To determine whether it is an export through trade agency, it is mainly judged from the following aspects. First, check whether an agency export contract is signed. The contract will clarify the rights and obligations of the principal and the agent. The principal is responsible for providing goods and relevant information, and the agent acts on behalf of the export matters in its own name.
Secondly, in terms of capital flow, the principal generally provides the funds required for export or bears relevant expenses. The agent does not advance funds and only charges an agency fee., in terms of the ownership of goods, the ownership of goods belongs to the principal, and the agent only handles the export procedures as required by the contract. For example, in the customs declaration process, the agent declares based on the information provided by the principal. Finally, in terms of foreign exchange receipt, although the agent is responsible for receiving foreign exchange, it ultimately needs to transfer the foreign exchange to the principal as agreed. By comprehensively judging from these aspects, it is possible to more accurately distinguish whether it is an export through trade agency.
Professional consultant answers
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
To determine whether it is an export through trade agency, it is mainly judged from the following aspects. First, check whether an agency export contract is signed. The contract will clarify the rights and obligations of the principal and the agent. The principal is responsible for providing goods and relevant information, and the agent acts on behalf of the export matters in its own name.
Secondly, in terms of capital flow, the principal generally provides the funds required for export or bears relevant expenses. The agent does not advance funds and only charges an agency fee., in terms of the ownership of goods, the ownership of goods belongs to the principal, and the agent only handles the export procedures as required by the contract. For example, in the customs declaration process, the agent declares based on the information provided by the principal. Finally, in terms of foreign exchange receipt, although the agent is responsible for receiving foreign exchange, it ultimately needs to transfer the foreign exchange to the principal as agreed. By comprehensively judging from these aspects, it is possible to more accurately distinguish whether it is an export through trade agency.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
If an export enterprise simply helps others handle export procedures and does not assume risks such as product quality and market risks, it is most likely an agency export. If it is only responsible for matters such as customs declaration and booking space, it can basically be determined.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
Pay attention to the invoice issuance situation. If the principal issues a sales invoice to the actual buyer and the export enterprise only issues an invoice for the agency fee, this also indicates an agency export.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
Look at the business negotiation process. If the export enterprise does not participate in the negotiation of essential sales terms and only operates as instructed by the principal, it is also a manifestation of an export through trade agency.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
From the perspective of tax rebate, generally, the principal handles the tax rebate for agency export, and the agent assists in providing relevant materials. If this situation is met, it may be an agency export.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
If the export enterprise does not participate in core links such as goods procurement and pricing, and only deals with export process matters, it tends to be an export through trade agency business.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
Pay attention to the transportation arrangement. If the transportation is dominated by the principal and the export enterprise only cooperates, it is also a characteristic of an export through trade agency.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
If in the entire export business, the export enterprise has no independent right of disposal of the goods and acts according to the instructions of the principal, it is mostly an agency export.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
If in the financial handling, the export enterprise only accounts for the agency fee, and other financial transactions related to the goods are related to the principal, it may be an agency export.