I was being a little impatient but I am just excited to get stuck in!

Sue - sorry to be thick but what is OP? (overseas something?)

Thank you again
Winnie

rjh090384

original poster

WinnieJ

Savvy_Sue wrote: »

jack, I think you've made an excellent start.

The only thought I had was why the US company would want to distribute via the OP: she'll need to be able to tell them that at some point! I didn't post it as it didn't seem terrifically constructive ...

Sorry I don't understand Sue's post if OP is original poster.....

Savvy_Sue

Savvy_Sue wrote: »

jack, I think you've made an excellent start.

The only thought I had was why the US company would want to distribute via the OP: she'll need to be able to tell them that at some point! I didn't post it as it didn't seem terrifically constructive ...

As well as all the points Jack raised, you need to be ready to explain to the US company why they should choose YOU as their sole UK distributor. Do you already distribute similar products (so you have a ready made customer base)? do you have a track record of supplying goods in the UK? have you dealt with overseas suppliers before?

Or did you see this thing on Oprah and think "Wow, they should let me sell that over here, I've never done anything like it before but I'm sure I'd make a mint ..."

Does that make more sense now?

Tozer

Read up on the distinction between being a distributor and an agent - the terms get confused massively but the legal distinction is huge!

WinnieJ

Hmmm more good advice, thank you.

It is a product system I have been using for a while but it is too expensive for most Brits to buy in the UK as they add on high overseas postage etc....I believe in the product, have used the product and know a few people here are starting to hear about it and think once it's made Oprah there is a good chance it will gradually move over here....

Nope never done anything like this and currently work for as a engineer! So very different but should that stop me??? Big leap of faith I know. Scary but.....am I setting myself up for a big fall?