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Channel Letters Partnership Models??!

tradesigns

New Member
Hi,

We want to partner with a local channel letters company (or if you are interested to expand your products range), we have many US inquires everyday, we did try to find a people in US to cooperate with us, but due to his lack of experience it's not easy to run with him anymore, so we want to seek for a partner for US market, here are 2 buiness models to consider, to see if it's possible or not.

1) We place your phone numbers and emails on our website (we can get a new 800 number to track the call, and distinguish from your clients). If they order, we manufacturer and send the products to you, then we split the profit.
2) We place all of your company's info on our website and we charge a certain fee, like $800 per month or something like that. (You can have a trial as well.)

We are a business trade company in Asia for years, and we are experienced in getting the good products from local manufacturers. Shall we have a try? We can give you a free trial for one week, we hope to start the first business modle because both of us have more advantages, let me know your thought. Fabricated channel letters is our strong, we already have a German partner who is running modle one with us. If you are interested, please contact me.

Finally see attached files for details.



Best Regards,
Roy
 

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I guess I should ask first, are you U.L. and do you have Section Labels?

How do you justify a $800 a month charge for my information to be on your website? Are you doing major campaigning to drive US traffic to your site?

How is the profit split? Who is doing all the design, permitting, and approval processes?

It sounds like it would be a better idea if you just remain a channel letter wholesale dealer rather than a partnership.
 

tradesigns

New Member
I guess I should ask first, are you U.L. and do you have Section Labels?

How do you justify a $800 a month charge for my information to be on your website? Are you doing major campaigning to drive US traffic to your site?

How is the profit split? Who is doing all the design, permitting, and approval processes?

It sounds like it would be a better idea if you just remain a channel letter wholesale dealer rather than a partnership.

yes U.L.

$800 is just a test trial, which can be adjusted, because we know how valueble of the traffic.

If there is no $800 fee, then you handle the communication process, includes design etc. but most of them will ask for price first so you just need to estimate the price and do quotation.

For example you get the job, we ask manufacturers to produce then we send to you without asking for prepay, after that we do 50/50 profit split deduct all of the cost.

for example price is $3k and our cost is $650 and freight cost is $150, so profit is $2.2k, you will get $1.1k of this project.

Please remember that you don't need to spend a penny to cooperate with us, you just need to handle with clients.
 
Well, there are plenty of other factors involved with related costs here in the US, installation, license fees, inspections, insurance, permitting. Sorry to say, but it just doesn't make sense to have a 50/50 partner overseas for this. In my eyes anyway.

Besides, I don't even know what you are using for illumination. Plus you have to find people here who have licenses to install electric signs, and when you do you'll find that it's much less expensive for them to sub it to a local vendor here and not a 50/50 partner.


Maybe others will have opinions
 
i definitely have an opinion lol i have just chosen to keep it to myself...i think that is enough said.

i'm surprised ppl aren't jumping at this 'opportunity' lol
 

Gino

Premium Subscriber
I realize you're a recent Merchant Member here and possibly you don't understand the benefits and drawbacks of this site, but would you please not post all your pricing where JOE PUBLICK can see this stuff ?? All you're doing is broadcasting prices for anyone's customers or potential customers to see this information. In that case, you've just shot your 50/50 partner in the foot as well as in the back of the head.

:thankyou:
 

UFB Fabrication

New Member
I hate to be a Richard Cranium but I guess the qualifications to be a merchant member is sending a check.

I am assuming no pre screening is done to assure folks that are steered to merchant members on a daily basis.
 

Fred Weiss

Merchant Member
I hate to be a Richard Cranium but I guess the qualifications to be a merchant member is sending a check.

I am assuming no pre screening is done to assure folks that are steered to merchant members on a daily basis.

Yes about the same as any other advertising space provider you will run across. I'm surprised that you feel some sort of protection is offered by any magazine or website carrying the advertising of any vendor. Do you suppose that Signs of the Times ever turned away any ad money from Avery? Or checked that their adhesive wouldn't fail?

This vendor has a product/service he wants to offer and seems to be having difficulty communicating it or even defining it. But there is no indication that his offer is dishonest or that Signs 101 should deny him the opportunity to present it to our members. In a free enterprise system, there is no test or inspection one must pass to take their shot.
 

UFB Fabrication

New Member
Yes about the same as any other advertising space provider you will run across. I'm surprised that you feel some sort of protection is offered by any magazine or website carrying the advertising of any vendor. Do you suppose that Signs of the Times ever turned away any ad money from Avery? Or checked that their adhesive wouldn't fail?

This vendor has a product/service he wants to offer and seems to be having difficulty communicating it or even defining it. But there is no indication that his offer is dishonest or that Signs 101 should deny him the opportunity to present it to our members. In a free enterprise system, there is no test or inspection one must pass to take their shot.


My point witch I assume was missed, is the letters are clearly not UL compliant. I am unsure of what exactly he is trying to sell. But every time someone is looking for a resource a chorus of folks point towards the merchant member section. As far as sign of the times taking money for advertising is different because it is advertising not endorsing a company or product. I would hope that if SoT or any other source used for information that the would test, qualify or get feed back at the very least before promoting it. I have no problem with taking money for advertising as we are close to upgrading to a MM as well.
 

tradesigns

New Member
Well, there are plenty of other factors involved with related costs here in the US, installation, license fees, inspections, insurance, permitting. Sorry to say, but it just doesn't make sense to have a 50/50 partner overseas for this. In my eyes anyway.

Besides, I don't even know what you are using for illumination. Plus you have to find people here who have licenses to install electric signs, and when you do you'll find that it's much less expensive for them to sub it to a local vendor here and not a 50/50 partner.


Maybe others will have opinions

Sorry for my late reply, the illumination source is CREE (if you don't trust our lighting source, you can place your own leds in the lettering house), as I said, after taking out all cost then we do 50/50, and the profit would not be that less because installation etc is not included in my example, also why it does not make sense? I provide the targeted traffic for free, most projects are more than $10k, most end users and some dealers, also you can have some small projects for your own to make or outsource it and we don't take the profit for those small projects, for example flat cut sign letters etc, which we don't want to make because of no big advantage.

Then for those who are worrying about the quality problem, we sell a lot to Germany, you know German is picky and they are satisfied, other markets will not be any problem.
 

Mainframe

New Member
OK, Let's assume these signs are the bomb, UL, great design, light well, good quality, even the customer was easy because he ordered the same style he saw from a previous job, OK, so I get these in my shop, have an install day set to 3 days before Grand Opening & open up the crate & find 2 letters bent from Mongo shipping, whoops, now I gotta get a replacement & let me guess, they will arrive on a slow boat from China, meanwhile I gotta fight with Mongo for payment & the clock ticks by all the while I could have gotten them from Sign America in Ohio made by some American workers who (in my past experience) have never damaged any of my signs. I realize I wouldn't get the benefit of splitting my profit but I will have to learn to get over that, I won't even let Visa in for 3%, why would I let someone in for 50?

I think importing things can be profitable but when you throw in the word "custom" the easy button gets tossed out of the window. Shipping damage is only one thing that can go wrong with the job, I tend to find people across the water from me don't speak the same language & that in itself is an issue. I like to outsource only to people I can get my hands on if things go sideways.
just my opinion...
 

Gino

Premium Subscriber
Ya know..... I don't give a rat's behind how these things are made, which are your high profit products or how frickin' long they take to get here or what the money division is gonna be..... would you please stop discussing how much everything costs ??

You are ruining all of this for everyone with your dipshit ideas and broadcasting them to the whole world here !!
 

ddubia

New Member
Mainframe: One would have to look far and wide for someone to have covered everything you did and to say it any better. Punctuated by Gino's comment I'd think the issue is closed.

Fred: Would it make sense to move this into the premium section considering all the pricing that's been mentioned?
 

tradesigns

New Member
Ya know..... I don't give a rat's behind how these things are made, which are your high profit products or how frickin' long they take to get here or what the money division is gonna be..... would you please stop discussing how much everything costs ??

You are ruining all of this for everyone with your dipshit ideas and broadcasting them to the whole world here !!


You sounds so unfriendly because I potentially hurt your benefit?
Come on, there are so many people have been doing the same things you are doing, also my price rate is just an example to explain him how the 50/50 works, not to tell my true profit, if you just that afraid your partners may see this thread and cut your margain, that's not true and not going to happen. There are so many clients and customers in the world who you never met before and 99.99% won't find this thread forever.
 
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