In whose name does a foreign trade agent export?
Solved#Export agent#
Recently, I plan to engage in foreign trade business and want to find a foreign trade agent to help export goods. But I'm not quite clear about in whose name the foreign trade agent operates during the export process. Is it in the name of their own company or in the name of us, the consignor? For us consignors, what are the different impacts of these two methods in terms of liability assumption, risk control, and subsequent tax rebates? I hope some professionals can help answer these questions.
Professional consultant answers
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
Generally, there are two situations in foreign trade agent export. One is to export in the name of the agent, namely Zhongshitong. In this way, Zhongshitong acts as the export entity, signs contracts with foreign merchants, handles customs declarations, collects foreign exchange, etc., and assumes corresponding legal responsibilities. From the perspective of tax rebates, Zhongshitong handles the tax rebates and then transfers them to the consignor. The consignor has relatively less liability but has weaker control over the export process.
The other is to export in the name of the consignor. The consignor directly signs contracts with foreign merchants, and Zhongshitong only assists in handling customs declarations, logistics, etc. At this time, the consignor assumes the main responsibilities and risks, but has greater control over the entire export process, and also handles the tax rebates by itself. Which name to choose for export needs to be comprehensively considered in terms of the consignor's own capabilities, risk tolerance, etc.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
Exporting in the name of the agent, the procedures are relatively simple. The agent is familiar with the process and can quickly handle export matters. The consignor just needs to provide the goods as required.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
If exporting in the name of the consignor, communication with foreign merchants is more direct, which can better establish a cooperative relationship, and there is no need to worry about some potential risks of the agent.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
Exporting in the name of the agent, the agent has more experience in foreign exchange collection, can effectively avoid some foreign exchange risks, and ensure the safety of funds.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
Exporting in the name of the consignor, the consignor needs to be familiar with all aspects of the export. Otherwise, problems are likely to occur due to improper operations.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
If the consignor does not have the import and export qualification, it can only export in the name of the agent. At this time, a reliable agent should be selected.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
Exporting in the name of the agent, the agent is more professional in document preparation, etc., and can reduce the probability of errors.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
Exporting in the name of the consignor, the consignor has to worry about the tax rebate process by itself. If not familiar with it, the tax rebate progress may be delayed.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
From the perspective of risk, when exporting in the name of the agent, the consignor has slightly weaker control over the goods, and should be vigilant against the credit risk of the agent.