Be sure to stay away from companies that have long persuasive sales letters to convince you to buy their product. These companies tend to have outdated sources, and spend more time and money on their sales than their product. There is a very short list of companies that offer more that just a list in PDF format, and a garbage member’s forum that is outdated.
Look for the companies that are going to offer great sources to find your wholesale, liquidation, drop ship, salvage, import, and other alternative sources. Stay away from the ones that highly recommend drop shipping. It is a sourcing method that has very small margins. You are always better off looking for other ways to get your products. Remember is it sounds way too good to be true, it probably is.
Be sure they have been around a while
This industry has it’s fair share of “fly by night companies”. You can use Amazon’s site alexa.com and view their way back machine to see if a company just put up their website. If they have been around less than 1 year run away. If they have been around for 1-3 years use caution. If they have been around for more than 3 years or more, then you know that they probably are doing something right. One of the best one’s that I use has been around for over 7 years. One quick check to see if they update their product is to view their copy write at the bottom of the page. If we are in 2018 and their copy write ends in 2017 leave the site and keep looking.
Need to offer more than just wholesalers, and drop shippers
Most beginners are familiar and understand the concepts for wholesalers, and drop shippers. Drop shipping is a great business concept, but can be very difficult to make a margin worth your time. Unfortunately drop shipping is full of the most scams of any of the sourcing methods. This is another reason why you want to make sure that you are dealing with a reputable sourcing company so they can help weed out the bad ones. If one of their members has a major complaint from working with one of these companies, they will remove them from their service.
The best sourcing companies will have other more profitable sourcing methods. Liquidations, or importing directly from china can be very profitable. One of the best product sourcing companies also has a way to purchase products from poorly listed auction that you can just purchase and resell on Amazon.