Importing from the US

[Bumptastic]

Hi, I have a product which I am selling sucessfully in my shop. It's a new product, invented and made by a woman in NY, I came across her website and asked to buy a few from her to see how they sold. They went really well and I'm buying regularly from her now.

She's recently had quite a lot of publicity including an article in Business Week which has led to her being contacted by some of the UK daily papers.

I asked her if we can come to an agreement whereby I am her sole UK distributer, then I can sell both retail and wholesale in the UK. She's in the process of drawing up an agreement with her Lawyer. So far she has mentioned not wanting me to sell competing products as well as hers and that we would have to agree to a minimum $ amount that I would have to buy.

I've never done anything like this before and wondered if anyone can advise, do you think I should get myself a lawyer to look over any agreement? I guess I would need to find a lawyer who specialises in business or something.

So far I've only bought fairly small quantities which have avoided import duties which I know nothing about at all.

Basically I'd really like to do this but feel like I need a bit of advice/help/suggestions. Have any of you done anything like this before?

Sarah

[Eagle]

I'd definitely get a lawyer to look over it, Sarah. If only for peace of mind. Good luck with the business.

[Thought: Are we that acustomed to TV 'lawyers' here in the UK that we now commonly refer to them as lawyers and not solicitors! Or is it just easier to say?... ]

Mark

[Bumptastic]

funny you should say that, i usually refer to mine as solicitor (getting divorced, what fun!) but as she used lawyer I automatically used it in this context. I always think lawyer sounds more serious!!

[openmind]

I agree with Mark and get a solicitor to give it the once over.

One point to bear in mind is that in the event of a dispute, which country will the location of the court?

If its the US, then defending yourself could be expensive from 6,000 miles away. Vice Versa for her...

I have just set up a sub-contractor agreement to do some work for a company in the US and I insisted that all disputes were contested in the UK. Hopefully there will never be the need to get that far but at least its over here with UK law presiding which IMHO is probablt a good thing!

Small point to bear in mind..

[Bumptastic]

That's a good point Phil thanks.

[Incepto]

Probably obvious, but try and buy the products at a good exchange rate, or in the agreement, specify a constant exchange rate so that you're not going to be losing money over this- seems you will be buying in bulk, you have to be careful with this, as only a small change can make a big difference.

RSS