How to start a distribution business in South Africa PAGE 2

Register your distribution business
Make your business official by registering it, See how to register your business for more information.

Find a location for your business.

The size of the space you need to hold your inventory will be determined by the size of your product and your delivery method (you don’t need inventory space for drop-shipping). You should consider starting off small as your business builds a reputation. As your business grows, you can move into larger facilities that can accommodate your inventory needs, such as a distribution warehouse.



The Day-to-Day Routine

Like many other businesses, wholesale distributors perform sales and marketing, accounting, shipping and receiving, and customer service functions on a daily basis.

They also handle tasks like contacting existing and prospective customers, processing orders, supporting customers who need help with problems that may crop up, and doing market research (for example, who better than the “in the trenches” distributor to find out if a manufacturer’s new product will be viable in a particular market?).

To handle all these tasks and whatever else may come their way during the course of the day, most distributors rely on specialized software packages that tackle such functions as inventory control, shipping and receiving, accounting, client management, and bar-coding.