If it is a big sale, you can consider self operating overseas warehouses. Small and medium-sized sellers are not recommended to build their own overseas warehouses. The establishment of self operated overseas warehouses needs to meet several conditions.
1. There is a specially assigned team overseas to manage warehousing matters, and coordinate with the business development needs to conduct unified scheduling and management of products; It is better to have a Chinese team to facilitate communication between the two sides.
2. The seller should have mature products and market share. In other words, if there is no certain order volume as support, the self operated overseas warehouse has no meaning.
3. Sufficient funds for backing. On the one hand, sufficient cash flow is required to be transferred weekly; on the other hand, overseas warehouses need to store certain quantities of goods, which need sufficient funds to support. Once it is slow to sell, the seller will face a large economic crisis, so it needs to have sufficient funds as a backing.
PS: the biggest difficulty of self operated overseas warehouse lies in the risk of goods hoarding and capital pressure. Therefore, it is necessary to have a very keen sense of market trend and sales volume. Once the goods are unsalable and the capital chain is broken, it will deal a heavy blow to the seller. It is suggested that the seller can rent a third-party self operated overseas warehouse to reduce costs and control risks.
