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If some of you think that this organic fertilizer business is a small business, we can say that you are incorrect and you may miss an opportunity to create a big fortune.
Why should you think of organic fertilizers as your grand business?
Firstly, food is the main needs of human being and the food industries can never be a sunset industry unless all of us do not eat food anymore. There is an unique situation that if the plants production area is at volcano coverage region and the soil is mostly rich with natural nutrition, then the agricultural producers may not need any fertilizers for their crops. Other than the volcano regions, majority of the agricultural producers require fertilizer to cultivate their crops. Therefore, natural fertilizer always has business opportunity.
Furthermore, the basic food industry is resistant to economy fluctuations because no matter how poor of the world economy, the people still need food to sustain. With such inelastic demands of food, the organic fertilizers will yet indirectly be benefited.
The application or supply of chemical fertilizers is slowly restricted and controlled by the authorities of all countries and this will be a grand business opportunity for bio organic fertilizer.
Please note that the use of chemical fertilizer destroys the soil particles and this will make the soil getting dense and unable to hold moisture and nutrients. As a result, the soil will get harder and harder and this is unavoidably a deterioration of soil quality. In other words, this will be a green issue. The green environmental awareness and protection nowadays is much powerful and some of these groups of environmental advocators also support bio natural fertilizer as a substitution of chemical fertilizer. With such movements, they indirectly help the agriculture world to produce a grand marketplace for organic fertilizer.
As I mentioned in my former article, whatsoever chemical elements that soaked up by the plants, will unavoidably pass into the bodies of beings. Please note that the chemical materials are in fact toxin. With this fact, we are taking toxin food indirectly everyday, do you, inclusive of your family members, want to eat chemical food daily? Bio organic fertilizer is healthy for plants as well as for the human being. Do you like to have good health for the rest of your lives? However, I have to caution you that not all the bio organic fertilizers are effective and healthy. Thus, a wise selection of bio-natural fertilizer is most significant.
In general, consumers have impressions that bio organic food is pricey and the people are adversely to purchase bio organic food due to its price. Yes, I agree in certain viewpoint because the agricultural producers might have use costly and ineffective bio-organic fertilizer in their plantation and the cost of pricey fertilizers will unavoidably be imposed into the price of food, that is, the additional cost of fertilizing will be conveyed to the final victims, the consumers. As a matter of fact, the agricultural producers can actually have lower cost of production and the end users can enjoy healthy organic food with reasonable and/or cheaper prices, PROVIDED the farm producers can select a good natural fertilizer.
The above are about eatable food. How about the non-edible food, such as grasses, flowers, trees and others? These are large marketplaces too! With an appropriate selection of bio-organic fertilizer, the cost of soil maintenance as mentioned above will be dropped and unavoidably gives the farm producers greater yield and profits. Your target purchasing markets for the organic fertilizers may comprise the home users, government departments such as town landscaping and agricultural divisions, multilevel marketing (MLM) companies, private farm companies, agriculture or farm association, online internet marketers and others.
Do you see the great business opportunities above?
To conclude: never disregard this natural fertilizer business and we should seriously study this bio-organic fertilizer industry.
For every story of success, there are perhaps a thousand stories of failure. This article is not meant to deter anyone from trying to enter the foreign trade market, but rather to give a better insight as to what one should expect.
From the outside (and to many on the inside), foreign trade is simply finding a product for a very low cost and marking it up a bit finding a buyer. Sounds simple. This is why so many try it.
Finding a product at a very low price is easy. Finding an honest supplier is very time consuming and is often a matter of trial and error. Quality is another issue you must be concerned with. Regulations concerning imports and exports is an area which you must become familiar with. Finding customers is not always as easy as you think.
Let’s look closely at each area – Let’s use Costume Jewelry as our target product-
1) “Finding a product at a very low price is easy.” Simple, search keywords such as ‘costume jewelry suppliers’ Look what Google search found –
– Results 1 – 10 of about 2,300,000 for costume jewelry suppliers.
Look what Yahoo search found –
– 29,700,141 results for costume jewelry suppliers.
Ok, we found the price we like.
2) “Finding an honest supplier is very time consuming and is often a matter of trial and error. ” Do you realize more than half of the listing which claim to be “manufacturers” are actually very small trading offices run out of peoples homes? Did you do any background checks on the supplier? Did you call them and actually speak to a person? How are they requiring payment?
3) ” Quality is another issue you must be concerned with.” – Not long ago, a well know retailer recalled millions of dollars in costume jewelry. Was it the fault of the supplier (manufacturer) or the buyer (famous retailer)? ANSWER- BUYER! In this case, the buyer had the resources to ensure the quality of the product leaving the factory was safe but chose to look the other way. The safe product would have cost more thus reducing corporate profits. So it was not an issue until a third party made it public.
4) “Regulations concerning imports and exports is an area which you must become familiar with.” Here is where so many get into trouble. You pay a factory $50,000.00 to ship 20,000 electric bikes to the USA. EASY! Contract signed, payment made. Product shipped. Factory has filled their legal obligations. Problem was, the contract did not state what certificates were required. You choose the product and said ship it. They did. Now customs has 20,000 electric bikes that they are not releasing due to lack of documents which you may or may not ever receive.
Keep in mind, you ARE the buyer from the factory. It is your responsibility to set the quality standards and be willing to pay for that extra measure of quality. Sadly, some very big corporations today put public safety behind profits. The factory will sell you a product very very cheap, but this will force them to use very very cheap materials.
As I have been in this business over 20 years, I will never have the lowest price, but quality issues resulting in a safety concern has never happened to us. Don’t allow profits to be the master, you reputation and the safety of your customers must always come first.
Handling small scale Businesses with a little number of shareholders have limited liability in terms of law regulations. Because the sole proprietorship does not have any separate legal entity for holding liability for the business’s debts. But once you go ahead to take your small business International, the process could be quite serious and complicated too. As a global expansion plan Export and Import, the two major processes of international business transactions are going to be the subjective issue in most cases you have to deal with.
What to Know about Import Export Law?
While doing business in another culture with different rules, politics and traditions, you are governed not only by U.S. laws, but also by the laws of other countries. Whether you prefer trading through FDI (Foreign Direct Investment) or export-import you have to do business properly for which licensing from US federal government is a necessity. An experienced business law attorney would suffice your requirement for smooth operational flow in such case.
You need to collect export license for goods like chemicals, software, electronic devices, and computer components. Various agencies under US government issues these export licenses. Since exporting helps in creating jobs for American and justify the trade balance too, Federal Government will help you in this case. The help can be extended in other ways as well as follows:
• The National Trade Data Bank will deliver business leads
• The Department of Commerce can alert you for export finances, political risk insurance and other international trade issues.
• The Export Legal Assistance Network would provide you source for good lawyers.
The law enforcement on importing is being monitored by U.S. Customs and Border Protection (Customs) division of the Department of Homeland Security. Every importer has to learn the rules of bringing goods to US for sell. This policy is called “Informed Compliance”. The law will ask you to go by the customs applicable. According to informed compliance the importer carries every burden from seizure of goods to severe civil penalties. Paying custom duty in full is mandatory. Depending on the negligence of underpayment or fraud or refusal of liability, penalties can be draw upon which can make your custom duty 2 to 8 times higher leading to loss of revenue.
You need to pay taxes or duties for anything you import. Depending on the country favorites, the duty may get varied. While the duty rate may get reduced for such occasion, it can also be completely forbidden altogether for political reasons.
Foreign Investment and International Contracts:
Typically Foreign Investments carries enough risks with the hope of earning profits in different country. So you need to understand the cultural and legal climate of the country before investing.
For International Contracts the possibility of disputes is high. Because the contracting partners like manufacturers, agents, distributors are hardly controllable. Whatever be your responsibilities there always set out clear instructions in writing among the parties and collect every detail of your trade profiles.