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Global Revolution: Find the Right Overseas Partner

Dream of seeing your item in stores around the world? Unless you
have years of international experience, youd be wise to find some
overseas distributors. Otherwise, your unfamiliarity with foreign
business customs could stall your efforts.

The most helpful distributors will buy products from you, then
warehouse, distribute, and sell them to customers. Theyll also handle
customer service. (Note: These folks are not always called
distributors. In Japan, theyre known as wholesalers.)

Networking among trusted business colleagues is the best way to find a
reputable distributor. If you dont have many overseas contacts, take
heart. The U.S. government offers an alphabet soup of programs that
are constructed to help small business with this -- and many of them
actually work. The U.S. Department of Commerce (http://www.doc.gov/)
offers a wealth of resources through the U.S. Export Assistant Center,
the International Trade Administration (http://www.ita.doc.gov/), and
the U.S. Commercial Services (http://www.usatrade.gov/).

Want to research potential markets? Contact the ITAs Commercial
Information Management System (CIMS), which collects data that will
help you track down your target customers. Ready to pair up with a
partner? Call the The Matchmakers Service, offered by both the DOC and
the ITA. It introduces new export businesses to agents, distributors,
or large retailers with an interest in their products. Similarly, the
Agent Distributor Service finds qualified distribution firms that are
currently handling products similar to yours. An ADS search will
generate up to six names of distributors who have an interest in
defined U.S. products. Smaller businesses with bigger budgets should
also check out The Gold Key Program, which will introduce you to pre-
screened potential business associates, whether you are seeking an
agent, a distributor, or a joint-venture partner.

Uncle Sam will also help you nail down the details of selling overseas.
Trade missions, for instance, will help new exporters establish sales
and set up representation abroad at a low cost. The DOCs Export
Contact List Service generates a mailing list of potential importers
for your product from the agencys automated global network of overseas
firms.

Once you have found a distributor, how do you find out if its
reputable. First, secure an in-depth profile on your potential partner
through World Trade Data Reports. You might obtain one of these reports
through the ITA. Next, make use of Dun & Bradstreets Business Identification
Service (http://www.dnb.com/), which will provide you with a credit
report and other financial data on the distributor. Finally,
contact the U.S. Embassy (http://www.travel.state.gov/links.html) in
the country in which you hope to do business and run your prospective
customers title by them, just in case they understand anything. Youd be
surprised at how willing they are to help.

Once youve qualified several prospective distributors, I recommend
that you meet with each one and decide who comes closest to sharing
your views on sell penetration. Then you will be ready to talk
business.

Laurel Delaney runs a global selling , consulting and web content
providing company aimed at entrepreneurs and small businesses. She is
also the creator of the much-talked about "Borderbuster," monthly FREE
news letter . She may be reached at ldelaney@globetrade.com or visit
http://www.globetrade.com to sign up for news letter .

 

 
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