For resellers of dual use and controlled use goods like computer hardware, software and IT equipment, cross border transactions can become arduous. First, exporting entities must prepare various documents to accompany the shipment in order to achieve clearance. These can differ from country to country and can include commercial invoices, freight delivery waybills, certificates, licences, and permits. Sometimes the personnel at customs can be strict and it’s in their power to delay shipments if they deem the paperwork to be insufficiently filled out. The complications don’t stop there though, as even when these materials are awarded clearance, they can be subject to heavy import taxes.
Value-added tax for example is an indirect consumption tax added onto technologies in over 150 countries such as those a part of the European Union, as well as China and India. This tax can go as high as 25% of the goods’ commercial value which has the potential to debilitate reselling businesses financially for a period of time, even though these taxes can eventually be declared. But what if businesses could retrieve these funds back within 6 months after guaranteed clearance?
Pursuing the global distributions process on your own can be risky, but partner with a solid Import of Record and it need not create so much stress. Strong importing partners like TecEx for example have points of presence in over 120 countries, meaning they can take over the global distributions process for resellers shipping to these places. Their expertise will ensure all paperwork and supporting documentation is applied for and filled out accurately on the reseller’s behalf. What’s more is they can help you lower costs on importing goods by applying on your behalf for import tax refunds from a number of these countries, saving resellers a great deal of money in the long term. This is especially helpful for companies incorporated within the EU who can recover these taxes from over 40 countries where this refund is applicable.
The benefits however do not stop there; this importer only charges their clients the landed-cost quote, so companies need not worry about their charges changing even if there are alterations made to the receiving country’s regulations. They also offer best lead times, promising clearance within 10 days of the quote’s approval. Finally, they provide their clients with a hands-on service, from access to a convenient online portal where they may track their shipments, to on-the-ground personnel that will liaise with freight and forwarding services, seeing that the shipment of expensive technologies arrives where it’s supposed to.
With so many challenges associated with importing technologies, it’s no wonder reselling entities tend to keep their business local. However, by doing this they’re sacrificing growth and international relationships that need not be passed up on now that they can take advantage of services designed to make importing and exporting their materials easier. When they partner with importing companies that have the power to retrieve their taxes back and guarantee clearance, there’s very little stopping resellers from fostering global partnerships, and growing their enterprises into multidimensional, international operations.