How to start a wholesale business. Wholesale Talk - Tips for a Beginner

Instruction

Find out current customer purchase prices and other delivery terms. It does not matter that you come to clients without the intention of concluding a contract. Now you are doing reconnaissance. You can introduce yourself as a representative of a new company that plans to serve this region. Ask what does not suit customers. Be sure to collect some information. Some ask to bring the price list and do not tell anything. Make sure you communicate with the head of the firm. Say what you can give good conditions, but it is necessary to estimate the approximate volumes.

Find suppliers, calculate and evaluate the margin. Based on the information collected, you can roughly estimate the volume of purchases. This will be needed for negotiations with suppliers. You need to get better conditions from them, despite the fact that you are still conducting preliminary negotiations.

Make an offer to clients. After the 2nd step, you know on which they cooperate with other suppliers. Make a package of commercial proposals that will allow you to stand out from similar ones. Take advantage of your competitors' weaknesses. If potential customers have complained about delivery times, you can focus on the quality of this service. It will not be easy for competitors to restructure the work.

Sources:

  • how to work with wholesale

From the point of view of stable demand and the stability of business relationships, b2b business has an undeniable advantage. Well-established connections and well-established distribution channels allow wholesale suppliers to stay afloat even in times of crisis and stagnation.

Instruction

If you decide to organize a wholesale trade, first of all choose a niche in which you are going to work. It’s good if you have an idea in advance of how a standard business process is built in the chosen area. This will make it easier to enter the market. If not, first study how all participants in the sales chain are interconnected. It may take a long time for a detailed study. However, it is difficult to overestimate its necessity. Based on its results, you will represent not only the wholesale trade from the inside, but you will also be able to soberly assess your strengths and, possibly, abandon the chosen idea.

If confidence outweighs all arguments against, start searching suitable premises, negotiations with suppliers, as well as the official registration of the selected activity. In each of these questions there are many nuances and smaller tasks. So, for example, the premises should not only provide convenience for trade, but also meet the requirements of supervisory authorities. In addition, to have certain technical specifications and convenient location. Search, selection and negotiations with suppliers, registration with the IFTS are also quite voluminous issues. Ideally, it's best to do it all at the same time. This way you can save time and money.

When the main issues are resolved, the lease agreement is drawn up ready to ship the products, come to grips with the search for sales. Strictly speaking, it was necessary to start looking for sales even before the very first step. After all, if there is a guaranteed demand for a product, then building the rest of the business process is not so difficult. There are a lot of ways to find clients, and most of them depend on the trade niche you have chosen. In general, send out, try to meet with purchasing decision makers for large companies. It is difficult, but quite realistic, to build a whole business on several large clients. You may also be able to find non-standard ways to enter the market. And never stop looking for new sales channels. The overall turnover is much more strongly related to the profits generated than in other businesses.

Wholesale trade is a type of transaction when the goods for which money is paid are transferred to a non-final consumer. It is intended for resale. As a rule, whole consignments of goods - large or small - are the object of sale and purchase.

Instruction

Think about what type of wholesale you want to do. Gather as much information as possible by doing marketing analysis, identify consumer demand.

It's no secret that a business built on trade various types goods, is the most successful, especially when it comes to high-demand products, the demand for which never falls. But, unfortunately, most entrepreneurs today have forgotten a little about such a profitable direction as wholesale. The main trump card of this type of activity is that wholesale business you can start from scratch even without financial investments.

Features of activity

The first thing to remember is the definition itself - what exactly we call wholesale. Work in this area is built on the principle that a company or an individual provides its goods in large volumes not to the final consumer, but to another entrepreneur who will already sell them to direct customers.

Another feature of the wholesale is the cost of the purchase. It is, of course, many times lower than the one at which the consumer who came to the store buys the goods. In this case, the margin on the delivered products by the original seller is made in the amount of 10-30 percent of its real value. But in a retail store, the owner can already make a 100-200% markup.

It is important to note that the product in question is not always available from the intermediary. All he needs is to make an offer at a bargain price, find a buyer, then negotiate with the supplier, arrange delivery and get his profit for this kind of service. Hence the conclusion - with a properly organized process, no investments are needed. At the same time, a competent approach will allow you to spend no more than 10 minutes on one such transaction.

Don't forget about your image, though. If you work with a couple of regular verified clients, then most likely you won't even need an office. But when expanding client base it will be necessary to take care of a decent premises and employees. It is unlikely that a serious customer will want to cooperate with an intermediary who does not even have his own office.

What are the benefits

The business process of wholesale trade has a number of advantages over retail. Among them:

  • opportunity to earn significantly higher profits;
  • no need to deal with various groups of goods, you can focus on only one of them;
  • ease of implementation;
  • there is no need to look for start-up capital;
  • a short preparatory stage.

With all this, you can start working in this direction even with minimal experience in business in general.

Important Points

The organization of the wholesale sales process should begin with a thorough analysis of the market and the place on it of the product that you want to sell. If you are seriously interested in the question of how to open a wholesale business, listen to the following tips:

Things to do

Once again, the importance of choosing a niche that you occupy in the wholesale market should be emphasized. To do this, consider the varieties of forms of organization in this area.

Small wholesale

Usually the entrepreneur acts as a link between the buyer and the manufacturer. It is important here to track all transactions from the very beginning to their completion. The option of dishonest business dealing in this case is 100% excluded, since the chances of losing your customers are very high.

Small wholesale with a specific group of goods

The principle of operation is no different from the previous one, with the exception of a narrow focus of activity. This way of doing business will allow you to thoroughly study the market of your products, track the emergence of new manufacturers and competitors. At the same time, these two models allow you to work with another intermediary that has access to the manufacturer, since the latter can set a limit on the volume of purchases, which instantly removes you from the list of his clients.

Medium and large wholesale

In this case, work is carried out directly only with the manufacturer, which allows you to develop your own dealer network. With this model, you simply cannot do without your office and staff, since you will have to work with legal entities, which obliges you to play by the rules of the market.

The best way to choose a direction is to study the manufacturing sector in your area. Any enterprises that produce this or that product need components, raw materials and other materials necessary for production.

So, for example, if in your city there are many companies that install interior and entrance doors, it is quite possible that they would not mind discussing the moment of delivery of small accessories - handles, locks, accessories and decorative elements.

Another example of small wholesale is the supply of spare parts for car repair shops or firms that service household and computer equipment. All that is required in this case is to find several manufacturers or suppliers Supplies and details and discuss prices with the consumer.

As a large wholesale, a food group of goods is more suitable, Construction Materials, feed for farms, as well as raw materials for food and processing factories.

The main thing in this area is to be able to navigate and understand how your region lives, what it needs, what goods it lacks. In a word, you need to show your entrepreneurial inclinations, and then success will not keep you waiting.

Wholesale from scratch - how to start a wholesale business: Video

If you are interested in how to open a wholesale warehouse from scratch, then you should study the advice of entrepreneurs. They will help calculate the profitability and draw up a business plan for the future business. The rapid growth of the economy, the development of infrastructure make it possible to invest money profitably.

A warehouse is not just a place where goods are stored, but also various products: furniture, things, tools. Such a complex needs to be properly equipped so that there are racks, loaders, refrigeration equipment, safety system. Experts say that the demand for warehouse premises exceeds the supply, which is used during the opening of a business from scratch.

Project feature

Wholesale warehouses are important for the entrepreneur, and they are in demand. This is due to the fact that their activities are related to trade. Today, demand exceeds supply by 2 times, so you can learn how to open a wholesale warehouse and make money.

The idea of ​​a business is to buy goods in large quantities at an affordable price and then sell them at a premium. It is better to specialize in one product in order to thoroughly study the field of activity and effectively conduct business.

The location of the future base is of great importance. The complex should be located along with producers and consumers. This is due to the fact that potential customers seek to save on transportation costs and are ready to cooperate with those entrepreneurs who are located nearby.

In this they are helped by the presence of a warehouse complex in the nearest area. To open a business, you will need not only to draw up a business plan, but also to consider effective ideas, find retail outlets, conclude contracts, take care of unloading and loading goods.

What do you need?

The future entrepreneur will need:

  1. Write a business plan for a warehouse.
  2. Build or buy a building.
  3. Select the appropriate equipment.
  4. Invite employees.
  5. Obtain permits.

Studying the demand for warehouses and sales in the region. If we open such an outlet, we must first study the competitiveness. Before choosing a product that is supposed to be sold, you should analyze the demand for it, the turnover. What is planned to be implemented should not depend on the season and economic conditions. This will allow all year round make a profit.

Market analysis

To begin with, determine the following points:

  • decide for which product group it opens warehouse space;
  • analyze demand among distributors;
  • decide what type of warehouse will be (reserve, wholesale, retail, seasonal);
  • sketch out a list of tenants and potential partners.

It is necessary to collect information on all sales in the regions, to see the dynamics of sales. It is important to decide which location will be the most profitable. Only then start with the construction of a warehouse or start looking for premises for rent. In the latter case, you need to make sure that the building is fully suitable for your business.

You can use the advice of a specialist in the field of warehouse logistics. Inside the premises, you need to competently organize the space, dividing it into sections for receiving goods, loading and unloading, warehousing, storage.

The documents

Urban planning and architectural documentation reflects the following economic tasks:

  1. Transport accessibility, parking spaces.
  2. Equipping with equipment.
  3. Room settings.
  4. The presence of ancillary facilities designed for unloading or loading goods.
  5. Construction materials.
  6. The number of working personnel.

At first, it is difficult to open a large database at once. Much easier to register small room. Licensing of activities depends on the type of warehouse. For individual entrepreneurs, a simplified taxation system is offered. This right is forfeited if separate subdivision. For a large warehouse, an LLC or CJSC is formed.

room

It is a complex complex structure. Special equipment is installed here, which is necessary for the storage of goods. The most cost-effective construction of a warehouse using the best technologies. It is advantageous to use building materials that allow you to build buildings in a short time.

In this case, you can initially build a structure that will meet all the criteria. The cost of construction is affected by the type of building and warehouse. It's better to see examples modern projects.

Renting is profitable only in a few cases:

  • with the possibility of further redemption;
  • under long-term lease, which will allow the refurbishment of the building inside.

There are several types of storage space:

  1. Class A - a new building, built specifically for a warehouse complex. It meets all standards, and zoning is done inside. The building is located next to the highways to be convenient schemes entrance. It is distinguished by the presence of autonomous communication and a security system.
  2. Class B - refurbished old warehouse that does not meet the requirements. To start it, repairs and investments in equipment are necessary.
  3. Class C - real estate that was intended for other purposes, for example, hangars, car depots. To start operating such a premises, they invest money.
  4. Class D - buildings that are suitable only for storing goods or raw materials that do not need special conditions storage.

Equipment

In order for the profitability to be high, you need to correctly organize the area. In food warehouses, it is important to arrange so that the products do not spoil.

To do this, you will need to install refrigeration equipment. You will also need racks on which goods are stored.

Staff

The business is entrusted to responsible employees who interact with sales representatives and are in search of retail outlets. Freight forwarders, accountant, cashier, drivers, storekeepers, operator - the number of staff depends on the scale of the project. A mini-warehouse will require less manpower.

You can find a boss for your base, and he himself will select people with whom it is convenient for him to cooperate. Even a mini warehouse would require five workers.

Video: wholesale business.

Finance

Depending on the equipment, the size of the investment is calculated. For example, the equipment of a room of 3000 sq. m. will require 10,000,000 rubles. These funds will be spent on paying for a land plot, building or renting premises, preparing infrastructure, and competently equipping the space.

In the future, the profitability of the business will be 17% per annum, payback is achieved after 1-2 years. So the business is considered profitable and sustainable. A simple object of 1000 sq. m. will cost 1,000,000 rubles. These figures do not include prices for land plot. The cost of 10 acres is 20,000 rubles.

As for revenue, the object per 1000 sq. m. brings a profit of 2,000,000 rubles. The larger the building, the higher the expected income.

Approximate calculations in the table:

The source of financing is investors, banks, which are often ready to provide loans for opening promising business. Often, entrepreneurs take the first batch of goods without money for sale.

The success of a business depends on the size of the warehouse. This kind of work needs to be taken seriously. Competent planning help avoid mistakes. It is better to hire professionals who can effectively manage the process.

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He lived to see his hair die and, as they say: "I decided to do business on my old head." The idea has been in the clouds for a long time, at least 7 years ... But there was no incentive or courage or self-confidence (I don’t know myself). But the idea is not bad in my opinion.
However, starting a business at that age is difficult, especially wholesale... I want to consult with someone, but with someone who has experience in the field of wholesale.

And it all depends on what you will trade.

Beer snacks (smoked squid, rings) in Lithuania and Latvia. There is no such luxury, but there are needs. Checked!

Wholesale is no different from retail, only in the amount of a one-time sale, the frequency of delivery of goods and its quantity. I worked both in wholesale and retail, wholesale is easier, less assortment, which means fewer suppliers, one sale is 10-1000 retail sales, in a normal scenario, you can work on a good cheat.

The manufacturer needs to bend, beat out the dealership with a good discount, then you can do it.

The main thing in wholesale is regular customers.
He rented a room, brought a KAMAZ squid and shouted "Squids, squid rings, a ruble bucket!"

BUT
how to get a dealership out of a manufacturer? Is it possible to become a dealer only with a large volume of purchases?
And what about a beginner?

For almost any manufacturer, a long-term and good turnover with a particular dealer is important, while money as a fact of 100% prepayment is not put at the forefront).

I started with importers Chinese products to get a 40% discount (this is the maximum) it was necessary to buy one at a time million rubles (in today's money, I don't remember those, like a billion))).

Fumbling in my pockets, I offered a million a month, but buying in installments 100 000, that is every three days. They offered a discount in return. 20% , a if I do obligations, then at the end of the month recalculate bonus to the maximum, with a discount 40% .

He rushed into battle, for the first three months, in order to fulfill the conditions and keep the turnover, he sold with a minimum margin, but this killed two birds with one stone - he attracted wholesalers and reached a million dollars.

Three years later, having authority, I took goods from this company for the amount 200-300 thousand per month with maximum discount 40% .(other suppliers appeared, so this company was already in the background) They asked for a call: "Konstantinov, dear, any conditions for you" Such a thing is authority, the main thing is not to abuse it. I already spoke with the second and third firms on an equal footing, having a client base, I was already a tasty morsel for firms that have cool owners and clumsy sales managers) Confirming my turnover with facts, it was no longer difficult to become a dealer with small, but systematic payments.

And a more general question
To start a wholesale business, you first need to find suppliers of several types of goods, then find a buyer, and only then open?
How did you start?


If you don’t open, you won’t find it, probe the market. Talk to the manufacturer, take dealer prices on paper, pretend to be a representative of the Golden Squid company. ;) Offer potential customers your prices, come up with additional conditions (delivery, delay, etc.), communicate more live with retailers - this will lead you to some thoughts.

In general, to start is very... Very difficult!!! But the beginning is half the battle. For the first year I almost gave up everything, but I survived and hit the target, which at that time suited me. Consider the last paragraph as words of sincere support.

Wholesale business is a special field of activity with its own unique specifics. To achieve excellent results and receive stable income, you need to know this specificity to perfection. Many entrepreneurs view the wholesale business as an opportunity to earn good money without much effort, and they are absolutely right.

You will learn:

  • What is a wholesale business
  • What are the advantages and disadvantages of a wholesale business
  • What are the types of wholesale sales
  • How to organize a wholesale business
  • Do I need investments to start a wholesale business
  • What are the most common mistakes people make when starting a wholesale business?

What is a wholesale business

Wholesale as a business is the purchase of products in large quantities from a supplier or manufacturer (less often) for its subsequent sale in small quantities. That is, the products are not bought end-user, but a business representative to subsequently resell it or use it for production needs. Of course, the wholesale business is far from the last place in the question. economic relations between production areas, product manufacturers and retailers.

Ambitious start-up entrepreneurs often face the problem of choosing between wholesale and retail trade. Each industry has its own advantages and disadvantages. The choice can only be made by carefully analyzing each of them.

To reach the heights in retail, you need to:

  • To find the appropriate premises, in order to ensure the competitiveness of the enterprise, the location must be "profitable", passable.
  • Have sufficient cash to buy out/pay rent and purchase goods.
  • Have the necessary financial resources in order to adequately pay the work of the staff.
  • Allocate funds for advertising and further promotion of the enterprise.

To organize a wholesale business, you should:

  • Choose one or more reliable suppliers.
  • Conclude agreements with stores in which goods will be sold.
  • Choose a method of transporting goods (you can rent or purchase trucks in the required quantity).
  • Find staff.

How to increase profits for a wholesale business

Wholesale companies are "sandwiched" between suppliers and buyers, who themselves face all the problems of the crisis period. How to build sales so that counterparties are satisfied, and this only benefits the company? Check out seven solutions that have helped wholesalers not only maintain, but raise the bar. You will find them in the article of the magazine "Commercial Director".

What are the types of wholesale

The two main forms of wholesale trade are:

  • No need to advertise the company - enough build a customer base retail partners.
  • The ability not to focus on the location of the wholesale warehouse or enterprise, in contrast to retail stores. The wholesale base can be located in any place convenient for you.
  • The amounts of wholesale transactions and contracts are much higher than retail ones.
  • Wide sales area.
  • The ability to conclude many contracts with large manufacturers, including regional ones, since they often resort to the services of wholesalers.
  • The chance to realize the most advantageous views products, such as tobacco products, alcohol, semi-finished products; Retailers must create an extensive product range, seeking to satisfy all consumer needs.
  • Purchase savings wholesale goods- this allows you to set the retail price of your products.
  • Strict regulation of the conditions for the sale of goods by an agreement between wholesalers and retailers; thanks to the drawn up agreement, the possibility of disagreements and conflicts between organizations is practically excluded.
  • Receive payment for the goods immediately after delivery - the wholesale supplier does not wait until it is sold.
  • Taxation rules for wholesale trade, according to the legislation of the Russian Federation, are quite simple. On the retail businesses a Single Tax is imposed on temporary income, while wholesale companies must pay contributions, according to the DOS or STS (General or Simplified Taxation System), which is much more convenient.
  • Direct cooperation with experienced buyers who are interested in the low price of products and are constantly trying to reduce the cost.
  • Requests from buyers for maximum deferred payments.
  • Endless debts on the part of buyers and, as a result, an increase in overdue accounts receivable.
  • Competitors regularly sell goods at reduced prices, which affects the quality of products.
  • Incoming requests from customers to fulfill their conditions (for example, labeling products with special labels, bringing products by a certain time in small batches, using euro pallets for delivery, and many others).
  • The lack of points of control over the work of managers in the sales department.
  • Disruption of communication in the departments of the company, which causes disruptions in work and delays in deliveries.
  • The absence of the effect of advertising that does not contribute to the promotion of products.
  • The introduction of huge fines for non-compliance with certain conditions under supply contracts.
  • Periodic "churn" of customers, some of which go bankrupt, others - make a choice in favor of other suppliers.
  1. transit. Provides delivery of products to points retail directly without export to the wholesale warehouse. The main advantage of this form is the higher speed of trade turnover and the safety of products.
  2. Warehouse. Products are sold from stock. The form, which is by far the most common, allows you to prepare goods before sale and supply retail outlets with small quantities of the products that are required in this moment

Wholesale points are also differentiated by the breadth of the range of goods:

  • A specialized (narrow) assortment implies the presence of less than 200 items.
  • A "limited" assortment is considered to be the names of goods in an amount of less than 1000.
  • A wide assortment is from 1 to 100 thousand items.

In terms of turnover, wholesalers are small, medium and large.

According to the method of delivery: goods are delivered to the points by the company's vehicles or employees of the company. Products can also be issued directly from the warehouse.

There are several marketing systems - exclusive, selective and intensive. On one of these systems your business will be organized.

If the activity is based on an exclusive system, the manufacturer must issue a license to trade, according to the conditions franchising. The number of intermediaries is minimal. In the selective system, which also includes the wholesale business, the organization and the manufacturer enter into distribution agreements. In this case, technically complex goods are usually subject to sale. An intensive marketing system implies the presence a large number intermediaries and wholesalers.

Is it possible to start a wholesale business without investments

Wholesale business without investments is real. Entrance to it is possible in the complete absence of funds. All that a person who wants to work and earn money needs is a telephone connection, open access to the Internet and a focus on results. One can treat the issue with a share of skepticism, saying that all niches are already occupied, but there is no start-up capital. But the advantage of the wholesale business lies in the fact that it does not require financial injections. You need to be a sociable, confident and quick-witted person.

This option will appeal to newcomers to the business.

3 myths about the wholesale business

  1. "The retail buyer can find a supplier himself." There are often cases when, with sufficiently efficient operation, an enterprise does not receive profit in in full. The reason may lie in the inability or unwillingness of the supplier to self-advertise. Most of the category of people who deny the Internet, Yandex.Direct and other advertising channels are men over the age of 50 who started their business back in the 90s. The buyer, of course, can find a supplier himself. But it is worth considering the large territory of our country and the large volumes of consumed wholesale products. In any case, not every entrepreneur manages to sell maximum amount products. The main task of the wholesale business is to help suppliers sell goods on a huge scale.
  2. “If I bring the supplier and the client together, they will do everything themselves, and they will throw me.” You can eliminate such an unpleasant situation by concluding an agency agreement. The probability that you will be "thrown" will be reduced to zero. The essence of the agreement is that when you find customers for the supplier, you will receive a percentage of the volume of goods sold. In this scenario, it is unprofitable for the supplier to terminate business relations with you, since it is in his interests to regularly sell products, in which you help him.
  3. “Getting customers for wholesale is very difficult.” Entrepreneurs in the wholesale business often find customers through online classifieds. Contextual advertising Yandex.Direct is also very effective business tool. Thanks to a simple algorithm, even a novice businessman can create a good selling ad that will help attract customers. At the moment, a number of holdings and large companies are looking for suppliers on the Internet. However, many entrepreneurs dismiss this option, which is very "handy" for novice savvy intermediaries. Not the last role in the issue of attracting customers is played by cold calls and the work of high-class sales managers.

How to start a wholesale business

Stage 1. Market analysis and identification of the most liquid (fast selling) goods. To identify and predict the most popular wholesale options, it is absolutely not necessary to dive into a deep study of all existing offers. Pay attention to food products: flour, granulated sugar, butter, children food, canned food. All these products allow you to start a business without investments in the wholesale trade. Just agree on cooperation with an inexpensive manufacturer, and the matter is small.

Stage 2. Niche selection. Think about what niche you would like to occupy. The easiest option is to work with small wholesale lots. If you decide to open a wholesale business from scratch, this will allow you to gain valuable skills in concluding contracts and determining how to make a profit.

Stage 3. Selecting a product group. When choosing products for sale, consider several important components:

  • Give preference to the group of products in which you are well versed. For example, if you received your education at a forestry institute, focus on products in the field of woodworking. At the same time, for a person who has a great desire to develop, there are no boundaries. Even without the appropriate education, it is quite possible to understand the products of any industry.
  • Analyze what products are presented on the local market, what products are in the greatest demand, pay attention to the pricing process, find out which regions act as suppliers. Next, find a manufacturer where you can sell similar products at reduced prices and offer potential consumers their wholesale.
  • When selecting products by category, make a choice in favor of those products whose sales do not depend on the season, weather conditions and other similar factors. Buying perishable products is also not worth it. Starting a business, do not take into account exclusive products that are popular in a limited circle of buyers.

Stage 4. Warehouse selection. Before organizing a wholesale business, select a warehouse. Its absence can be a significant problem. Many entrepreneurs are now talking about the shortage of warehouses both in megacities and small towns and villages. That is why the rent results in a large amount, especially if the area is large and the location of the premises is good. When organizing a wholesale business, remember that you need to rent or purchase warehouses after you have chosen products for sale. This is due to the fact that the storage conditions, for example, for home appliances differ significantly from the principles for storing dairy products.

Consider buying and renting a space. Perhaps the construction of a warehouse will be a much more profitable undertaking than monthly rental payments. The construction of a prefabricated warehouse has long ceased to be a difficult task - there are all conditions for organizing such a premises. Also consider buying or renting shelving, refrigerators, and other equipment to keep your warehouse running smoothly.

Stage 5. Supplier search - key moment in the organization of wholesale trade. Of course, it is better if the manufacturer works in close proximity to you. Find people who make products and are interested in selling them quickly. Such an enterprise or company can be furniture factory or a dairy plant with reasonable prices. In this case, you should not have any difficulties with delivery - and this is also a huge plus.

Often large-scale federal manufacturers work with many wholesalers or regional dealers. As a result, a long "chain" of sales goes through several wholesale outlets. It all depends on the number of competing companies in the trading industry, the level of demand for the product and the size of the retail market. Goods always get to retail points of sale through wholesale, and only then sales begin.

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Choosing a product group for wholesale, remember, that a wide range of products always generate income. The increase in the volume of deliveries and contracts with partners is a gradual process.

Finding a manufacturer that does not currently have a company through which you can buy goods in bulk is not an easy task. But in the interests of manufacturers and major suppliers- long-term cooperation with the wholesale business, and therefore its representatives are always offered bonuses and discounts. Direct cooperation with manufacturers without intermediaries can significantly save money.

Stage 6. Recruitment. An important role in organizing a wholesale business is played by interaction with sales representatives. The main task of representatives is to find most retail outlets that take care of the sale of certain products. You usually need to pay for goods either immediately or after they are sold in the store. Sometimes sales representatives also act as forwarders, delivering products to points of sale, doing paperwork and issuing goods. A sales representative is a key link in any chain, since it is he who finds potential clients, concludes supply contracts and works directly with store employees.

In the work of a wholesale organization, not only a sales representative is important. You should establish cooperation with a PC operator who will process applications, an accountant, a storekeeper, a cashier and a driver.

Stage 7. Purchase of transport. Ideally, you should buy a car. But if you don’t have such an opportunity yet, you can rent a vehicle or find drivers who already have a personal truck. If you plan to sell products in large volume buy a forklift.

How to open a wholesale business branch in the region

Before each wholesaler, sooner or later, the question arises of building a sales system in the regions. How to most effectively promote your products hundreds of kilometers from the head office? How to minimize the risks and costs of logistics? How to keep brand reputation under control? The Commercial Director magazine answers all these questions in its article.

What contract to conclude with the supplier

An agency agreement is concluded between a businessman engaged in wholesale trade and a supplier. It provides for the responsibilities of each of the parties and ensures their mutually beneficial relationship. According to the agreement, the wholesale businessman is looking for customers for the supplier, and the latter, in turn, pays interest for each of the completed transactions.

When concluding a contract, pay attention to several aspects:

  • The main function of an agent is to look for buyers.
  • The contract is signed by the agent and the supplier.
  • The signature can be put by an individual who does not have an LLC or individual entrepreneur.
  • The document must contain the percentage that you receive for the transaction.
  • The contract may contain sales volumes, payment methods (bank transfer, cash), work schedule and other details.
  • The contract prescribes the information available in the Civil Code. It says that the contract obliges the agent, for a fee, to legally act on behalf of the principal on his own behalf, but at the expense of the other party, either at his own expense or on behalf of the principal.

There are a number of options to consider here:

  • You, that is, the agent, act on behalf of the supplier and at his expense.
  • You are acting on behalf of the supplier, but at your own expense.
  • You are acting in your own name and at your own expense.

Of course, the presence of an agency agreement does not give a 100% guarantee in case of cooperation with a dishonest supplier. This document is intended to provide you with emotional peace and confidence that you are acting in accordance with the law. The presence of an agency agreement is a reason for the supplier to be confident in your decency and legal literacy. It is much more important, of course, to agree with the other party on a human basis, to establish a good relationship and let the supplier know that by working with you, he will always be afloat.

  1. Before implementing a wholesale business plan, choose the niche you want to fill and analyze the market.
  2. Study the properties of the product you would like to work with, learn more about the sales market and do not lose sight of the seasonality of the product.
  3. At the beginning of work, always focus on accumulation (money, customers, product leftovers).
  4. In the process of developing activities, the staff will expand, and therefore carefully calculate each step, think about the advisability of hiring new specialists.
  5. The beginning is always the most difficult, and therefore there will be a lot of work; for an indefinite period, you can forget about holidays, weekends and vacations.
  6. If you can not take a loan and impose on yourself other financial obligations, refuse them, at least until you are sure that you are not at risk.

Typical mistakes of beginners in the wholesale business

1) There is no clear plan of action. There are no improvisations in business, and this, unfortunately, is forgotten by many novice businessmen. The difference between business and Everyday life and lies in the fact that things left to chance turn out to be insoluble and do not bring a good result. Many entrepreneurs do not have an action plan, a project. A business plan (wholesale sales) should accompany you from the very beginning of the activity. Subsequently, there simply will not be time to compile it.

If you want to make a profit from work, write down each action and make up for a year. Think about what you need to expand your customer base, how to turn random customers into regular ones, write down the actions on paper. Work on the personnel search system, select employees, find suppliers. Developing a clear plan will take you the minimum amount of time, but it will save you the most in the future.

2) Incorrectly distributed start-up capital. Most beginners who ask the question: “How to open a wholesale business?” Want everything at once, and therefore waste their start-up funds irrationally. Irrational expenses include the purchase of ultra-modern equipment, high rent for a warehouse and a large wages specialists. Remember that the money business brings, first of all, sales. Therefore, it is better to direct the funds to the development of sales, supply chains and distribution.

When drawing up a business plan, pay attention to the most costly items. Analyze them and understand that at the very beginning of the work you will not need. You can cross off the list of new expensive office equipment, the creation of a modern personal website - you will deal with these issues later. If you can work not in the office, but in any other room, refuse to rent. You will always have time to move into a new office.

3. Misunderstanding the importance of the target audience. Beginning businessmen often have no idea about the target audience and market segmentation. And, at the same time, these are key values ​​in business. If you don't identify your target audience and understand who your product is intended for even before you start selling it, it will be very difficult to create an effective plan for its implementation.

An advertising campaign is effective when it is clear for whom it is designed. Think about who your product is for? What age are these people? How much, on average, do they receive per month? Being sure that your concept is interesting to any category of the population, you should not direct advertising to everyone - you will lose time. The success of your business depends on how accurately you represent a potential client.

4. Misunderstanding the difference between selling and marketing. A number of entrepreneurs do not understand how sales differ from marketing, and are sure that these concepts are almost synonymous. But it's not. Let's take an example. The seller generates and implements wholesale business ideas, takes a number of actions so that a person purchases products. These are sales. Actions on the part of the marketer, aimed at making the buyer contact you - marketing.

If you know exactly about your target audience, there will be no problem with advertising. You will clearly understand how and where it is better to give it. There are a million ways to attract a client. One business is effectively promoted using one advertising campaign, the promotion of the other is based on a completely different concept.

5. Expect instant profit. Many entrepreneurs do not understand: there is no instant income in business. This is especially true for those who have not previously conducted such cases. And, if it is not possible to make a profit during the first months, people leave the business. And you just have to be patient.

When calculating any business plan, the fact that the first year of operation does not give almost any profit is taken into account. Moreover, it can be very costly. And only then the losses become minimal, then they are reduced to zero, and after a couple of years, the ready-made wholesale business begins to generate income. Patience is the foundation of any business project.

How to increase sales in wholesale business

There are ways by which you can attract customers and increase sales. For example:

  • Streamlining the sales management system.
  • Interaction of regular customers and their involvement in the work.
  • Creation and implementation of a high-quality advertising campaign.
  • Increase in client base.
  • Converting potential customers into real ones.
  • Increase in marginal profit.
  • Competent system of motivation of sales specialists.
  • Efficient work with receivables.

All these manipulations can be carried out within the framework of a small enterprise using special business technologies.

How to turn wholesale business customers from potential to regular

How the wholesale business is organized, and what are its specifics, is completely unimportant. The main thing is systematic and continuous sales. In this regard, the key point in the system is the development of a sales funnel. Moreover, it is important not so much the presentation of this funnel as effective work with it. Basically, wholesalers go through 6 stages of sales, at each of which it is important to negotiate with customers.

The first block is the number of clients called by managers.

The second block is the number of interested customers who received a commercial offer.

The third block is the number of clients to meet.

The fourth block is the number of people with whom meetings have already taken place.

The fifth block is the number of buyers who signed the contract.

The sixth block is the number of buyers who received the goods from the first shipment.

Who can be trusted to do this work? Commercial department of the company. If we talk about a three-level sales department, then the department located on the first level creates a flow and makes cold calls. He is not engaged in negotiating and paperwork.

More qualified managers close sales. At the same time, high-class professionals, as a rule, do not want to deal with "cold calls", with more willing negotiating with regular customers, processing documents and taking orders. This leads to a cessation of the influx of new faces into the wholesale business. That's why best option- create a three-level sales department, in which responsibilities will be clearly distributed among employees.

After visualizing the funnel, you need to describe the indicators that exist at each level. If there is no systematic measurement of indicators, start measuring right now, and then at any time you will be able to assess the reasons why revenue does not increase and sales do not increase.

How to identify the "weak points" of the sales funnel

Galina Kostina,

Head of the consulting agency "ProfBusinessConsulting"

Having cut the funnel, you will understand how many potential customers move to the next level. For example, at a certain stage, a narrowing of the funnel is observed. So it makes sense to talk about weak spot in common system and you can quickly intervene and correct the situation.

Example 1 The daily duties of managers include 50 cold calls, which is reflected in the checklist. However, there is no influx of new buyers. The reason may be the ineffectiveness of the cold call, the inability of the manager to negotiate at the proper level, or the initial incorrect drawing up of the buyer's portrait.

Example 2 Through cold calls, many customers are interested in your company. You sent them a commercial offer (due to this, moving to the second block). And here the funnel suddenly narrowed because the client did not want to meet. The reason is the misconfiguration commercial offer, which the potential consumer is simply not interested in. The fact is that buyers in this case are experienced buyers who pay attention only to numbers, and not to goods that can be highest quality. Therefore, think about how to make the most attractive commercial offer.

Example 3 Your employees regularly have meetings, you send specialists on business trips, but all to no avail - contracts are not concluded. Review the negotiation model, organize seminars or courses for employees where they could acquire the necessary skills. After training, evaluate the situation.

Example 4 Contracts are concluded, but at this stage the buyer stops working with you: he does not make orders, and no shipments are made. You will need the help of qualified managers who know how to work with objections and who are fluent in communication skills.

Information about experts and company

Galina Kostina, head of the consulting agency "ProfBusinessConsulting". Business Consultant, expert in increasing sales and profits for small and medium-sized businesses. Has 18 years of experience as a top manager in large manufacturing companies. Worked her way up from Chief Accountant (including at Wimm-Bill-Dann) and Director for Economics and Development to founding her own Consulting Agency. He has a successful experience in implementing internal development projects, strategic planning, expanding production, attracting investment financing. Author of articles for professional federal publications, presenter of trainings and master classes.

Consulting agency "ProfBusinessConsulting" is a team of professionals dedicated to technologies for growth and achievement of results for small and medium-sized businesses.