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  1. #1
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    Default Trade suppliers?

    I am looking for some trade suppliers of PC hardware and components. Currently I rely on companies such as Scan and Lambdatek, the latter of which dropships from companies like Computer2000.

    I have contacted Computer2000 and their requirement is you are VAT registered, but they will allow sole traders. I have a meeting with my accountant on Wednesday to go over the benefits and drawbacks of registering for VAT.

    I have looked around for other trade suppliers who offer a wide range of products but I cannot find any. Many claim to be trade suppliers but their prices are equal to or often over the cheapest retail price.

    Does anyone on here have companies they can recommend? All local self employed professionals I know such as carpet fitters and electricians say that parts should be the easiest money you make (20% immediately) and someone I know who is opening a bike shop said the margins are 30-40% on a lot of top end bikes. I am charging little or nothing over cost price even though I spend my time working out which hardware is compatible, does the best job, and where's cheapest to buy from, ordering and receiving.

    Cheers


  2. #2
    VIP Member CzarJunkie's Avatar
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    Default Re: Trade suppliers?

    Quote Originally Posted by evilsatan View Post
    I am looking for some trade suppliers of PC hardware and components. Currently I rely on companies such as Scan and Lambdatek, the latter of which dropships from companies like Computer2000.

    I have contacted Computer2000 and their requirement is you are VAT registered, but they will allow sole traders. I have a meeting with my accountant on Wednesday to go over the benefits and drawbacks of registering for VAT.

    I have looked around for other trade suppliers who offer a wide range of products but I cannot find any. Many claim to be trade suppliers but their prices are equal to or often over the cheapest retail price.

    Does anyone on here have companies they can recommend? All local self employed professionals I know such as carpet fitters and electricians say that parts should be the easiest money you make (20% immediately) and someone I know who is opening a bike shop said the margins are 30-40% on a lot of top end bikes. I am charging little or nothing over cost price even though I spend my time working out which hardware is compatible, does the best job, and where's cheapest to buy from, ordering and receiving.

    Cheers
    PC hardware has some of the tightest margins in retail. You'll never get rich selling that stuff, not unless you've got massive buying power. The only way to make any money in that game is in niche areas, but I would imagine those opportunities are very few and far between.

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    DF Jedi Hangman's Avatar
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    Default Re: Trade suppliers?

    I work for Insight and I would recommend going to distribution as the extra margin makes a huge difference.

    Here are some distributors you could contact:
    Bell Micro
    C2000
    Ingram Micro
    Interface
    ETC
    MicroP
    Northamber
    Simms
    Westcoast

    Hopefully that list of a few will help.

    As a side note I would recommend adding software licensing for small businesses as another string to your bow and that would allow you to make some extra margin with no cost or stock.
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    DF VIP Member EvilBoB's Avatar
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    Default Re: Trade suppliers?

    Dunno about the trade side but I use savastore.com and rlsupplies.co.uk - As has been said the margins are tight these days but those two are the cheapest retail places and may be able to offer you trade/wholesale prices if you speak to them. savastore is based in Luton and rlsupplies is in Watford.
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  5. #5
    DF Super Moderator
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    Default Re: Trade suppliers?

    Sorry I should have been more clear. I don't intend to open a component store, it is just so I can get parts cheaper than retail for custom builds etc. If I can reduce costs even slightly that would help as I currently guarantee to beat any like for like quote.


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    DF Jedi TheThingIs's Avatar
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    Default Re: Trade suppliers?

    DONT go vat registered....it's a feckin nightmare!
    You see, TheThingIs, eventually you'll be all right![Only registered and activated users can see links. ]

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    DF Jedi hoponbaby's Avatar
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    Default Re: Trade suppliers?

    Quote Originally Posted by TheThingIs View Post
    DONT go vat registered....it's a feckin nightmare!
    No reasonwhy it should be a nightmare. As to whether you want to be (assuming you aren't over the £70k threshold) it really depends on your customers - if they are other registered businesses then yes, if it's Joe Public then no as you basically lose the vat % on your profit margin.

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    DF Super Moderator
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    Default Re: Trade suppliers?

    A lot to mull over, will speak to some of my customers. I deal with businesses and end users so I will see if the businesses are VAT registered.


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    DF Super Moderator JonEp's Avatar
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    Default Re: Trade suppliers?

    VAT is ok so long as you have an accountant to make it work with the added advantage is everything becomes 17.5% cheaper.

    I would recommend VIP. [Only registered and activated users can see links. ]

    I have have used them for more than 15 years.

  10. #10
    DF Jedi hoponbaby's Avatar
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    Default Re: Trade suppliers?

    Quote Originally Posted by JonEp View Post
    VAT is ok so long as you have an accountant to make it work with the added advantage is everything becomes 17.5% cheaper.
    But your income also drops if you are dealing with non registered customers - they will be prepared to pay a price for something, whether that includes vat is not their concern as they can't reclaim it so if you charge £50 for doing something you would lose 14.89%.

    If you deal with vat registered customers then the reverse is true as if you aren't registered any input tax that you can't reclaim you have to build in to your sales price and pass on to your customer which makes you more expensive.

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    Default Re: Trade suppliers?

    I find Enta Tech very good for component pricing, also Target Components aren't too bad. Ingram and C2K are ok, but Enta always seem to be a few percent cheaper

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    DF Super Moderator Over Carl's Avatar
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    Default Re: Trade suppliers?

    I've been recommended yoyotech but they didn't want to open an account when I called and they seemed to prefer the idea of collection to delivery which was a dealbreaker for me.

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    DF VIP Member gunner's Avatar
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    Default Re: Trade suppliers?

    Gem distribution are worth considering. I get cost, but very rarely is it significantly cheaper than retail. So much so, I generally do not use it, and use HUKD to find out whats been on offer recently.
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  14. #14
    DF Super Moderator
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    Default Re: Trade suppliers?

    Quote Originally Posted by gunner View Post
    Gem distribution are worth considering. I get cost, but very rarely is it significantly cheaper than retail. So much so, I generally do not use it, and use HUKD to find out whats been on offer recently.
    I thought Gem were more gaming consoles than components, will make sure I check them out mate!


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    Default Re: Trade suppliers?

    we use micro p
    ingram micro
    northamber
    plus others

    as others are saying.not much of a margin.tough bussines especialy these days.
    bin at this for 20 years.gone from a turn over of 1.5 mill a year to less a quarter of that.

  16. #16
    DF Super Moderator
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    Default Re: Trade suppliers?

    I have managed to get trade accounts with almost all the mentioned companies, thanks to everyone who helped. As members said above the margins just aren't there. I can get almost all components cheaper from retail stores such as eBuyer/Dabs/Aria etc. I was just trying to cut costs but it doesn't seem possible with hardware.

    I have just signed up as a Netgear partner which is waiting approval and I am now a basic Microsoft partner. I have yet to look at these seriously to see the benefits but I know both have training programmes to help keep up with new tech, especially Microsofts major cloud based development.


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