Want to Be a Direct Importer

Takeaway tips: Work toward paying your overseas vendors in the same way you pay domestic vendors — say, 30 days after receipt of goods. With overseas vendors, however, they may want payment as wire transfers to foreign banks rather than checks.

Following is a method that has worked well for us: Pay 50 percent of the purchase order value at the time of shipment and 50 percent upon receipt of goods. Before you do this, you must have faith in, or experience with, the vendor. If not, use an inspection service at the shipping end. This will ensure that your goods are acceptable prior to shipping and before you pay the first 50 percent.