Our company plans to use an agent for export business but is unclear about the foreign exchange income. Who actually receives the foreign exchange income in agency export? Is it the principal (our company) or the agent? Are there any risks or special considerations we should be aware of? We’d appreciate a detailed explanation from someone knowledgeable. Thank you.
Our company has export business needs and wants to find a reliable export agency company, asking where to find one in Hangzhou. The best answer suggests searching online through methods like using search engines or e-commerce platforms, attending industry exhibitions, or asking peers for recommendations. Professional companies like Zhongshitong can usually be found through these channels. Comparing multiple options can help select a suitable agency.
Our company exports goods through an agency company. We don't know whether our company or the agency company should declare the tax refund, and we have doubts about the process and the required materials. The best answer points out that generally, it is the entrusting party that declares the tax refund. Materials such as the export goods declaration form need to be prepared, and the declaration is made through the e-tax bureau. Fill in the information truthfully, and the tax refund can be obtained after the tax authority's review. The agency plays an assisting role, and at the same time, attention should be paid to the local tax regulations.
Our company intends to find an agent to conduct import and export business. We are not clear whether the customs declaration and reporting should be the responsibility of the entrusting party or the agent. We are asking about relevant special regulations and precautions. The best answer states that generally, when it is in the name of the entrusting party and within the scope of entrustment, the entrusting party is responsible; when it is in the name of the agent itself, the agent is responsible. The two parties can also stipulate in the contract, and both should ensure that the declaration is true and accurate, prepare the documents in advance, and understand the process and the definition of responsibilities before conducting the business.
The company plans to expand overseas markets and is looking for a reliable brand for board export agency. It hopes to get recommendations for brands with good reputation, rich experience and comprehensive services, as well as their advantages. The best answer recommends "Zhongshitong". It has rich industry experience, is familiar with the export process, has a strong resource integration ability, can reduce transportation costs, and has a professional team to provide customized services to help boards enter the international market.
Our company is based in Nanjing and has import/export business needs. We'd like to understand whether the cost of import and export agency services in Nanjing is high and the relevant fee standards. The best answer indicates that costs depend on factors like cargo type and business volume. Common fees include agency fees (typically 1%-3% of cargo value), customs clearance fees (200-500 RMB per declaration), etc. Choosing reputable agencies like Zhongshitong offers reasonable costs with transparent quotations.
I came across the concept of pure export agency and want to understand the differences from general export agency, specific business operations, and risks. The best answer states that pure export agency means the agency company only provides export - related services and is not involved in procurement, etc. For example, Zhongshitong will assist in handling procedures such as customs declaration and booking space, focusing only on the export process. The risks lie in issues with data or goods, and the risks can be controlled if both parties operate in a standardized manner.
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Professional consultant answers
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
In agency export business, the recipient of foreign exchange income usually depends on the terms of the agency agreement. There are generally two common models.
One is where the agent receives the foreign exchange. The agent, leveraging their qualifications and account, collects the foreign exchange payments from overseas clients. Under this model, the agent must strictly follow the agreement, deducting relevant agency fees and other expenses before promptly remitting the remaining funds to the principal. The advantage is that the agent is highly professional and familiar with foreign exchange procedures, enabling them to effectively handle issues during the collection process. However, the principal faces risks such as the agent misusing funds, so it’s crucial to choose a reputable agent, such as Zhongshitong.
The other model is where the principal receives the foreign exchange directly. This is relatively less common and requires the principal to have the capability to receive and handle foreign exchange, with clear responsibilities outlined in the agency agreement. This model reduces intermediate steps but places the primary risks of foreign exchange collection on the principal. In any case, the agreement must clearly specify the recipient, fund settlement methods, and responsibilities of each party to protect one’s interests.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
Generally, the agent often receives the foreign exchange because they are more familiar with the foreign exchange process and can handle complex situations, such as exchange rate fluctuations, helping the principal mitigate risks.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
If the principal has their own foreign exchange account and collection capability, they can also receive the foreign exchange directly. However, this must be agreed upon in advance with the agent, clarifying post-collection operations and responsibility allocation.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
In practice, the agent receiving the foreign exchange is more common, as agents have extensive experience in foreign exchange transactions and can avoid potential issues, such as currency settlement problems.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
The recipient of foreign exchange depends on mutual negotiation. If the principal wants to control the cash flow, they can arrange to receive the foreign exchange themselves, provided they have the capability to handle foreign exchange matters.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
Typically, having the agent receive the foreign exchange is more convenient, as they have established processes and channels to quickly complete the collection and settlement for the principal.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
Some agency agreements stipulate that the agent receives the foreign exchange and then transfers it to the principal as agreed. The principal should monitor the timeliness of the agent’s fund transfers.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
If the principal receives the foreign exchange, they need to be well-versed in international foreign exchange regulations; otherwise, letting the agent handle it is more hassle-free.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
Once the recipient of foreign exchange in agency export is determined, related tax and other issues should also be clarified in the agreement to avoid future disputes.