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WholeSale Liquidation Advice Needed for a Broker - Help!

Discussion in 'General Business' started by andy.flintoff5, Nov 17, 2011.

  1. #1
    Hello everyone,

    I need your opinions on something.

    I'm trying to work as a middle man between companies that need to sell products in wholesale, and other companies who are interested in these products.

    Since I'm newbie to this, and since it is unwise if I asked the buyer to send the money straight into my bank acc, then I send it in turn to the seller after deducting my commission... (same with the product.. comes to me first then I send it to the buyer), I decided on a better way. I'd have the buyer send the money to the seller and will expect the seller to do as agreed and wire me my commission. Both will know I am the middle man.

    This way, I evade taking responsibility for anything that might go wrong. Many times, it works and you get honest companies that pay you. Few times, you get scammed and they don't pay.

    Ok, so here is the dilemma with this new specific case: Some supplier company that sells a new "hot item" (wholesale) which is in demand everywhere, is looking for a distributor in some specific areas of the world. I easily found another company that is interested in becoming the distributor in their region and they agreed to the price and everything. (Actually, not only one who is interested, but more than one in diff regions).

    Ok, now they want to order. Thing is, with this specific case, neither of them knows I am the middleman. They think I am the other party.

    I think I'm trapped. Both of them want my company's info, address, fax, tel, bank info..etc. to proceed. This case is diff because there is gonna be continuous biz relationship. They will order more and more every few weeks. Not sure if I should tell either of them I am the middleman. The products have the info about the supplier on them and both can easily cut me off in future dealings.

    Also, it won't be practical for me to receive the money and the products here, then ship it to the buyer.... these are big orders and this will incur more fees on me. Besides, I'm not sure it is the good approach since the supplier wants a DISTRIBUTOR. I think they might have the right to know who they are dealing with.

    Any advices guys?

    Thanks...
     
    andy.flintoff5, Nov 17, 2011 IP