Develope a Drop Ship Manufacturer Partnership.

This article will outline some guidelines to be aware of when approaching drop ship manufactures for the first time.

Establishing a relationship with a reputable drop ship manufacturer , is a critical ingredient when establishing yourself as an online retailer.

As important as finding and locating a drop shipper, is fostering a long term relationship that will be rewarding for both parties.

The benefits provided by a drop shipper are tremendous when you consider the overall benefits it gives to the online merchandiser. As a retailer you're able to sell and market products without the hassle of stocking inventory.

This business model allows ordinary people to start on a part time or full time basis and operate without incurring huge over-head costs. A terrific advantage when operating on a shoestring budget. Having established the fact that using drop shippers is a good idea, how do you go about building a relationship.

Prior to contacting anyone you must first legally set yourself up as a business or legal entity.

Don't be ridiculous by thinking that your going to be able to make any progress with manufacturers or second tier distributors, without this basic non-step to start.

The bottom line is drop shipping suppliers will not even think about speaking with you without a Fed Tax ID number and or resellers license.

You will want to collect some important information, to set the ground work for a solid relationship.

1.) What are there shipping terms. While there are many shipping services out there, most will use just a select few. Dealing with a supplier that uses a freight forwarding company that offers online tracking will allow you to provide quicker accountability of orders you have placed. Additionally, providing tracking #'s to your customers adds yet another layer of comfort and makes them feel more confident in their purchase. Further questions may include, whether or not they offer online ordering and if they will affix a customized label to your order.

2.) Negotiating the price of the products. Most manufactures or second tier wholesalers have standard pricing. If you choose to purchase in bulk you may be able to secure a lower price per unit. Usually the wholesaler or drop ship manufacture
will have a set price break and schedule for bulk purchases.

3.) Formulate a payment plan that suits your business. It's best to arrange your chosen method of payment upfront. Usually you can set up credit terms through standard methods. Most times you can pay per order with either a credit card or business
check.

4.) Have a clear understanding of their product return procedure. How do they handle credits and customer returns. When a customer wants to return product or merchandise do they return it to you directly or do they return it to the manufacture or
the drop ship supplier. Having these issues ironed out upfront will ensure a smooth operation.

Finally, setting your business up the right way from the get go will help you handle issues as they arise. Having a reliable product sourcing company that you're able to build a solid relationship with, will be paramount to having and running a successful drop shipping business.

If you would like to discover how smart people locate real drop shippers and manufactures with just the click of a mouse, this video which shows you how easy it is to locate real drop ship manufactures and product sourcing companies.