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When is the export agency fee generally charged? Come and find out!

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Our company recently has a batch of goods to export and plans to find an agency company to handle the relevant matters. I would like to ask when the export agency fee is generally charged? Is it charged when signing the contract or after the goods are successfully exported? Will different charging times have an impact on the fee? I hope experienced people can help answer this question. Thank you!

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Professional consultant answers

James Liu
James LiuYears of service:10Customer Rating:5.0

Foreign trade tax refund consultantConsult

There is no fixed standard for the charging time of the export agency fee. Different agency companies may have different regulations. The common charging time points are as follows:

First, after signing the agency contract, some agency companies will require the payment of a certain proportion of the advance payment, usually 30% - 50% of the agency fee. This can ensure that the agency company has certain funds prepared before starting the business and also shows the sincerity of the principal in cooperation.

Second, it is charged after the customs declaration is completed. Customs declaration is an important part of the export. Completing the customs declaration means that most of the work has been substantially carried out. Charging the agency fee at this time can accurately calculate the fee based on the customs declaration situation.

Third, it is charged after the goods are successfully exported and the foreign exchange is received. This is more beneficial to the principal because payment is only made when all the business is completed. However, the agency company may consider the capital return and risk, and the charging proportion may be slightly higher.

Different charging times generally do not have a significant impact on the amount of the agency fee. It mainly depends on the charging standard agreed in the agency contract.

Elizabeth Li
Elizabeth LiYears of service:3Customer Rating:5.0

Compliance and risk managerConsult

Some agency companies will charge the export agency fee after the goods are loaded on the ship and shipped out. Because at this time, the goods are basically certain to be exported as planned, and most of the work of the agency company has been completed. Charging at this time is relatively reasonable.

Andrew Huang
Andrew HuangYears of service:7Customer Rating:5.0

Supply chain optimization expertConsult

Some agencies charge the export agency fee after receiving the foreign payment from the client. This method puts less financial pressure on the principal, and for the agency company, it can ensure the recovery of the fee. The risks of both parties are relatively balanced.

William Yang
William YangYears of service:5Customer Rating:5.0

International logistics consultantConsult

There is also a situation of charging in stages according to the service progress. For example, a part is charged after the contract is signed, a part is charged after the customs declaration is completed, and the balance is settled after the foreign exchange is received. This can provide guarantees for both parties at each stage.

Joseph Zhou
Joseph ZhouYears of service:10Customer Rating:5.0

Senior foreign trade managerConsult

I heard that some agencies will charge the agency fee after the preparation of export documents is completed. Because preparing documents is crucial, and completing this step indicates that the agency company has put in a lot of effort and can receive payment in advance.

Robert Chen
Robert ChenYears of service:6Customer Rating:5.0

Customer service consultantConsult

A few agencies will charge the export agency fee after the goods arrive at the port of destination. However, this situation is rare. After all, various variables may occur during the transportation of the goods, and the agency company bears a relatively high risk.

Amanda Yang
Amanda YangYears of service:3Customer Rating:5.0

Cost control consultantConsult

Some agencies charge the agency fee after receiving the bill of lading. The bill of lading is the certificate of ownership of the goods. Obtaining the bill of lading means that the export process is coming to an end, and it is more appropriate to charge at this time.

Emily Liu
Emily LiuYears of service:10Customer Rating:5.0

Settlement and payment expertConsult

Some small agency companies may require full payment of the export agency fee before the agency business starts in order to recover funds as soon as possible. This situation should be carefully considered.

Sarah Zhang
Sarah ZhangYears of service:8Customer Rating:5.0

Document expertConsult

For long-term cooperative customers, the agency company may flexibly arrange the charging time. For example, the agency fees for several businesses are settled together, which is convenient and can maintain a good cooperative relationship.

The relevant questions or replies only represent the user’s personal stance and do not represent any views of this website.

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