Posted in Operations and Supply Chain Terms, Total Reads: 406
Definition: Export Broker
An export broker is an individual or a company responsible for bridging in the gap between the buyer and the seller. It acts as a middleman between the company which has products meant for export and the foreign company which intends to import that product. It facilitates the transaction between the two concerned parties. It also undertakes the smooth facilitation of the smooth shipment of the product. For all these services, the export agent receives a commission.
An export broker may choose to deal in exportation of a wide range of products or in a single type of product provided that the products are legally validated by the law.
The extent of involvement of the export broker may vary from one entity to another. Where, one may choose to get involved in buyer-seller matching and sales completion, another might choose to handle the overseas shipments of the products in addition to handling the transaction.
Export brokers spend a significant amount of time in researching to figure out new potential markets and companies. Many of them become part of export associations and trade organizations to stay updated on their networks, business and leads. They also dedicate efforts and time in studying export laws and creating invoices, contracts and other documentation for their clients.