Would you source from this supplier?

I’m an OA seller but today I just contacted some brands for Wholesale!

The Sales representative asked me a few questions and then asked me about our company email address.

Now they send me the distributors but they clearly mentioned we aren’t currently seeking new partnerships with online retailers and we don’t provide LOA .

So now my question is: Should I Open the account with distributors ?

Is it safe to sell if there’re no IP complaints and have invoices from authorized distributors ?

  1. Brand Policies: Take into account the brand’s policies and guidelines regarding authorized resellers and distribution channels. If the brand is not actively seeking new partnerships with online retailers, it may indicate that they prefer to work with established brick-and-mortar stores or select e-commerce partners.
  2. Risk Assessment: Assess the level of risk associated with selling products from these brands without explicit authorization or support. While having invoices from authorized distributors may provide some level of legitimacy, it’s essential to consider the potential consequences of selling without formal authorization, such as the risk of intellectual property (IP) complaints or legal issues.
  3. Compliance with Amazon Policies: Ensure that your business practices align with Amazon’s policies and guidelines regarding product sourcing and authenticity. While having invoices from authorized distributors may help demonstrate the legitimacy of your inventory, it’s important to comply with Amazon’s requirements for selling branded products and addressing any IP complaints or policy violations promptly.
  4. Long-Term Strategy: Consider your long-term business strategy and goals. Evaluate whether it’s worth the potential risks and challenges of selling products from brands that are not actively seeking new partnerships with online retailers. Explore alternative sourcing opportunities and focus on building relationships with brands that are more receptive to working with online sellers.

Ultimately, the decision to open an account with distributors and sell products from these brands depends on your risk tolerance, business objectives, and commitment to compliance with Amazon’s policies and brand guidelines.

If you have any further questions or need assistance with navigating this decision, please feel free to reach out.

They mentioned that they do not work with Online retailers, so just ignore them and find better suppliers.

Nope, whenever amazon is asking for LOA, and they can’t provide that, you will be in trouble

If they give you authorized distributors list then yes you can purchase from them. And if there is less risk of IP then it is good to go with distributor. Many sellers are working with main and authorized distributors, it is a big opportunity to work with but obviously the margins will be less as compare to direct brand purchasing.

For letter of authorization, ask the distributors that whether they are brand authorized or not? If they say yes then try to convince them to provide the letter to you so that you will be able to use in future if there is an IP case.

Have you ever tried to ask the brand again and again to allow for reselling or open account with online retailer, obviously if you see good margins. Or you just leave and move to the next?

Yes. But in most cases, there are ways how to obtain their stock for resale, just its risky.

But they gave me a distributor, if the distributor provides me an invoice then is it good ?

If the question is regarding about being 100% safe from an Ip, then you are only 100% safe when the brand itself is giving you permision to sell on Amazon …You can receive an Ip even when you buy from the brand itself as long they did not give you permision to sell on Amazon however do not worry about this .You need to make sure that you but genuine products from genuine suppliers and make sure that you properly check the brand for any risk of an IP