Factories and Trading Companies

There are two types of companies that foreign customers who purchase goods in China will come into contact with: factories and trading companies (intermediary).

Our company often advises foreign customers that if they want to purchase goods in China, they must try to purchase with factories instead of trading companies for the following reasons:
1. Purchasing with factories is safer and more secure. China has a lot of large and small trading companies, and many of them have only one office, if he received the customer's payment, and then moved the office, it is very difficult to track back. But the factory has its own plant, production equipment, and not easy to move away, the procurement risk is greatly reduced.

2. Purchase with the factory, the cost is cheaper. Trading companies are also with the factory to purchase products and then resell them to customers, earning the difference in price.

3. Purchasing with direct factories, the quality is more guaranteed. Because even if the customer purchases the same product, the trading company will place orders with different factories according to the price, resulting in uneven quality of goods.

Only when the purchasing quantity does not reach the factory's MOQ, it is suitable to purchase with the trading company. However, in case of purchasing with a trading company, it is also necessary to check the qualification of the trading company and the year of opening. Try to choose the company with high reputation.

We can provide the service of checking the qualification of the company, we can check whether the company exists and its size through the government's business registration website. Welcome to inquire.

Written by Mario