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    3 Replies Latest reply on Jan 18, 2010 3:32 PM by TheSoloGuide

    Trade references/history causing problem

    peekaboo Newbie
      I am just starting a new online toy store company, we (my colleague and I) had a meeting with a leading toy brand to discuss opening a wholesale account with them. The meeting went very well and we were given no indication that there would be a problem with opening the account, they knew we had no trade references and wasn't told that it would cause any problem. Some time later, after spending alot of time and money researching, marketing and building our website we get told that we are not being given an account due to not having any previous trade history/references.

      Surely any new company has to start somewhere, is there any way around this? We were desperate to get this account.

      Any advice would be appreciated.
        • Re: Trade references/history causing problem
          LUCKIEST Guide
          Trade references, Welcome

          Who are you?? Go to Members page and share some info.

          Do you know about SCORE?? SCORE is FREE
          <!--Session data-->
          • Re: Trade references/history causing problem
            amspcs Ranger
            Yup, the old 'what comes first, the chicken or the egg" dilemma. You can't get credit without history, and you can't get history if nobody will give you credit.

            Some random thoughts on my part:

            Are you SURE the fact that you have no credit references is the ONLY reason you were declined for an account? What I'm getting at is: how is your personal credit? And what do you mean "nobody told you lack of references would be a problem"? Businesspeople are supposed to just know certain things, and I think that's one of them. I assume you read the newspapers and are aware that credit is tight these days. Are you SURE you did all your hojmework?

            If your personal credit is OK, perhaps you could secure a loan via a bank or some other source with which to place your initial order(s). After they see that you are financially sound and able to pay your bills, maybe the supplier will reconsider the decline decision.

            If, on the other hand, your personal credit is a problem, then it is not surprising at all that you were declined.

            But this is all speculation. Until you share a little more detailed information, it will be impossible for anyone to give you sound advise.
            • Re: Trade references/history causing problem
              Tracker

              Peekaboo:

               


              When you were in the process of developing your site, did you pay any outside sources for help - web design, marketing company, etc...? The best you can do is to provide evidence, any evidence, that you pay to the terms set by an outside provider.

               


              If your target supplier won't accept this as hard enough evidence that you are worthy of establishing a line of credit, you may need to go with a smaller manufacturer that has more forgiving terms.

               


              Hope this helps.

               


              Doug Dolan

               

              The Solopreneur's Guide

               

              http://thesologuide.com/