Sourcing Company

Business model

A sourcing company is virtually the same as a trading company. They serve as a link between Chinese factories and importers. They help their clients in finding the right supplier. When you reach a decision, they will source, supervise, carry out QC and ship your products. They are known in China to offer full China sourcing services.

Who needs them?

If you are inexperienced in importing from China or you would rather focus on marketing than wasting time sourcing for suppliers despite that you are experienced in it, it may be a perfect choice to have a sourcing company handle your entire China supplier chain.

They can help you find reliable factories that render customization for products if you need one. They offer services such as getting the product customization details, production follow-up, and shipping arrangement.

Advantages

Sourcing companies greatest advantage is in providing more options on suppliers, flexible price comparison and time-saving. You can keep turning down the suppliers they bring until they find the one that suits your taste.

Important Notice!

An unprofessional sourcing company is known to create a lot of problems, and you will be left complaining about the inferior quality products, too high prices, poor communication, etc. They will also waste your time with not comprehending your request and asking too many questions that will only waste your time and energy. You may end up regretting not contacting the factory directly.

Where to find them

You can locate sourcing companies on Alibaba and via Google search. If you have the means, you can come to China for the Canton Fair. You will see several large sourcing companies in the shipping area. But to be honest, it’s really difficult to tell if they are good or bad until you started working together cooperatively.

And then the summary,

 Sourcing company
Business modelThey offer full services, such as sourcing, supervising, carring out QC and shipping your products.
Better for WhomImporters with little importing experience, or others that need sourcing company to manage supply chain in China to save time.
AdvantagesOffers more suppliers choices, more price for comparison, and save importers’ time.
DisadvantagesUnprofessional sourcing company would bring importers a lot of trouble.

Now It’s Your Turn!

We have come to the end of this guide. I have poured my honest reviews on the 5 different types of trading companies in China. It will also help importers to choose the right trading company for their business. I believe you must have learned by now which trading company is the best for you.

Kindly contact us if you have any questions and feel free to drop your comment. We will be glad to reply you as soon as possible. Do well to share this guide with your contacts.

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