Category: Shopify dropshipping

ALL YOU NEED TO KNOW ABOUT THE IMPORT ONE-STOP SHOP (IOSS)

This article is from European Commission website, and was republished and shared through Elksourcing with the permission of European Commission website.

Original link:https://ec.europa.eu/taxation_customs/business/vat/ioss_en#heading_0

The Import One-Stop Shop (IOSS) is the electronic portal businesses can use from 1 July 2021 to comply with their VAT e-commerce obligations on distance sales of imported goods.

According to the VAT rules applicable up until 1 July 2021, no import VAT has to be paid for commercial goods of a value up to EUR 22.

The new VAT e-commerce rules will abolish this provision as of 1 July 2021. Thus, from 1 July 2021, all commercial goods imported into the EU from a third country or third territory will be subject to VAT irrespective of their value.


What is the IOSS for?

The IOSS allows suppliers and electronic interfaces selling imported goods to buyers in the EU to collect, declare and pay the VAT to the tax authorities, instead of making the buyer pay the VAT at the moment the goods are imported into the EU as it was previously the case (for products over 22 EUR).

What are the advantages of the IOSS?

The IOSS facilitates the collection, declaration and payment of VAT for sellers that are making distance sales of imported goods to buyers in the EU. The IOSS also makes the process easier for the buyer, who is only charged at the time of purchase, and therefore does not face any surprise fees when the goods are delivered. If the seller is not registered in the IOSS, the buyer has to pay the VAT and usually a customs clearance fee charged by the transporter .

What is changing from 1 July 2021?

Online SellersElectronic Interfaces
From 1 July 2021 the value added tax (VAT) exemption for the importation of goods not exceeding EUR 22 will be removed. As a result, all goods imported to the EU will be subject to VAT.
The Import One-Stop Shop (IOSS) was created to facilitate and simplify the declaration and payment of VAT for goods sold from a distance by sellers from either the EU or from a non-EU country or territory. Furthermore, VAT payment is applicable only to purchases made by a buyer within the EU and for goods valued at less than EUR 150.
From 1 July 2021, the VAT exemption for the importation of goods into the EU not exceeding EUR 22 will be removed. As a result, all goods imported into the EU will be subject to VAT.
If the sale of goods is facilitated through an electronic interface to buyers in the EU, the electronic interface will be considered to have made the sale and is in principle liable for the payment of VAT.
The IOSS was created to facilitate and simplify the declaration and payment of VAT for goods sold from a distance by sellers from either the EU or from a non-EU country or territory. Furthermore, VAT payment is applicable only to purchases made by a buyer within the EU and for goods valued at less than EUR 150.

Which supplies of goods does the IOSS cover?

Online SellersElectronic Interfaces
The IOSS covers the sale of goods from a distance that are:
·dispatched or transported from outside of the EU at the time they are sold;
·dispatched or transported in consignments with a value not exceeding a total of EUR 150 (low value goods) even if the order contains more than one item;
·not subject to excise duties (typically applied to alcohol or tobacco products).
When an electronic interface facilitates the sales of imported goods from a supplier and the goods are:
·dispatched or transported from outside of the EU at the time they are sold;
·dispatched or transported in consignments with a value not exceeding EUR 150 (low value goods);
·not subject to excise duties (typically applied to alcohol or tobacco products).
The electronic interface is considered to have facilitated the sale of imported goods when it allows a buyer and a seller to enter into contact via that electronic interface, where the end result is the sale of goods to that buyer.

How does the IOSS work?

Online SellersElectronic Interfaces
Sellers registered in the IOSS need to apply VAT when selling goods destined for a buyer in an EU Member State. The VAT rate is the one applicable in the EU Member State where the goods are to be delivered.
Information on the VAT rates in the EU is available on both the European Commission website and on the websites of national tax administrations.
Electronic interfaces registered in the IOSS will pay the VAT due on sale by the buyer instead of the actual taxable seller in an EU Member State.
The VAT rate is the one applicable in the EU Member State where the goods are to be delivered. Information on the VAT rates in the EU is available on both the European Commission website and on the websites of national tax administrations.

How can you register for the IOSS?

Online SellersElectronic Interfaces
From 1 April 2021, you can register businesses on the IOSS portal of any EU Member State. If businesses are not based in the EU, they will normally need to appoint an EU-established intermediary to fulfil their VAT obligations under IOSS.
The IOSS registration is valid for all distance sales of imported goods to buyers in the EU. You can start using the IOSS only for the goods sold as from 1 July 2021.
The electronic interface can register on the IOSS portal of any EU Member State from 1 April 2021. If the electronic interface is not established in the EU, it will normally need to appoint an EU-established intermediary to fulfil the VAT obligations under IOSS.
This IOSS registration is valid for all distance sales of imported goods to buyers in the EU.
You can start using the IOSS only for the goods sold as from 1 July 2021.

What you need to do if you use the IOSS?

Online SellersElectronic Interfaces
·provide the information required for customs clearance in the EU, including the IOSS VAT identification number to the person declaring the goods at the EU border;
·show/display the amount of VAT to be paid by the buyer in the EU, at the latest when the ordering process is finalised;
·ensure the collection of VAT from the buyer on the supply of all eligible goods with final destination in an EU Member State;
·make sure that eligible goods are shipped in consignments not exceeding the EUR 150 threshold;
·to the extent possible, show on the invoice the price paid by the buyer in EUR;
·submit an electronic monthly VAT return via the IOSS portal of the Member State where you are identified for IOSS;
·make a monthly payment of the VAT declared in the VAT return to the Member State where you are identified for IOSS;
·keep records of all eligible IOSS sales and/or sales facilitated over 10 years;
·collaborate with the actual seller of the good(s) to ensure that the information required for customs clearance in the EU, including the IOSS VAT identification number, reaches the EU customs where the goods will be imported to.
·show/display the amount of VAT to be paid by the buyer in the EU, at the latest when the ordering process is finalised;
·ensure the collection of VAT from the buyer on the supply of all eligible goods with a final destination in an EU Member State;
·make sure that eligible goods are shipped in consignments not exceeding the EUR 150 threshold, even if this total is only achieved by more than one item;
·to the extent possible, show on the invoice the price paid by the buyer in EUR;
·submit an electronic monthly VAT return via the IOSS portal of the Member State where you are identified for IOSS;
·make a monthly payment of the VAT declared in the VAT return to the Member State where you are identified for IOSS;
·keep records of all eligible IOSS sales and/or sales facilitated over 10 years;

Some exceptions will apply

Online SellersElectronic Interfaces
You do not need to charge VAT on sales of goods in the following circumstances:
·You sell several goods to the same buyer, and these goods are shipped in a package amounting to more than EUR 150. These goods will be taxed at importation in the EU Member State;
·Your distance sales of goods are facilitated by an electronic interface such as a marketplace or platforms. In this situation, the electronic interface is responsible for the VAT due.
The EI does not need to collect and/or report the VAT on sales of imported goods in the following circumstances:
·The actual seller sells several goods to the same buyer and these goods are shipped in a package amounting to more than EUR 150. These goods will be taxed at importation in the EU Member State.

12 Time Management Apps to Organize Your Life and Keep You on Track

This article is from Shopify, and was republished and shared through Elksourcing with the permission of Shopify.

Original link:https://www.shopify.com/blog/time-management-apps

No matter who you are, you probably wish there were more hours in a day.

Time is a precious resource—you can’t stop using it and you can’t find more of it, but you need it to do absolutely everything. From scheduling meetings to fulfilling orders, time is behind every aspect of running a business and you can’t afford to manage it poorly.

Ineffective time management can take many forms. Whether it’s procrastination, personal distractions, or projects that take more time than they should, there are tons of things that waste our time every day. Wasted time means rushed deadlines, a work-life imbalance, and more stress and anxiety.

When it comes down to it, you just need to use the time that you have more effectively.

Thankfully, opportunities to manage your time better are everywhere. Here are 12 time management apps to help you free up your schedule, find time for your personal life, and focus on getting your work done.

Best time management apps for 2019

  • Toggl
  • Workflow
  • Shift
  • RescueTime
  • Timely
  • Trello
  • MyLifeOrganized
  • Focus@will
  • Pocket
  • Todoist
  • Remember The Milk
  • Harvest

1. Toggl

Toggl is an app you can use to track time spent on tasks, as well as manually add entries. Keep your entries organized by team, client, project, or tag. Add notes to the description so you can recall what you were doing at a later date.

If you’re managing a team, you can invite them to your project and keep everyone’s time in one place. Detailed reports will show you where you’re spending the most time. Paid users also get detailed insights from Toggl about how to better optimize their time based on their log.

Toggl is available on iOS and Android, as well as Mac. There is a free version, or you can upgrade to a Starter ($9/user/month), Premium ($18/user/month), or an Enterprise account (custom pricing).

Why Toggl?

  • See who’s spending time doing what and find ways to optimize time spent on those tasks.
  • Review your week, month, or even year to see what’s been dragging you down for extended periods of time.
  • Track everything, everywhere. With mobile apps, desktop apps, and browser add-on extensions, you can sync Toggl across devices and never miss a minute.

Interested in exploring how to build your own app for Shopify? Learn how to build a Shopify app on the Web Design and Development Blog.

2. Workflow

Workflow is a highly customizable app that shaves time off of the complicated things you do every day. With Workflow, you can create unique home screen shortcuts on your phone that perform batches of tasks with one tap.

Whether you want Google Maps to automatically pull up directions for your next meeting or you need to back all your photos up on Dropbox, you’ll be able to create custom apps to do it for you. Workflow boasts actions and integrations with apps like Facebook, Uber, and YouTube.

Workflow is one of the free time management apps, and it’s only available on iOS devices.

Why Workflow?

  • Workflow cuts down on wasted time by automating complex tasks you do on your phone.
  • Workflow is quick and easy, letting you create new apps and shortcuts with simple drag-and-drop commands.
  • Workflow is versatile and can operate from inside other apps like Safari and Evernote.

3. Shift

Shift is a desktop tool with a main focus to help you organize your email, especially if you have multiple accounts. But it also integrates with apps like Trello, Calendly, and even Airbnb.

The idea is that you can quickly shift from one account to another, with a single click. This will switch you over to your other account entirely, rather than logging out and logging back in for each platform individually. If you pivot from project to project multiple times a day, Shift can help you maintain your sanity.

Shift Basic is available for free on Mac computers, or you can upgrade to Pro for $29.99/year or Advanced for $99.99/year.

Why Shift?

  • Shift is a reliable way to free up your inbox and help you spend less time going through email.
  • Shift helps you focus on the task at hand instead of jumping from project to project.
  • Shift will keep your team organized and streamline access to different tools and apps across your business.

4. RescueTime

RescueTime is a time-tracking app that records how and where you spend your time online. The productivity app analyzes everything you do in a day—from which other apps you use to how much time you spend on your favourite websites.

If you want to eliminate the distractions in your life and get your work done quicker, RescueTime is a fantastic way to discover exactly which behaviours have been holding you back. To help you focus on hitting your goals, RescueTime Premium can even temporarily block your go-to procrastination websites.

RescueTime is available for iOS and Android; OS X, Windows, and Linux. RescueTime Lite is free, or you can pay $9/month (or $72 for the year upfront) to access Premium features.

Why RescueTime?

  • RescueTime stops you from wasting time with reminders that alert you when you’re spending too much time on a specific task.
  • RescueTime helps you understand how you spent your day by providing you with in-depth reports and daily highlights.
  • RescueTime helps you get stuff done quicker by finding new ways for you to organize your day and spend your time properly.

5. Timely

Timely is an innovative time-tracking and schedule app that not only keeps tabs on how long projects take, but also helps you organize your workweek more efficiently.

The app lays out your workweek in advance and lets you estimate how much time you’ll need to set aside to tackle your daily tasks. As you track your time, you’ll be able to compare your predictions with how long it actually took you and plan your schedule better in the future.

This top-down approach to time-tracking lets you manage your time more effectively and put an end to projects that run wild and out-of-scope.

Timely is available for iOS and Android, Mac and Windows, and as a browser application. Solo plans for individual users start at $7/month.

Why Timely?

  • Timely keeps your team on track and gives you a more realistic idea of how much time projects eat up.
  • Timely holds you accountable to the amount of time that you set aside for work.
  • Timely helps you understand how your workweek plays out and helps you plan your next one.

6. Trello

Trello is a flexible project management web application that lets you easily sort through your tasks and collaborate with your teammates. Instead of getting lost in a mess of emails or a confusing spreadsheet, Trello visualizes your projects as lists pinned to digital bulletin boards.

Each list is made of individual posts called cards, which can represent anything from tasks to ideas to goals. Team members can add comments, attachments, checklists, and custom labels to cards, keeping everyone on the same page.

Whether you’re looking for a way to track the progress of big projects or organize your latest brainstorming session, Trello can be customized to fit your team.

Trello is available on iOS and Android, as well as Mac and Windows. There’s a free version, or you can upgrade for more features with a Business Class or Enterprise account.

Why Trello?

  • Trello is fully customizable. Every business is different and Trello adapts to your needs, whatever they may be.
  • Trello keeps you organized by consolidating all of your projects and team communication into a single environment.
  • Trello makes every project easy to follow and lets your digest entire workflows at a glance.

7. MyLifeOrganized

MyLifeOrganized is more than just a to-do list. Use the daily planner app to easily drag and drop, star, flag, and organize tasks in a simple, elegant interface. If one of your tasks is so big it’s daunting, use the app to create subtasks to help motivate yourself to make progress.

Some of MyLifeOrganized’s paid features include automated “smart lists”—essentially, the app uses the deadlines, tasks, and prioritizations you’ve put in to determine which items need your immediate attention. You can also use it to set geo-based reminders, so the app will ping you whenever you’re near one of your indicated locations.

MyLifeOrganized is available for both iOS, Android, and Windows. There are several pricing options available, ranging from free to $59.95.

Why MyLifeOrganized?

  • Let MyLifeOrganized keep you on task. Instead of tracking your own progress, the app will break down big projects into more digestible steps and let you know when you need to do something right away.
  • Quickly add new tasks without entering the app. Send MyLifeOrganized an email, and the app will take care of the rest.
  • Stay on task across devices. Paid subscribers also get cloud-based access.

8. Focus@will

Focus@will is a unique time management app in that it helps you maximize your time better. The app plays music and soothing sounds which are scientifically proven to boost productivity and focus.

Choose playlists based on what you do (entrepreneur vs. student) or the type of learner and worker you are (creative vs. logical). According to the company, there’s a specific type of music for each individual that will put them into their “flow state.” By entering a bit of information about yourself, focus@will will play music optimized for you. Then hit play and get to work!

Focus@will is currently available for Android and Mac, and the iOS app will be released soon. You can sign up for an individual account at $8.33/month if you pay for the whole year, or $9.95/month if billed monthly. There are also team accounts available.

Why focus@will?

  • It’s completely customized to your unique productivity style. Find the music and sounds that make you do your best.
  • Science has confirmed it. focus@will has read up on studies and conducted a few of their own, like this one. The common consensus is that you can boost your productivity by up to 4x.
  • Use focus@will across devices, uninterrupted. Whether you’re working from home or listening to headphones at the office, you can pick back up where you left off.

9. Pocket

Pocket is a bookmarking app that lets you save web content to come back to later. Even on your most productive days, it’s easy to be thrown off track by one interesting article. Pocket lets you save everything in one place so you can read or watch it later, after you’ve gotten your work out of the way first.

Not working? Stay unplugged and save work-related content to refer back to when you are in the office so you can enjoy your time off.

You can also browse content within Pocket, which will serve up recommendations based on your preferences. The app works with over 1500 different apps, so no matter where you find interesting content, you’ll be able to save it for later.

Pocket is available for Android and iOS, Mac and Windows, and has several browser extensions. You can sign up for a free plan or choose to pay $5/month or $45/year for access to more features and no ads.

Why Pocket?

  • Pocket stops you from getting distracted by giving you the option to save what you’re looking at for later and make the most of your time.
  • Pocket helps you organize your day and separate work time from learning time.
  • Pocket makes it easy to discover new content, so when you do finally decide to dive in, you’ll have no shortage of reading material.

10. Todoist

Todoist is another task-management and organizer app that can help you stay on top of everything that needs to get done. You can also use the calendar view to get a glance at your week or month ahead.

Add daily habits and recurring tasks and deadlines so you don’t have to manually input repetitive tasks every time. Use color-coded prioritization, and get the satisfaction of seeing your progress toward task completion.

Todoist is available on Android, iOS, Mac, Windows, and browser add-ons. Like many of these time management apps, Todoist has both free and paid options. Todoist Premium starts at $3/month for individual accounts, and Business accounts start at $5/user/month.

Why Todoist?

  • Todoist integrates with hundreds of apps so you can stay on top of everything you’re doing.
  • Offload some of your tasks with Todoist’s team delegation features.
  • Todoist has several templates to choose from. You don’t need to start from scratch to build your to-do list dashboard.

11. Remember The Milk

Ever run to the grocery store for milk and get everything but the milk? That’s the premise Remember The Milk was built on, and it’s expanded beyond just grocery shopping lists. The time management app will help you stay on top of the milk and much more.

Remember The Milk is a to-do list app that allows you to organize tasks by color-coded tags, as well as break larger projects down into subtasks. Attach files from Google Drive or Dropbox and share you lists with others so they stay on the same page. The app can send reminders via email, text, IM, and even Twitter.

Remember The Milk is available for Android, iOS, Mac, Windows, and browser extensions. There’s a free version available, and paid access starts at $40/year.

Why Remember The Milk?

  • Organize multiple task lists and use the app’s Smart Lists feature to create new lists based off of searches.
  • Stay connected even when you’re not. Remember The Milk syncs across all devices, even when they’re offline.
  • Never stop building lists. Remember The Milk will let you create an unlimited number of lists, so go crazy!

12. Harvest

Harvest is a time- and expense-tracking app that can help you shift your mindset and start thinking about time as a finite resource. The app has robust time-tracking features, and it’ll share easy-to-understand visual reports on how you and your team are spending your time.

The app integrates with tons of other tools, like Asana, Trello, and GitHub, among others. Plus, it can help you track billable time so you can make sure you account for every minute.

You can download Harvest on iOS, Android, Mac, and Windows devices. There are also several browser add-ons available. Harvest costs $12/user/month.

Why Harvest?

  • Harvest helps you get paid by tracking billable time and allowing you to instantly create invoices to send to clients for that time.
  • Plan for the future with forecasting functionality and make sure you and your team have enough time to complete all of your planned projects.
  • See if projects are on budget with a glance. Know if you need to pivot before it’s too late.

Time management is everything

Spending your time effectively isn’t just the key to a more productive life, it’s also the secret to a happier one.

It’s easy to get wrapped up in work, especially if you aren’t managing your time effectively. You could miss out on opportunities to spend quality time with your friends and family. Maintaining a proper work-life balance is at the heart of your personal and professional success, so you need to make better use of your time whenever possible.

With these time management apps in your toolkit, you’ll be better equipped to streamline your life for more productivity and less stress.

Elksourcing:What is a QC Inspection and How to Select a Right QC Inspection Partner in China

Quality control can be defined as “part of quality management focused on fulfilling quality requirements.” While quality assurance relates to how a process is performed or how a product is made, quality control is more the inspection aspect of quality management.Inspection is a major component of quality control, where physical product is examined visually.

A quality control inspection is an activity of checking quality of any product, such as measuring, checking, examining, testing or gauging one or more characteristics of a product and comparing the results with specified requirements in order to establish whether conformity is achieved for each characteristic. The quality inspector usually follows a pre-established checklist that is based on the product specifications. Inspected products can be the components (raw materials) used for production, semi-finished goods, or (most often) finished goods before shipment to a customer.

Why you need a quality control inspection service in China ? 

To answer this question I can share an old story happened to our UK client years ago. He lost more than 120000 USD due to the quality issue in 2011. He placed an order of fitness equipment with a small factory in Yongkang, Zhejiang province. He purchased a sample and confirmed the quality before placing the order, however, the factory used slightly cheaper raw materials to reduce the costs in China during the massive production after the customer placed the order. And unfortunately the customer did not conduct any quality control inspection before loading in China, when he received the defective goods in UK, he found the problem and his end customers rejected the goods, what’s more, when he called the supplier for a solution, the supplier did not admit anything as he could not offer enough evidence. 

This is a lesson for every importer and this is the main reason why you have to inspect your shipment first before loading in China for any large orders. Only by inspecting your shipment of goods before it leaves your supplier’s factory can you identify and address any quality issues before it’s too late. With the quality control inspection services, you can well control the quality of your product before production, during-production and before loading. Managing product quality with QC inspection lowers your risk of product returns, unhappy customers and many other costly and avoidable problems

How many types of quality control inspection ?

In case QC inspection is so important, so when shall we conduct the QC inspection? To answer this question, you have to understand the types of QC inspection first

Generally speaking there are 5 types of QC inspection services worldwide, that is: 

PPI – Pre-Production Inspection  

FAI – First Article Inspection  

DPI – During Production Inspection 

PSI — Pre-Shipment Inspection

CLL–Container Loading Inspection  

but in China customers focus on following three main types of inspection in quality control: 

PPI – Pre-Production Inspection 

DPI – During Production Inspection 

PSI — Pre-Shipment Inspection

Here are the details:

PPI- Pre-Production Inspection

The Pre-Production Inspection (PPI) is a type of quality control inspection conducted before the production process begins to assess the quantity and quality of the raw materials and components, and whether they are in conformity with product specifications. This service is important for large orders in China because some unreliable suppliers may try to use cheaper raw materials and components to save costs during massive production.

A typical PPI inspection checklist includes, but is not limited to:

Verifying the raw materials and their conditions.

Inspecting planned storage for your products.

Inspecting a supplier’s production readiness and quality plan

Inspecting the function, size, and measurement of raw materials and other components

Making the required reliability and safety tests

Making sure your specifications and sourcing requirements are correctly understood by the factory

Preventing any potential flaws and failure in the mass production 

DPI — During-Production Inspection 

During Production Inspection (DPI) or otherwise known as DUPRO, is a quality control inspection conducted while production is underway, and is especially good for products that are in continuous production, that have strict requirements for on-time shipments. The During-Production QC Inspection is mainly an inspection of semi-products, stock of raw materials, production process, package requirements, workmanship etc during the production of your order in China.

A during production inspection takes place once 20-50% of your product run has been completed and packed. During a DPI inspection, a quality control inspector will inspect the completed product to ensure that all processes are being followed to the agreed standard. They’ll also look to identify any product deviations or issues early in the manufacturing process.

A typical DPI inspection checklist includes, but is not limited to:

Verifying the supplier follows the requested process and material specifications

Verifying the production and quality plan

Inspecting storage conditions

Inspecting packaging, labeling, and barcodes

Conducting reliability and safety tests

Inspecting semi-finished products

DPI inspections are useful as a quality assurance measure as it ensures that the quality of the products in production is the same as the one you received as a sample. It also gives you chance to make any necessary adjustments and corrections before the production run has ended, which can save you valuable time and money. If defects have been identified, knowing the percentage of finished products with defects also ensures that you have time to plan for them before they are shipped to you.

PSI — Pre-shipment QC Inspection  

 The Pre-shipment QC Inspection is an inspection of all the finished products, documents, package, shipping marks, quantity etc of your order at the factory. This service shall be performed when the order is 80 -100% completed.This inspection is conducted on finished products when at least 80% of the order has been packed for shipping. This inspection is done according to standard Acceptable Quality Limits (AQL) specs for the product.

A typical PSI inspection checklist includes, but is not limited to:

Verifying the safety and function of manufactured products

Verifying the quality of products

Verifying the order has been produced to the standards set out in the purchase contract

Inspecting the product packing, labeling, and shipping marks etc

Checking the order quantity and the documents related 

A PSI inspection makes sure that the supplier has manufactured your products to your specifications and packed them as required by your purchase contract. PSI inspection is the most popular and important one as you can reduce the risk of receiving defective items. 

 How to select a right quality control inspection service company in China ?

There are tens of hundreds of inspection service companies here in China. How to select a right QC inspection service partner in China ? Here are my tips: 

If you are from a top brand and if you are rich enough, you can simply work with the well-known inspection service brands like SGS, BV, ITS etc. They all have branches in China and they offer professional QC inspection and testing services as well. Here are their official websites: 

CCIC: www.ccic.com 

ITS — www.intertek.com

SGS — www.sgs.com 

BV — https://group.bureauveritas.com

TUV — www.tuv.com 

UL — https://china.ul.com/

If you from a small-mid company and if you’d like to save more time and cost, you can work with a local inspection service company in China. When you search a factory audit service online, you will find out hundreds of QC inspection service providers in China. Here are my experience in selecting a right inspection service partner: 

1.Qualifications

Ask them for their business license and check out their basic qualifications in China, say, business scope. 

2.Service quality

Ask them for their client information, call their current clients for reference to check their service quality. 

3.Quotation

Ask at least three service companies for quotation, do not choose the highest one or the cheapest one as low cost does not mean high service quality in China, try to choose a right one based on your budget. 

4.Location

Choose a right service company who is nearer to your supplier in order to save more travel cost and time.

Elksourcing:Major Ways to Source China Suppliers

As an experienced sourcing specialist here in China, I’d like to share some experience in sourcing qualified suppliers or partners at our end. Currently we have following major ways to source qualified suppliers or partners in China: 

1).Industry Fair or Show

In China almost every industry has their own trade show or fair. So industry fair is one of the best ways for you to source and meet some qualified suppliers and exporters. Here is an example, if you are looking for Chinese fruits, you can simply attend IFRESH FAIR or Asia Fruit Logistica (www.asiafruitlogistica.cn), you will find out many qualified suppliers there. 

2).Industry Association

The next way to source qualified suppliers is through industry association, every big industry has their own industry association as well. Take CIMA (China Instrument Manufacturers Association: http://www.cima.org.cn ) as an example, founded in 1988, the China Instrument Manufacturer Association (CIMA) is a nationwide, industry-backed and non-profit social organization integrating a myriad of leading renowned enterprises and research institutions. It has 1079 members and among which there are 987 manufacturers, 44 research institutions, 21 colleges and universities, and 27 relevant societies. The total member’s production capacity accounts for more than 85% of China market. This is nearly the same case in other industry associations in China, each one must have some well-known factories or brands in their field.

Here is the list of a top industry associations in China for your reference.China Vegetable Association: www.cva128.org China Fruit Association: www.china-fruit.com.cn China Grain Association: www.chinagrains.org.cn China Animal Agriculture Association: www.caaa.cn China Cotton Association: www.china-cotton.org China Agricultural Machinery Distribution Association: www.camda.cn China Aquatic Products Processing and Marketing Association: www.cappma.org China Crop Protection Industry Association: www.ccpia.org.cn China Fisheries Association: www.china-cfa.org

3).Internet Platform

①.Search Engine — Google and Baidu  

Google accounts for 92% of the global searching market. Baidu accounts for 80% of China searching market. Incorporated on January 18, 2000, With the world’s largest Internet user population—829 million as of December 2018—and a long way to go to reach Internet penetration levels of developed countries, Baidu has been the largest Chinese search engine on the globe, with a daily click record of 6 billion in 2018. You can find out hundreds of suppliers via Baidu with the right key words. 

②.B2B platforms — Alibaba, 1688, Made-in-China  

1688 is the largest wholesale market on the globe, with more than 10 million registered companies or factories online, covering more than 1709 different industries in China. Hundreds of industry clusters or manufacturing bases can be found on 1688.com.

③.Social Media — Webo, QQ, Wechat 

https://weibo.com/, As of January 2019, The number of Weibo users is 337 million, among them 1.5 million are registered companies or factories in China. Currently there 1.04 billion weichat users, among them more than 30 million are corporate users, covering 50 different industries.  

4).Manufacturing Bases / Industry Clusters/ Industry Market

In China, almost each industry has her own industry market, where the buyers, sellers, factories and distributors can meet each other. Industry Market is the best place for businessmen to do market survey, source factories and look for qualified distributors etc in China. The industry market is normally located at the real manufacturing bases, for example, if you’re buying ‘fireworks’, you can go and source some qualified suppliers at Liuyang International Fireworks Market in Liuyang city, China, where there are hundreds of factories located. 

Here is a list of some TOP and best industry markets in China:Food Industry — Jiangsu Jiangyin Food Market  Website: www.jiangyinshipin.com Food Industry — Cixi Zhouxiang Food and Groceries Wholesale Market Website: www.cixishipin.com Food Industry — Zhejiang Jiashan Business Centre Website: www.jssc.zj.cn Seafood Industry — Zhoushan International Aquatic Products City Website: www.cfm.com.cn Vegetable Industry — Shandong Shouguang Vegetable Market Website: www.sgvbot.com or www.vegnet.com.cn Agricultural Product Industry — Changzhou Lingjiatang Market Website: www.ljt.cn Fruit Industry — China Fruit Wholesale Market Website: www.cnfruit.com or www.guo68.com www.agrosg.com Agricultural Product Industry — Zhangjiagang Qingcaoxiang Market Website: www.zjgqcx.com Foodstuff Industry — Jiangxi Jiujiang South China Cereal Trade Market Website: www.cereal.com.cn or www.chinagrain.gov.cn Foodstuff Industry — Zhengzhou Grain Wholesale Market Website: www.czgm.com For more China industry market information. 

5).Customs Data 

The suppliers sourced at ‘Customs Data’are mostly very qualified as they already did the right business with their clients worldwide. Say, with a right keyword, you can easily find out the top 100 exporters for agricultural-products in China. You have to buy‘customs data’in China sometimes. NO free data is available at my end.

Elksourcing:1688 – the largest wholesale and sourcing market on the globe

Lots of foreign clients ask us where local Chinese source in China at present,the answer is definitely 1688.com. According to the recent market survey conducted by STIN company,92% of the small e-store Chinese sellers on Aliexpress, Amazon,Ebay and Taobao etc will source from 1688, the rest will source from the small factories owned by themselves or their relatives, 98% of Chinese sourcing specialists or buyers will source the suppliers on 1688, especially for small orders. 

1688.com, which is a part of Alibaba Group, formally launched in early 2010 in China, has been the largest wholesale and sourcing market for all kinds of raw materials, industrial products, clothing, home appliances and other general commodities on the globe. 

On their official website (www.1688.com), 1688 claims to have a number of 120,000,000 registered users, more than 10,000,000 companies (factories and wholesalers), with a wide range of 49 different industry sectors are registered with 1688.com, attracting 12,000,000 daily visits online. 

We used to source or wholesale from local wholesale markets or factories in China but now you can wholesale almost any item online by simply clicking your mouse on 1688.com. Of course when come to a large order, you have to verify or audit your suppliers first as there are still lots of scammers online. 1688.com is only a platform and they are not responsible for your losses in case you meet a professional scammer there. By the way if you would like to buy directly from 1688.com, you may need a local agent to help you out as it’s only for domestic users at present.

Elksourcing:Tips for Negotiating Price with Chinese Suppliers

When is the last time you negotiate price with your Chinese suppliers? It’s one of the best ways to decrease your expenses so you can realize more profit in your business. Everything is negotiable, but you should be prepared before you go to the bargaining table if you want to get the best deal. 

Negotiating with suppliers doesn’t have to be difficult, but it does pay to have a plan before you approach them. Follow below tips to get better deals with your suppliers.

1. Sell yourself as repeat business owner

Chinese suppliers are just like any other business owners: They want to sell as many products as they can, and they appreciate the customers who will help them reach that goal. When negotiating with suppliers, make sure they know you are someone who will give them repeat business, over the long term. If you have a track record of past purchases, let them know how much business they can expect from you based on those purchases. And if you’re just starting out, provide them with a sales plan that is based on logic and research.

2. Think outside of the box

If the supplier won’t budge on price, you can still negotiate for other things that will help lower your expenses. For example, you can negotiate to reduce the amount of your down payment, for a discount when you purchase in bulk, for faster shipping without additional expense to you, or for improvements to the warranty, such as its length or comprehensiveness. In addition, if you request and are granted longer terms, you will improve your cash flow. You can also ask for additional discounts when you pay your invoices early.

3. Talk to multiple suppliers

In order to encourage competitive pricing, talk to at least three suppliers and let each of them know that you are getting other quotes. Explain to them that you will go with the supplier that offers you the most competitive bid at same quality level. Don’t forget to take quality into consideration when considering the bids.

4. Offer larger deposits for a bigger discount

Suppliers are concerned about their accounts receivable just like any other business owner, so another way to secure bigger discounts is to offer large deposits on your orders. If the supplier knows they will receive 50 percent from you up front, you will increase your bargaining power, and they may be more likely to deal on the prices.

5. Don’t accept the first offer

The rules are the same when dealing with a supplier as they are in any business negotiation, and the most basic rule is to never accept the other party’s first offer. Instead, you can issue a counter offer or ask them to get back to you with a better price. You can justify this with the amount of business you’re offering to give them, the fact that you want a long-term partnership with them, or because the price includes services or features you don’t intend to use.

6. Transfer all business to one supplier

Suppliers love business owners who order a lot of products from them, and oftentimes those people get deeper discounts and other perks from the suppliers. If you’ve been giving your business to multiple suppliers, consider transferring all of it to one. But before you make the transition, call the supplier and talk to them about increased discounts in exchange for all of your business.

7. Be someone suppliers want to do business with

It doesn’t matter how much business you give your suppliers, if you’re a problem customer, you may not get the best deal because it’s too much work to do business with you. It’s important to maintain good supplier relationships by remembering that while they need you as a customer, you need them, too. Be sure to pay your bills on time, maintain open communications, and treat the relationship as a partnership, where both of you get what you need.

Elksourcing:Tips for Chinese Supplier Management

Chinese supplier management allows you to build a relationship with your Chinese suppliers that will strengthen both businesses. Supplier management is not negotiating the lowest price but constantly working with your Chinese suppliers to come to agreements that will mutually benefit both companies.

1. Share Information and Priorities

The key to succeeding in supplier management is to share information and priorities with your suppliers. That does not mean that you throw open the accounting books and give them user IDs and passwords to your systems.

Appropriate supplier management practices provide only the necessary information at the right time to allow a supplier to serve your needs better. It may include limited forecast information, new product launches, changes in design and expansion or relocation changes.

2. Balance Commitment and Competition

One of the goals of supplier management is to gain the commitment of your suppliers to assist and support the operations of your business. On the other hand, the supplier is expecting a certain level of commitment from you. It does not mean that you should blindly accept the prices they provide. Always get competitive bids.

3. Allow Key Suppliers to Help You Strategize

If a supplier supplies a key part or service to your operation, invite that supplier to strategic meetings that involve the product they work with. Remember, you brought in the supplier because they could make the product or service better and/or cheaper than you could. They are the experts in that area, and you can tap into that expertise to gain a competitive edge.

4. Build Partnerships for Long Term

Supplier management prioritizes long-term relationships over short-term gains and marginal cost savings. Constantly changing suppliers to save a penny here or there will cost more money in the long run and will impact quality. Other benefits of a long-term relationship include trust, preferential treatment and access to insider or expert knowledge.

5. Seek to Understand Your Supplier’s Business 

Remember, your supplier is in business to make money too. If you are constantly leaning on them to cut costs, quality will suffer, or they will go out of business. Part of supplier management is to contribute knowledge or resources that may help the supplier better serve you. Asking questions of your suppliers will help you understand their side of the business and build a better relationship between the two of you.

6. Negotiate to a Win-Win Agreement

Good supplier management dictates that negotiations are completed in good faith. Look for negotiation points that can help both sides accomplish their goals. A strong-arm negotiation tactic will only work for so long before one party walks away from the deal.

7. Come Together on Value

Supplier management is more than getting the lowest price. Most often the lowest price also brings the lowest quality. Supplier management will focus quality for the money that is paid. In other words: value! You should be willing to pay more to receive better quality. If the supplier is serious about the quality they deliver, they won’t have a problem specifying the quality details in the contract.

Elksourcing:Advantages of Factory Audit in China

For the business of importing from China, choosing the right supplier is the most important thing you need to focus at beginning. A right supplier will not only produce the products at a competitive price, but also provide good service on the supply chain. 

In order to verify and select the right supplier, it is recommended to do factory audit, as there are many advantages.

1. Amplifies Performance Visibility

When companies don’t know the facts about how their suppliers are performing, factory audit tends to be based on guesses. Additionally, the simple act of measuring performance can help improve performance. This improvement can be even more dramatic when companies award additional business on the basis on suppliers meeting performance goals.

2. Uncovers Hidden Cost in Supply Chain

The supply chain is full of potential risks that can originate from suppliers in regard to corporate social responsibility. Some of these risks can be avoided by better communications between customers and suppliers. By better understanding supplier performance and supplier business practices and processes, customers can help suppliers drive waste and inefficiency out of the business, resulting in higher-quality suppliers and lower costs.

3. Leverages Supply Base 

By conducting effective factory audit, an enterprise can set a threshold for its suppliers that can lead to higher-quality results. Companies can better plan new products and services based on a good understanding of its suppliers’ capabilities and performance levels.

4. Aligns Business Practices

Ideally, suppliers should run their business in alignment with their customers; share the same business ethics, expect similar standards of excellence, show commitment to corporate social responsibility and continues improvement.

5. Mitigates Risks

Insight into supplier performance and business practices helps reduce business risk, particularly given companies’ increasing dependence on its key suppliers. Risks can be financial and operational and increase with geographic distance.

6. Improves Supplier Performance

The goal of factory audit should be supplier performance improvement. While simply measuring performance has a positive effect, factory audit can be most effective when it leads to continuous improvement activities and actual supplier performance improvement. Follow-up activities, such as supplier training and development, and corrective actions to address factory audit findings are the best ways to obtain measurable and positive results.