Client Goal
- A major Indian distributor of sesame seeds and other grains wished to penetrate the Malaysian market.
- Travel expenses involved in finding and negotiating with new buyers in a foreign country.
- No reputation in Malaysia
- Local buyers refuse to negotiate without credit on deliveries. Distributor only extended credit for proven buyers.
- Delivery costs ate up profit margin for the quantity the exporter would currently be shipping.
Our Solution
- Net Equity set up local sales and research team for exporter.
- A sample batch was arranged to be sent to all interested buyers.
- Net Equity acted as a mediator for payment.
Results
- The major Indian exporter's initial order was 8 times larger then they had originally negotiated with buyers.
- This allowed them to cover their transportation costs.
- Net Equity held payments until buyers had signed off on goods for the first three deliveries. This allowed buyers to pass the credit criteria and were approved to buy on credit for future dealings.
Testimonial
"We are very happy with Mr. Gorasia's (Net Equity CEO) and his team's wonderful service. Malaysia has now become our second largest buyer....now we have leverage when negotiating with new companies in Malaysia and have truly established our company's reputation as a trusted exporter in our industry..." International Sales Manager, Indian Distributor of Grains & Seeds