Dummies guide to buying wholesale!

iwantin

Hello all,

I've been looking into buying clothes from a wholesaler in China. I have found exactly what I am looking for but I have no idea where to start in getting the clothes from China to here in Ireland.

Firstly, I am in the process of setting up a website to sell clothes on it. I have looked at the revenue website which tells me that I would pay duty of 6.5% on clothes imported from China... Do I then pay VAT of 21% aswell?

Do I need to register as a sole trader to purchase from a wholesaler?
Do I need to register as a sole trader to sell clothes on a website?

So many more questions but this is a start, I'd be most grateful for any help out there in getting me started.

RUDOLF289

Hello Iwantin,

I am a freight forwarder and can help you with most of the issues you raised.

First of all I am attaching a document that hopefully gives you some idea in relation to importing and exporting.

Can you tell me a bit more about where you found the rate of duty ? Can you tell me for instance what type of clothing you intend to import. Would need to know the type of material/fabric ladies or mens (or kids). If you have the customs tariff number that would be a help. Most of the clothing that I import for my clients are subject to 12% duty.

You will need to pay 21% VAT at time of importation. Please be aware that VAT paid on imports is a deductible input and can be claimed back through your VAT return.

Calculation of import duties is as follows ;

Cost of product (invoice value) + transportation cost + transport/marine insurance @ 12%.

Calculation of VAT is on the basis of the above + duty.

The reason to register as a sole trader (or limited company, take advice from an accountant in relation to same) is to be able to register for VAT. As you will be paying VAT on imports and no doubt charge VAT to your clients (at least those in Ireland), you need to be registered for VAT. Suggest you evaluate with your accountant what would be best, i.e. register as a sole trader or a limited company. There are pros and cons. It depends on the amount of business you intend to do. As a sole trader you are personally responsible for any debts the business incurs. As a limited company there is less personal risk but more cost to run the business.

In relation to transport from China, would be happy to assist in organising transportation, marine insurance and customs clearance on your behalf.

Feel free to e-mail or PM me if you have any further questions.

Best regards and success with your new venture,
Rudolf289

iwantin

Hi RUDOLF289,

Many thanks for your reply. I have pm'd you, no indication of my msg sending though so perhaps let me know if you didn't receive it.

Many thanks.

91011

I would walk before I would run.

You need to be certain of quality.
You need to be certain you can trust your Chinese source
You need to be sure you can sell the quanitites that Chinese factories will require.

Selling clothes online is fraught with difficulties as sizes differ from brands / style & manufacturers.

An alternative is to go the Leicester in the UK and check the many wholesalers / manufacturers there first.

__

RUDOLF289 wrote: »

Hello Iwantin,

I am a freight forwarder and can help you with most of the issues you raised.

First of all I am attaching a document that hopefully gives you some idea in relation to importing and exporting.

Can you tell me a bit more about where you found the rate of duty ? Can you tell me for instance what type of clothing you intend to import. Would need to know the type of material/fabric ladies or mens (or kids). If you have the customs tariff number that would be a help. Most of the clothing that I import for my clients are subject to 12% duty.

You will need to pay 21% VAT at time of importation. Please be aware that VAT paid on imports is a deductible input and can be claimed back through your VAT return.

Calculation of import duties is as follows ;

Cost of product (invoice value) + transportation cost + transport/marine insurance @ 12%.

Calculation of VAT is on the basis of the above + duty.

The reason to register as a sole trader (or limited company, take advice from an accountant in relation to same) is to be able to register for VAT. As you will be paying VAT on imports and no doubt charge VAT to your clients (at least those in Ireland), you need to be registered for VAT. Suggest you evaluate with your accountant what would be best, i.e. register as a sole trader or a limited company. There are pros and cons. It depends on the amount of business you intend to do. As a sole trader you are personally responsible for any debts the business incurs. As a limited company there is less personal risk but more cost to run the business.

In relation to transport from China, would be happy to assist in organising transportation, marine insurance and customs clearance on your behalf.

Feel free to e-mail or PM me if you have any further questions.

Best regards and success with your new venture,
Rudolf289

Thank u for the pdf you uploaded.

RUDOLF289

__ wrote: »

Thank u for the pdf you uploaded.

!

You're very welcome - whoever you are !

newman10

iwantin wrote: »

I've been looking into buying clothes from a wholesaler in China. I have found exactly what I am looking for but I have no idea where to start in getting the clothes from China to here in Ireland./QUOTE]

Would you not be better starting smaller and buying your clothes from a UK based Wholesaler.

Great deals to be got if you go to the Warehouse

lyndak082

soory dont want to be hijacking your thread but im in a similar situation and im wondering where is the best place to get wholesale childrens clothing/

im starting a fairly small venture and im not really thinking china. ive ssen a few wholesale websites from uk and wondered if they were ok or not?? any of the irish wholesalers dont seem to let you order online really, or do they??

suey71

Be careful when buying from Asia. Get the supplier to send you over some samples. It might cost a bit in shipping but its better than getting stung with a container full of cr*p that you cant sell.

A couple of months back I was going down this route and the supplier talked the talk and he was an English guy based in Thailand and claimed that he was the best supplier in his field. I had him send me over some samples and i got a shock when I got them. They were the wrong sizes/wrong amount/wrong colour and overall the standard of workmanship that went into his product was awful.

Just be careful.

Oh and this is my 500th post :cool:.

million79

hi,lads
I'm from China,6years living in Ireland,would be happy to assist you source in China.

I Drink It Up!

91011 wrote: »

I would walk before I would run.

You need to be certain of quality.
You need to be certain you can trust your Chinese source
You need to be sure you can sell the quanitites that Chinese factories will require.

Selling clothes online is fraught with difficulties as sizes differ from brands / style & manufacturers.

An alternative is to go the Leicester in the UK and check the many wholesalers / manufacturers there first.

This is my opinion also. I have searched now for a month before settling on a supplier who will supply me with the samples I want, never mind the full orders. It is an exhaustive and exhausting process. I went with the provider as they have shown an aggressive interest in meeting my demands, including ringing me twice from China, to my mobile phone, and promptly answering every email.