China's international trade market has great potential, and there are many high-quality China sourcing companies. Purchasing companies are commercial service companies. The business of China sourcing companies includes the following categories: agent inspection, agent warehousing, agent declaration or customs clearance, agent international transportation, agent foreign exchange receipt and payment, agent international insurance, export tax rebate advance payment, etc.

1. Closing and contracting

China sourcing companies negotiates the deal through trade fairs and other channels. After the contract is signed, the foreign trade branch will issue a demand notice instead of a copy of the contract to notify the factory and consider making preparations for production.

2. Come to Evidence

International trade usually uses a letter of credit for settlement, and it is common practice to wait for a foreign investor to send a letter of credit through a bank before the transaction is considered to be finalized. In the contract, the time limit for the certificate should be specified. If the certificate is not due, China sourcing companies shall be responsible for urging the certificate.

3. Foreign trade certification

After the bank's preliminary review of the letter of credit, the China Purchasing Company will also review it in accordance with the original contract terms. After passing the review, the original copy will be kept for future payment requirements and the copy will be forwarded to the factory. After the factory sees the certificate of credit, it is no risk to formally arrange the workshop to start production. After the factory's production and stocking are completed, the delivery notice is filled out and the products are delivered to the warehouse of China sourcing companies.

4. Foreign trade shipment

After receiving the goods from the warehouse of China sourcing companies, the relevant sections and groups immediately proceeded to handle the shipment, including chartering, booking space, applying for commodity inspection, insuring insurance, packing and heating, document preparation, and customs declaration.

5. Customs declaration

China sourcing companies can act as an agent for the customs declaration process. A full-time customs declaration officer who has passed the customs examination fills out the declaration form, and is accompanied by a customs certificate to be submitted to the customs supervision and inspection.

6. Negotiation

After completing the above procedures and obtaining the bill of lading and other documents, China sourcing companies, together with the original letter of credit, shall go to the Bank of China and other foreign exchange banks for negotiation. After reviewing the documents, the bank confirms that the documents are consistent. After the documents are consistent, the bank will advance the payment and send the documents abroad to claim the advance.

7. Settlement

When the foreign exchange bank negotiates, the foreign exchange will be converted into Renminbi to fill in the foreign exchange settlement notice at the purchase price of the day, and the handling fee will be deducted and transferred to the foreign trade company.

8. Transfer money

After receiving the remittance settlement, China sourcing companies deducts the shipping, insurance, commodity inspection fees and other agency fees originally paid in advance, and then fills in the "Transfer Settlement Statement" and transfers the net amount to the factory.

9. Tax refund

After the product has been declared for export and financially sold, the entrusting company shall fill in the "Export Product Tax Rebate Application Form" monthly and ten days, and provide relevant certificates (copy) such as invoices, and attach the "agent" issued by the agency "Export product certificate" applies to the tax authority in charge of export tax rebate where the company is located.

10. Account

Based on the export invoices, transfer notices, and tax refund forms transferred from China sourcing companies, the factory’s financial department made corresponding accounting entries and entered them in a timely manner.

The above is the business of China sourcing companies. With the development of the economy, there are many high-quality China sourcing companies, and purchasing companies play an important role in foreign trade.