Starting an Import Business

Simply put, importing is nothing more than moving goods from one country to another in order to open up new markets. How hard can it be, right? The answer is “harder than you think”, as many an entrepreneur has discovered to their surprise, frustration and sometimes eternal regret. And as all of them will tell you, don’t get into the business of importing until you have researched everything about it. Apart from the hidden costs and cash flow challenges, there is a potential minefield of legislation that you need to familiarise yourself with before you begin.

Research the Import Market
Research, research, research is to importing what location, location, location is to property.

Establishing Trading Relationships
As is often the case in business, deciding who you want to do business with is not easy.

Outlining Roles In Importing
When you’re dealing with somebody based in a remote location it is even more important than normal to clarify upfront exactly what roles each party is required to fulfil.

Import Payment Options & Exchange Control
To pay for your goods, you will need to access foreign exchange.

Overcoming Importing Cash Flow Challenges
Cash flow often proves to be the biggest stumbling block for importers.

Import Transport Logistics
Once you have organised payment terms for your goods, you will need to organise to get them either shipped or air freighted to South Africa.

Getting an Import Permit
You only need to get an import permit if you are importing certain types of goods.

Getting Through Customs
Every importer needs to familiarise themselves with the customs procedure of clearing imported goods.

Importing Documentation
There are various categories of documents required in international trade transactions. Not all are needed for all importation. They include:

Importing from China
Chinese imports have a notoriously bad reputation. But that doesn’t mean every company in China produces substandard products.

Expert Advice on Importing
South African homeware importer and founder of Ethereal, Claire Smith, has this advice to share on how to operate a successful and streamlined import business: