True Wholesale Distributors

Reputable online wholesalers . . .

are obviously who you want to do business with. I think it is important to understand that a true wholesaler, or wholesale distributor is a business specifically licensed by the state in which it resides to sell goods as a wholesale distributor.

What this means for you is that you must have a sales tax permit. This is a document that you get from the state in which you reside that allows you to purchase goods from a wholesaler–a real wholesaler–without having to pay sales tax. When you retail products to residents of your state, you are required to collect the sales tax and remit it to the state on the appropriate tax filing dates.

When businesses do not requires a sales tax permit, then that means they are not a true whoelsale business. This does not mean they are not legitimate, but it does mean that they are some other kind of business. For example, a liquidation-closeout specialist would not necessarily require proof of your sales tax permit because it is not a wholesaler. A true wholesale distributor is a very specific kind of business and requires a specific sort of business license. Anyway, I think you get the point.

As for reputable online wholesalers . . . these do not always advertise. In fact, they rarely promote an online presence, which is one reason why they may seem to be so hard to find. Some, I’m sure, don’t bother with the Internet. Business finds them, and business is good.

If you are starting from scratch, you may want to use the shotgun approach to solve the problem of finding product distributor sources. This is a sort of umbrella solution and works well for many people and is not terribly expensive. Essentially, you may find it worth your while to simply join an online wholesale directory membership in the business of registering and verifying legitimate product distribution sources. The good ones cut right to the chase saving you time lost to search and trial and error. To find out more,

 

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