Starting an Import-export business is relatively straightforward and easy if you are following step-by-step guide. Still, it can be a daunting task to get started in import-export business if you are new to the entrepreneurship.

1. Before starting an import-export business, decide export or import?

If you are from developing country like India, then most probably it’s easier for starting exporting business. If you are more interested in starting importing business, then you should already have a plan. You should know to whom you are going to resell your products, after imported. Also If importing, then you should already be sure, what products you are going to import.

2. Learn about your country’s exporting sectors

Every country has its own export sectors and import sectors. You should learn what your country is exporting. If your country exports something, then it means, that your country has a relative advantage with this type of products. It’s important to learn about export sectors in your country because you should choose the products for export from these sectors. There are many ways, to make sure the export sectors. You can ask information from your country trade bureau or similar institution. You can find the information online.

3. Choose the best product for export

After you have a general list of the potential export products, then you should niche down and choose the best products for you, personally.

3.1. Product must be suitable for you

Only choose this kind of products and items about what you personally know a lot or have experiences with. You should not choose the product about what you don’t know anything. At least you should have interest in the product, so you are motivated to learn about it.

3.2. Select products what has biggest profit potential
Now, after you have a sub list of the products that best fit for you, it’s time to select the most promising ones out from there. You should make sure what are the potential profit margins for your products.

You need to compare the selling prices ( export prices) and the local prices what potential suppliers can give to you in your country. Selling prices you can easily check in Alibaba, just type the product name there and compare the prices of gold suppliers.

Then ask quotations from your suppliers in your country. Ask quotations from many suppliers, so you have many offers and you can easily make sure the local price. Finally, you should have a new sub-list of the products what are the best fit for you and has also high-profit potential.

4. Establish company, apply export license etc

Now, after you have a profitable product(s) selected for your future business, it’s time to establish the real company and all acquire other relevant things.

You can choose the name for your export-import company and register the company. Also, you need to organize and apply following for your business:

• Register private limited company/partnership firm,etc.
• Open bank account for your business
• apply for export-import licenses
• become member of trade communities like FEIO or your product related organisations (For example, the Tea Board for tea exports)
• Create a website for your business
• Make visiting cards

It’s often easier to hire someone to do the registration and license applications for you, same with the website and design. After this step, you are officially ready for starting an import-export business.

5. Decide your target market(s)

After you have been selected product(s) for your export business, it’s time to also make sure the right target markets for you. If you are from developing country, then you should consider exporting to the developed countries and especially to the European Union.

It’s good to use the google to find information about your country greatest export markets.