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How to Work with Agents?

August 5, 2015
Author: Anton Dell

When a relationship starts between a brand and an agent, the brand must consider that they are entering a partnership. It is now the objective of the agent as well to create and build sales for your brand in the most effective way possible.

As a brand, you will be required to send the agent your sample collection – one example of each style (not of colour). From here, the exciting process of getting your collection out to independent shops, boutiques or department stores begins.

The agent will do the job of selling your collection to stores within his or her network and will send all the orders on to you.

It is then your responsibility to deliver the orders to the stores and collect payments from them. The agent will charge commission on the sales. Commission can be between 10% and 20% depending on the brand, the collection, the agent’s profile and services, and your agreement. You will have to take the commission into account when you finalise the wholesale prices.

The agent also has the task of ensuring that they send you orders from ‘credit worthy’ customers – retailers with a good track record when it comes to paying the brands they stock. You will need to take a credit reference if you choose to give the store credit.

As a general rule, agents pay all their own costs. However, a brand may choose to help an agent along by making a contribution to their selling costs. For example, you may agree with your agent that they will show your collection at a fashion fair and then cover some or all of the associated costs.

If you feel uncomfortable engaging in the business of collecting money from stores, we can introduce you to several highly recommended partners who can look after all logistical issues from importation to collecting payments and even paying your agents a commission.

Do contact us if you have any further questions!


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