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How to Become a Major Distributor

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    Apply To Become a Distributor

    • 1). Apply to be a distributor by completing, signing and returning a Distributor Agreement to the organization for which you want to be a distributor. Under federal guidelines, one entity per distributorship may apply and submit a Distributor Agreement to an Organization. If you include other parties, they have to be reflected on the Distributor Agreement. More than one person can apply as a business entity. You can file to be a distributor in an authorized state. The criteria to recruit distributors varies depending on the organization and the product it is selling. Some organizations will require distributors who already have a large sales network while others will not.

    • 2). Acquire a warehouse where you will be storing the products that you get from the factory before you dispatch them to retailers. There are various ways of acquiring the warehouse. You can rent a building, you can buy the building, or you can buy land and put up the building. Ensure that the warehouse has enough space to cater for potential growth of the business in the long term.

    • 3). Enter into partnership agreements with retailers who will be buying products from you. If you establish a link with several retailers, their outlets will serve as distribution points for the products you will be distributing. They should be spread over a wide geographical area so that you cover as many areas as possible.

    • 4). Hire sales agents. Sales agents are an important part of a distribution channel. They go out in the field to source for new buyers of the products. Even if you have an agreement with several retailers, sales agents will bring in more retailers and other buyers of the products.

    • 5). Buy distribution vans. You will need to buy distribution vans which will be transporting the products to the retail outlets. The type of vans will depend on the products. You may buy lorries or pick-up vans.

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