Due Diligence: Your Most Important Step
Choosing a parent company determines the ceiling of your success. We've seen many hardworking distributors fail because their parent company was unreliable. Here are the 5 red flags to watch for:
- No Manufacturing Heritage: Companies that are just traders often lack quality control.
- Unclear Monopoly Terms: If they won't put territory rights in writing, they aren't serious.
- Low-Quality Packaging: In pharma, the perceived quality of the brand depends on its packaging.
- Hidden Costs: Watch for hidden dispatch or 'handling' charges that eat your margins.
- Poor Support: If they don't answer your calls during the enquiry stage, imagine how they'll be after they have your money.
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