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Becoming A Distributor

Discussion in 'Other Asset Classes' started by Olly, 25th Aug, 2015.

  1. Olly

    Olly Member

    Joined:
    2nd Jul, 2015
    Posts:
    13
    Location:
    Fairfield Heights, NSW
    Just realising I don't know the finer differences between being a wholesaler, reseller and distributor.

    I'm going to enquire about being a distributor for a product not currently sold in Australia. Are there standard 'rules' to being a distributor. What should I look out for? What questions should I be asking?

    All advice appreciated.

    Olly
     
  2. miked

    miked Well-Known Member

    Joined:
    1st Jul, 2015
    Posts:
    75
    Location:
    Melbourne
    The rules can be very product specific. In general, get all the licenses you need to import and sell the products, make sure not infringing any IP, try to get exclusive distributorship, all that good stuff.

    I'm sure Google will have lots of info!

    Check out the Australian Consumer Law as well. You might be a deemed manufacturer and be liable for any safety problems with your products if you import them
     
  3. Ace in the Hole

    Ace in the Hole Well-Known Member Premium Member

    Joined:
    18th Jun, 2015
    Posts:
    1,521
    Location:
    Sydney
    I'd guess that any rules and operating conditions would be set by the parent company.
    You may have to qualify to become a distributor by having an established network or minimum purchase order.
    There are probably pricing guidelines you would need to adhere to also.

    I think the most important part is - can you make money from the product and will they sell it to you.
    Is there a market or do you have to create a market?