Best Selling Books On Entrepuneurship In Fashion By Women Wholesale – What Exactly is a Wholesale Distributor?

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Wholesale – What Exactly is a Wholesale Distributor?

The term wholesaler refers to any supplier who sells products to people other than the typical end consumer. Wholesalers sell their goods to business or professional users, retail stores, industrial, institutional or commercial customers or to other wholesalers. Wholesalers can also act as a broker or agent for others who want to buy or sell goods. This merchandise may include either new or used items or products. These suppliers may either operate from their own independent locations or may gather with other wholesalers in a specialized “wholesale marketplace”. Currently, with the influx of commerce on the Internet, wholesalers have broken into the new market of e-commerce.

Wholesale suppliers typically buy large lots or bulk and sell in smaller pieces or groupings. Most of the time, wholesalers are not required to collect and pay sales tax, but sometimes, and based on location, they may be required to pay a specialized wholesale tax. Wholesalers may offer a small selection of products, all made by the same manufacturer, or may offer their customers thousands of items made by many different manufacturers. These products may include components of other end-use items, such as electronic or automotive parts, or they may be the finished product, ready for consumer purchase.

Trading companies that trade in the wholesale market are essential to a healthy economy. Wholesalers provide governments, institutions and businesses with a ready-made, convenient and wide range of goods, allowing buyers to minimize inventory. Manufacturing companies rely on wholesalers to market and distribute their goods, freeing up their resources to perform other mission-critical tasks. Wholesalers also undertake customer service, transaction processing and technical support tasks. Some wholesalers even offer services to their customer base, such as financing, advertising, consulting, and repair and installation services.

There are two types of wholesalers. Wholesalers buy products in bulk or lots and take ownership of the goods before resale. Individual sales departments and offices of certain manufacturing companies also fall under this category. Wholesalers deal in durable goods that have a shelf life of more than three years, including cars, furniture, sporting goods, parts and toys. They also buy and sell non-durable goods, including groceries, drugs, gas, alcohol and books. The electronic wholesale markets, agents and brokers handle sales for others based on commission or fee. They will usually never take official ownership of the goods.

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