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Factors to consider when choosing a wholesale supplier for your business

As a small or independent shop owner, choosing a wholesaler you can trust and rely on will be crucial to your success. The wholesaler you opt for can make or break your business, so there are a lot of factors you need to consider before you agree to work with one. Read on to find out more about the four most important factors you should look into when choosing a wholesale supplier.

1. Price

One of the most pivotal things that you need to check before signing any contract with a wholesaler is price. Factors such as shipping distances and the wholesaler’s relationship with manufacturers can affect the cost of items. Of course, you probably have too many products to ask about the individual price of each one, but having some general guidance on costs and what may impact these going forward will be essential.

Another factor is how price changes in comparison to volume. For example, some wholesalers may offer lower prices but with higher minimum order numbers. If you have a smaller business, it can benefit you to opt for wholesalers who offer lower minimum order numbers despite higher prices.

2. Shipping

Once you are aware of pricing, you also need an understanding of how shipping works with each wholesaler. Make sure to ask who will cover the cost of shipping so that this can be factored into your price estimates. It’s also important to find out how quickly you can have products delivered to you, especially if you run out and need to restock at short notice. Remember, an unreliable wholesaler will reflect poorly on you and your customer service, so don’t let low prices cloud your judgement.

3. Flexibility

It can be really beneficial to find a wholesaler who is willing to negotiate and be flexible, both in terms of price and payment method. Ideally, you want to work with a wholesaler who offers invoicing, as this means you won’t have to pay for your order until after shipment. Plus, it gives you time to resell some of the products before you have to pay for them. However, make sure you ask them about all the payment methods they provide, as credit card and check are fairly standard too.

4. Return policy

When ordering products in bulk, it’s possible that some of them will arrive damaged and not in a sellable condition. Before choosing a wholesaler, make sure you know what their returns process is, as you don’t want to be stuck with an inventory full of unsellable stock. This also links back to customer service – can you easily reach someone to talk about a problem? Is there a live chat or support number available?

For more tips on choosing a wholesale supplier, get in touch with our team today. Also, be sure to check out the rest of our blog for more business advice.

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