How much inventory you end up holding depends on the type of industry.
On the one hand, if you do not have enough inventory when a customer calls, that person will go somewhere else.
While the distributor is independent, contracts are important.
The business is often built around these contracts — they protect the distributor and the beverage company alike.
To write a good plan in general, you need it to be the following five things: Although you can start from home, to be truly successful, you will need to buy or rent a warehouse to stock your products.
Consider warehouses in areas that are not too expensive or too far away from shopping areas and close to your desired customer base. Manufacturers, such as Katun, a manufacturer of printer and copier toners, requires that its distributors provide efficient local delivery.
Keep the above tips in mind, and you’ll be running a successful distributorship before you know it!
Distributors are the link between the end customers and the manufacturers of a product.
Basically, being a distributor means that you get your supplies directly from the manufacturer, and then distribute those products to various dealers in your business territory after adding a profit margin to those products.
Running this type of business can be very lucrative and rewarding.