Replying to [Vocow]:

Hi, Vocow, we are a trading and logistics company in Mexico who deal with your same kind of situation every day.

You need to protect yourself with a commercial contract with your buyer in your country for starters. If you celebrate an international contract with your seller, enforcing it is very difficult and expensive.

You can also trade the merchandise. That is, let the seller from UK deal with you. You charge your buyer in your country and you can import and invoice your buyer with the agreed-upon price.

In your contract, stipulate that once the price quote is accepted it is obliged under the terms of the contract.

Regards,

Friendly Broker

Replying to [Vocow]:
Hi,
Personally i would enter into signing a ncnd with the supplier and then i would inform both the supplier as well as the buyer of the 10% markup for all the paper work / leg work etc. As opening a L/c involves cost even if you have a transferable l/c, you still need to have very good financials with the banks to help you out with it, secondly it will eat up on your margins as well. In most cases the buyer and seller do respect the ncnd's but you need to scout for a reason for you to be there all the time, maybe for language / translation etc, which you need to figure out very soon. You may facilitale the L/c opening etc by the buyer and follow up, to make your position indespensable to both, only then can you maintain your status as a middleman. Regards.

Replying to [haroon]:

Hi, Haroon

Do you happan to a sample of the NCNDA and IMFPA? Please kindly send to my email: hsc428@gmail.com, thank you.

Replying to [Vocow]:

I just read the whole thread in this Forum.No one except probably one person gave you the right advise.As a HK co I will advise you as follows.

1) You started business this year and are a 1 man co.So it is safe to
assume you are a small co and will not have a LC limit in yr bank
to open Letters of Credit (LC).If you do not have an LC facility then
your bank will ask you 100% cash depoist to open LC to your
supplier.

2) You have not disclosed what is the product and what is the amount
invloved.Some one suggested that you open a tranferable LC in yr
name, which I think is quite right ( but not sure if it is practical if
you do not have LC limit with yr bank)

If I were you I would first consult a Bank and discuss the whole issue
with them and seek their advise rather than listen to 10 different
people on the net and get confused.

2) I also do not see any need to disclose how much commission you make
either to your buyer or seller.You have finalised the deal.What you
need is to do is to put this order on paper for execution.
If you use Transferable LC (talk to bank and get all terms clarified)
then this is how it shd work.

a) Get Yr sales contract signed with Malaysia Buyer
b) Get your Purchase contract with yr UK seller
c) Ask yr Malaysia buyer to open transferable LC to you in HK.
It will state the shipment from UK to Malaysia.
d) UK shipper will send docs to yr bank in HK.
The Bills of Lading will show UK co as Shipper and you as Consignee
Then you will SWITCH the B/L in Hk thru the shipping co. (Make sure
that the shipping co has an office in HK to switch B/L)
This new B/L will show you as shipper and Malaysia buyer as
consignee.
You will be paid yr 10% commission once LC is negotiated.

If you have the Certificate of UK origin it will show the shipper's name in the certificate.You can get a new Certificate of Origin in HK called the Re-export Certificate of Origin which will show that the goods were shipped from UK to Malaysia and are of UK origin.This C.O. can show you as shipper and Malaysia buyer as consignee (this way you will not disclose the sellers name to Buyer)

Pls make sure that all other docs show you as Shipper from HK.
Pls also make sure that when you SWITCH B/L in HK the bank may ask you to give Indemnity...sort this with the bank.

Simon-HK

Replying to [Friendly Broker]:
Thanks for the valuable advice.Please send you contact details on firozhajiani@yahoo.co.in
Regds.

Replying to [Pingping]:
Dear Sir,
Could you please send me a copy of the NCNDA to me at my email ID firozhajiani@yahoo.co.in
Regds.

Replying to [Simond]:
Mr. Simond,
Thanks for your valuable advice.Please do send your contact details to me at email ID firozhajiani@yahoo.co.in
Regds.

Quoting from [cyber chap]:


Replying to [Vocow]:


NCND and FPA are the common advises for an intermediary. But transferable L/C is the Mantra for the protection of your interest.

Could you please explain what NCND and FPA, as well as L/C actually mean?

 

 

 

6LGL55 Hi Vocow

I've been in biz for 38 years, in the fashion trade. And I've been 'ripped off'' for my commission more times than I care to remember! BUT now (and I got the legal results to show) if you are an agent based in the EU once your commission paying supplier etc what ever the entity is, has paid you commission, that is a precedent! Now a) they have to be worth threatening with court action b) you have to be willing to go the whole hog as we say over here! Not sure if the is of any help. but there are trade organizations that can help, and it is set in EU law! So it may help you to check out on line. The PSA (Professional Sales Asc in the UK - AMICUS is the trade union) helped me with my case! I got £20k and the company lost that plus about the same in legal fees! In the long run we both lost out but it was not my choice! Good luck, maybe there is a local Trade Org/Union where you are? Cheers BEECEE

Quoting from [Vocow]:


Hi all,


I am new to this forum, My main role is sourcing agent for buyer in Malaysia. Our company incorporated this year and it is a one man band.


I have a question and it has been bothering for long time in the way how to successfully run the business.

Here is the Scenario: I have a client in Malaysia look to import.

I found a good supplier in UK for them. UK supplier quote me a price and I mark it up 10% then quote to my client. Client accpet the price and sample and ready to go ahead. Now, I would like to secure my 10% commission, but how do I protect my interest? As if I disclose the supplier to the buyer, they may bypass me and make a deal themselves. Please note my name or company name will not appear in any Docs like sales contract, L/C, B/L, Commercial invoice and etc. It is only between supplier and end buyer. On top of that I would only make a deal with the supplier so that my commission is gurranted.


Can any pros advise me the process and things need to be aware of.


Thanks in advance and welcome open discussion.


Regards

Vocow.

Hi,

I am also fairly new to this industry and really appreciate al of the information provided by all who have posted in the thread.  There are a great deal of differing opinions which is very interesting.

I have a business that specialises in sourcing products for Australian Importers and would love to hear from similar companies in other countries as I am sure that there will be opportunities for us to work together on occasions.

It would also be greatly apprecaited if someone could email me a copy of a NCNDA and IMFPA to chris@globalss.com.au or MSN chuckywarr@hotmail.com .

Thanks