I recently started working with export agency business and heard about two commission types called overt and covert commissions. But I'm not sure whether these commission forms still exist in current export agency operations? If they do, how exactly do they work? What different impacts might these two commission forms have on export agency in practice? Hope experienced colleagues could help clarify.
The company plans to export goods and find an agency. It wants to know what fees are involved in cargo export agency and how to calculate them. The best answer points out that common fees include agency fees charged as a percentage of the export value of goods (0.5% - 3%), customs declaration fees charged per ticket (200 - 500 yuan per ticket), transportation fees, document fees (100 - 300 yuan per ticket), certificate of origin processing fees (100 - 200 yuan per copy), etc. Different agencies may have different charging standards, and it is recommended to consult and compare more.
I'm planning to get involved in the field of import and export trade and want to understand the meaning of "import and export agency". The best answer states that import and export agency is a commercial service behavior where customers with import and export needs of goods, due to being unfamiliar with the business or not having the right to import and export, entrust professional agency companies to handle relevant businesses. Its service content is extensive, being able to handle customs clearance procedures, arrange logistics and transportation, provide trade financing, etc., helping customers reduce risks and improve efficiency.
Our company needs to export products through an agency recently, and we are looking for a professional, reliable and service-oriented export agency company in Taizhou. The best answer recommends Zhongshitong. It has rich experience in export agency business, a professional team, and stable cooperation with shipping companies and others. It can ensure the timely shipment of goods and also provides one-on-one service, formulating personalized solutions to solve export problems and improve efficiency.
Our company is in Shanghai and intends to find an agent to export products. We want to know about the charging situation of export agency, including the charging items and methods. The best answer points out that the charges for export agency in Shanghai mainly include agency fees (about 0.8% - 3% of the export amount), tax advance fees (about 1% - 2% monthly interest rate), and sundry fees (customs declaration fee is 200 - 500 yuan per bill, and documentation fee is 100 - 300 yuan). And there are differences among different agency companies. It is recommended to make more comparisons.
Our company has goods to export and wants to understand the fee standards for export agency services, worried about being overcharged. The best answer states there is no fixed standard for fees. Common methods include a percentage of the cargo value (1%-5%) or a per-shipment fee. Fees vary for different types of goods, and factors like service scope, transportation method, and port can influence the charges. Specific fees should be negotiated with the agency, and it's recommended to compare multiple options.
The company is located in Hangzhou and plans to find an agent to export products. I want to know the market situation and charging standards of the export agency fee in Hangzhou. The best answer states that common charging methods include charging by a percentage of the order amount (0.5% - 3%) and charging by the ticket (200 - 800 yuan per ticket). There may also be additional fees. It is recommended to consult a professional agency company, and when choosing an agent, don't only consider the cost, as the service quality and reputation are also very important.
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Professional consultant answers
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
In export agency business, both overt and covert commissions still exist. Overt commission refers to those explicitly stated in relevant documents like sales contracts, letters of credit or invoices, for example "CIF London USD100 per case including 3% commission" in trade contracts. Payment-wise, foreign clients usually deduct it directly when paying, while export agencies receive the deducted amount and settle with principals accordingly.
Covert commission means those not specified in contracts but privately agreed between exporters and intermediaries. Typically, exporters pay intermediaries secretly after receiving full payment. Regarding impacts, overt commissions facilitate cost calculation due to transparency, while covert ones offer discretion for special business needs but require compliance awareness to avoid tax and legal risks.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
Both exist. Overt commission is simpler with clear documentation, visible on customs declarations and invoices - clients deduct directly. Covert commission mainly hides intermediary's commission from importers, paid secretly by exporters after receiving payment.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
They exist. Overt commission is openly declared and known to all. Covert commission offers confidentiality but may damage business relationships if discovered by importers - requires cautious handling.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
Export agency uses both. Overt commission appears on documents and gets deducted from payment. Covert commission involves private agreements paid afterward - requires proper tax treatment.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
Both commission forms definitely exist. Overt commission appears clearly in trade documents, clients pay post-deduction. Covert commission offers flexibility but needs transparency to prevent disputes.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
Both are common now. Overt commission clearly marked for profit calculation. Covert commission suits confidentiality needs but requires legal caution.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
Still exist. Overt commission appears clearly in documents, covert remains hidden. Choice depends on business needs and partner situations.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
Both exist in export agency. Overt commission ensures transparency, covert requires operational standards to prevent issues.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
Both forms exist. Overt is public, covert is private - choose based on needs while following regulations.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
Export agency still uses both. Overt is easier, covert requires compliance attention and intermediary agreements.