I’m surprised no one has mentioned this business model before

[fivesenses]

Exclusive US sales representative (b2b)

1. Find a reputable equipment manufacturer in Eastern Europe with no US market presence. Think: Poland, Baltic states, Balkans, Turkey, Czechia, Slovenia, Slovakia, etc.).
2. Offer to exclusively represent them in the US through your company. Be sure to sign an exclusive sales rep contract! Include your commission with your supplier on all US sales (usually 3-5%), depending on industry. You might even be able to negotiate reimbursement for trade show and travel expenses.
3. Build a website and market their products to whatever industry(s) their products serve. This will include cold calling, cold emailing, and even attending industry specific trade shows. Don’t be afraid to pick up that 10,000 pound phone and start dialing.

Once you get a few sales under your belt, customers will start referring you to other businesses and even sending business your way. You can even take on offering different products and services for the industry(s) you serve.

Note: SEO is key to becoming successful. I bought up a few domains of defunct businesses in my industry and forwarded them to my website. If you can get one or two good domains this way it will sky rocket your SEO in a few months.

Pros: low overhead, low start up cost, can operate with a FT job, no real experience required.

Cons: can be slow to build momentum, need to learn how to be self sufficient to keep costs low, must get over any fear of people or rejection.

 

[debra21]

@fivesenses Lots of businesses function as distributors for products manufactured in other countries. It's not new.

What equipment market/industry do you think has so little competition that no one has thought of importing before and you'll have this great opening?

 

[fivesenses]

@debra21 I’m not importing anything. I am marketing and selling high ticket equipment in the US. Competition just shows that there’s a healthy market to participate in.

 

[debra21]

@fivesenses So again… what type of equipment do you think is available in Eastern Europe that is not available in the US?

Also if it’s not currently available in the US who’s going to import it? You can’t exactly sell something without a way of getting it to the customer

Not saying it isn’t viable. Just seems like you really haven’t thought this through.

 

[fivesenses]

@debra21 I never said this equipment is not already available in the US. The key is to find an equipment manufacturer in Easter Europe, and sell their products directly to customers (other businesses) in the US. The equipment is sold as FOB so the buyer pays freight.

This is exactly how I currently operate my business. So far it has been very lucrative. I was just sharing what I have successfully implemented so far.

 

[sofia8484]

@fivesenses I know 3 people who do exactly that. They signed contracts with Polish manufacturers.

 

[fivesenses]

@sofia8484 Yes, it’s a criminally untapped strategy. Manufacturers don’t have anything to lose because you’re 100% commission and also raising their brand awareness in a HUGE foreign market.

 

[mjes]

@sofia8484 I didn't know there was such a big market for manufacturing polish

 

[sofia8484]

@mjes Read about polish economy.

 

[terphawthorne]

@fivesenses I think Eastern Europe just doesn't have a real reputation in the US. But I'm sure there is a market for it.

What kind of equipment do you have in mind? Like construction equipment? Large drills, mechanical parts, and the like?

I have worked with a customer that gets medical equipment from Poland I believe. I may be wrong but it did stand out to me as most customers I work with only deal with China/Western Europe/Canada as far as international trade goes

 

[fivesenses]

@terphawthorne That’s your job! To sell these products to companies that don’t want to pay obscene amounts for US and Western European equipment. There are many large equipment sectors you can sell in. Most Eastern European manufacturers are aware of these standards, since many sell directly to EU businesses. So they must adhere to EN, DIN, and TÜV quality standards. If they can achieve those, then adhering to ASTM for the US market is not a big deal.

 

[alinajj]

@fivesenses Let me know what to do, I'm in London and speak Polish..(English). Thx

 

[user283401]

@fivesenses So basically, you are the middle man and connecting a plug to the socket?

This is an interesting idea, I am Eastern European myself but I live in the United Kingdom and work full time.

Does this work the same in the UK?

 

[fivesenses]

@user283401 In my industry, UK customers are more aware of Eastern European manufacturers, mostly due to the closer proximity. But it could be down different per industry.

 

[user283401]

@fivesenses I see you, so this basic business model applies to any product you find that has a dip in the market. For the relevant country of course

 

[floppy]

@fivesenses This is a great idea. I’ve thought about it with different things after visiting Europe multiple times in the last 3 years.

How long are the shipping times usually over freight?

 

[fivesenses]

@floppy In my experience 40-55 days door-to-door for FCL (full container load) shipments. About $8-10k per container, but that can vary depending on how much inland transport there needs to be.

 

[chava22611]

@fivesenses Getting over fear of people is my biggest problem.

 

[fivesenses]

@chava22611 I was so nervous cold calling at first, now it’s second nature. Growth is uncomfortable, but necessary.

 

[jembang]

@fivesenses I can’t trust product quality from Eastern Europe. Without a presence there…. You might be getting bamboozled.

Think IKEA horse meat from Russia labeled otherwise. Etc.