How to be a mediator. How to make money through mediation? Intermediation as a business from A to Z

If you want to organize your own business, but are not in the mood for production or trading, then try your hand at mediation. This is a promising and interesting area in which quite a lot of companies and people are involved, but with the right desire and the right approach, you can always enter this business and occupy your niche, winning a place in the sun. In this article we will talk aboutsales of goods, and we will also figure out how to deal with them correctly.

Introduction

Mediation is an activity aimed at finding and bringing together two parties interested in each other's services. For such activities, the intermediary receives a percentage, a fixed fee from the transaction, or simply inflates the price of the product for the end user.

A mediator is a link between two parties

Mediation is common all over the world - this useful and popular service allows you to sell and buy anything. There are many examples of such activities: real estate services, tourism business, taxi service, dropshipping, etc.

Attention:An intermediary is a link between buyer and seller, which ensures the effectiveness of cooperation and minimization of possible risks. He takes on part of the responsibility and receives compensation for his services.

  1. Minimum investment. You don’t have to purchase goods, build a building or invest in equipment - in fact, at the first stage, just the desire to work is enough.
  2. Wide range of possibilities. There are a lot of prospects for conducting such activities - you can find interesting options in any locality.
  3. Growth prospects. With the right approach, a business can be scaled almost indefinitely.
  4. Stable profit. The predictability of such a business is quite high, so you can always make plans for the future, taking into account possible risks.
  5. Almost instant payback. With the right approach, the funds invested in the business will return to you in a couple of months, after which you will be able to make a constant profit.

Attention:By working as an intermediary in a specific activity, you will gain the necessary experience, knowledge and connections. In the future, this could develop into something more serious.

There are only two disadvantages:

  1. There are certain risks that one of the parties will not fulfill the agreement. For example, a batch of 100 parts was ordered through you, which must be completed by the end of the month. But the manufacturer does not have time to make it for some reason, which leads to contract failure or revision of agreements.
  2. Possibility of loss of reputation and subsequent decline of the business due to serious mistakes made during the work process.

However, the last drawback is relevant for any business.

What types of mediation are there?

So you already know that intermediary business is third party interaction between a buyer or seller. The profession of an intermediary appeared several thousand years ago - already in Ancient Greece and Rome there were special people who worked in the markets, helping visitors buy and sell necessary goods, giving advice and recommending people for cooperation.

For an intermediary, the main thing is information and reputation

In our time, the trends have remained virtually unchanged, except that now intermediaries do not work in markets, but have their own offices or portals to reach a wider audience. The main thing for an intermediary is information. He must know where to buy cheaper and sell more expensive, what exactly is in demand, what and where can be purchased, what people want, etc. Many producers of goods and services do not know how/do not want/do not have time to advertise and sell their offers, spending they have the strength, nerves and resources to do this, so it is easier for them to work with intermediaries who will take it upon themselves.

Read also: Internal and external combination of professions and positions

Let's look at a few examples of successful intermediary business in the service sector:

  1. Realtor services. There are always people in the real estate market who want to sell, buy, rent out, rent or exchange housing or non-residential premises. Many do not know how to do this correctly, many do not understand legal issues, which is why realtors enjoy deserved popularity all over the world.
  2. recruiting agencies. They offer their services to organizations and various companies - if you need to find a specialist or entice a top executive, it is faster and more practical to do this through an agency, rather than on your own.
  3. Brokerage agencies. Today, many people want to save money from inflation and make money by investing in securities, stocks, metals or cryptocurrency. Brokers offer this opportunity for those who cannot or do not know how to do this on their own.
  4. Travel agencies. They take ready-made tours from tour operators or create interesting routes on their own, offering them to clients and receiving a percentage of each transaction.
  5. Marriage agencies. A fairly common type of business - clients leave their profiles, and specialists select “pairs” based on common interests, age, wishes, etc.
  6. Online stores. They are often opened by third parties who know where to get a certain product cheaper than the market price (for example, they work directly with warehouses or wholesalers).
  7. Dropshipping. The classic type of mediation - you find a seller, a buyer and sell him the goods at a markup, without buying it from the seller.
  8. Various freelance exchanges. These are a kind of “employment centers” - customers and performers come to them, and you receive a percentage of both for “pandering”.

How to provide a service correctly

Above we looked at the main examples of intermediary business, but in fact there are many more variations of it. Let's now look at how to properly create your agency to provide services. Here, a lot depends on what field of activity you have chosen, what stage of development you are at and what exactly your goal is. At the initial stages, you can not register at all, but simply work via the Internet, reselling other people’s services and goods through dropshipping.

In the initial stages, you can simply work from home

But if you want to do this seriously and work with counterparties officially, then you need to contact the tax office and register. There are two options here:

  1. Register as an individual entrepreneur. Registration takes a minimum of time and effort, but the entrepreneur, according to the law, is responsible for his obligations with his property, so be sure to comply with the agreements so as not to lose what you have.
  2. Register as an LLC. Registration is a little more complicated, but wide prospects open up for LLCs. In addition, the LLC risks only its authorized capital, which in 2018 is equal to 10,000 rubles.

Official registration opens many doors for you - you will be able to enter into official contracts, sign documents, affix stamps, etc. For an online business, registration will also not be superfluous - counterparties prefer to work with an organization rather than with a private owner, who may simply not be found later.

If you are planning a serious business (travel agency, HR agency, etc.), then you will need a full-fledged office and employees. The office should be located in a convenient location, appropriately decorated and equipped with equipment. Workers need to be trained, etc. - you can’t do it without registration.

Stages of creating a company

Above we have already described several key points of what you should pay attention to when planning a new business. Now we will analyze them in more detail, arranging them in the necessary sequence. So, Mediation as a business - step-by-step instructions for beginners:

  1. We choose an idea that we will bring to life. The fate of the entire event depends on the choice of direction, so be careful and think carefully about all the pros and cons.
  2. Create a business plan. Many novice entrepreneurs ignore this point, starting to work “as it goes.” This is a fundamentally wrong approach, because without outlines of prospects, plans and movement, it is very easy to turn off the path and go the wrong way. All the necessary information is entered into the business plan - the amount of investment, planned profit, number of hired employees, equipment for work, etc.
  3. Registration of a new entrepreneur or LLC. Think about how it will be more profitable for you to register, so as not to change the form in the future. Opening your own office if necessary.
  4. Make lists of possible contractors and clients, study the market and your competitors. Think about where you can get goods or services to make money, and who you can sell them to.
  5. Advertise your activities. Marketing needs to be taken quite seriously - the more people know about you, the more potential buyers you will have. Then, when you create a quality distribution network, many companies that need to sell a product or service will approach you.
  6. The working process. Reception of the first orders, their processing and fulfillment. Try to ensure that both parties are satisfied with the cooperation - then they will continue to work with you, and word of mouth will tell everyone about you.
  7. Organizing the work process, expanding activity, capturing new markets, maintaining reputation. Try never to stop there - always go forward, otherwise your competitors will simply throw you out of your home.
  8. Learn and develop. The more qualified you are, the more people will be drawn to you. You must always be in the know, always know what and where to get, how to complete the transaction, what conditions to offer to the parties in order to interest them.

Registration will open new horizons for the intermediary

The risks associated with opening an online store are very high. First of all, it entails a large number of associated costs that threaten not to pay off.

However, the modern market offers a lot of interesting technologies that can increase the efficiency of e-commerce. One of them is dropshipping.

Literally translated, this term means "direct delivery". In fact, dropshipping is a special type of interaction between an online store and customers with the participation of a third party - an intermediary.

The dropshipping scheme looks like this:

  1. An intermediary (it is he who is called a dropshipper) purchases goods from the seller (online store);
  2. At the same time, the intermediary receives an advance payment for the goods from the buyer and informs the seller of the delivery address;
  3. The online store sends the goods to the buyer, and the dropshipper receives the amount of money remaining from its total cost.

Thus, each participant in the transaction remains, as they say, “with their own”. The online store and the dropshipper receive the necessary amount of money, and the buyer receives the goods.

The main feature of dropshipping

The main feature of this scheme is that, from a legal point of view, the intermediary will be the purchaser of the products. In fact, the goods are bought by the visitor of the online store. At first glance, the activity of dropshippers resembles distribution. However, the distributor, unlike the dropshipper, takes the goods for temporary storage.

An intermediary cannot be called a sales agent either. The latter does not purchase goods from the seller and takes a pre-fixed amount of money as a commission. In turn, the dropshipper is not limited in the amount of markup on the goods. Accordingly, he has the opportunity to get much more profit.

Dropshipping is a relatively new e-commerce cooperation scheme for the Russian market. At the moment, it is at the stage of rapid development, stimulating a high level of competition.

Stages of dropshipper activity


  • Search for an online store that sells goods at a price that is significantly lower than the retail price.
  • Trial purchase and contact. The dropshipper discusses a cooperation scheme with the seller and enlists guarantees for the timely dispatch of goods. Trial purchase is necessary to evaluate the quality of products.
  • Establishing sales channels for online store products on its own behalf.

Mutual Benefits

When studying such a scheme of cooperation, a fair question arises: what is the benefit for both parties?

We answer in order:

  • The seller (online store) acquires an established distribution channel for their own products. As a rule, large companies use dropshipping, getting rid of the need to engage in retail sales on their own.
  • The intermediary gains the opportunity to receive a stable income that does not require serious financial investments and efforts to process and deliver orders.

Pros for a dropshipper:

  • Minimum investment. No capital investment is required to start mediation activities. The scheme allows you to earn a net profit by putting the costs on the shoulders of the actual buyers of the products.
  • Minimum costs. No need to maintain storage facilities and use the services of a courier service. The only equipment required for dropshipping activities is a computer or laptop connected to the internet.
  • There is no link to the range. The dropshipper does not have storage facilities, which means that at any convenient moment it can change its profile from selling, for example, electronic devices to selling clothes and shoes.
  • Freedom in choosing partners. A dropshipper always has the opportunity to switch to cooperation with another online store.

Along with this, it is necessary to highlight the benefits that online store owners who cooperate with dropshippers receive.

Benefits for the supplier:

  • Expanding the target audience through the acquisition of new outlets.
  • Timely advance payment. The seller does not lend to his partner, minimizing his own financial risks.
  • Reducing marketing costs. Dropshippers are engaged in attracting buyers. This means that suppliers significantly reduce the volume of marketing activities and the number of sales departments.
  • Establishing customer feedback. The task of a dropshipper in a fairly fierce competition is to establish close contact with the end consumer. The activities of the intermediary in this direction automatically provide benefits to the online store.
  • Fast spin. Since the seller/manufacturer sends the product to its customers (through an intermediary), its trademark quickly becomes recognizable.

Possible risks

The benefits of dropshipping are obvious. However, starting cooperation with the owners of trading portals, intermediaries face, among other things, certain risks:

  • The speed of delivery of goods, their quality, including packaging, depends solely on the final seller.
  • Possible problems with the availability of goods in stock.
  • Possible difficulties with the work of the courier service and customs. In such cases, from the point of view of the client, the responsibility lies with the intermediary.
  • Geographical restrictions of activity. This aspect is relevant specifically for domestic dropshipping. As practice shows, buyers look for other suppliers if the delivery time of goods is extended by more than 2 days. Thus, in Russian conditions, cooperation with online stores located in other regions looks difficult.

Conclusion

Dropshipping is the perfect way to start a business from scratch. It does not require serious investments and minimizes the risk of losing money. In addition, dropshipping is an effective method of promoting and developing online stores. With a competent and responsible approach, this scheme of interaction can turn into a benefit for both stakeholders.

Almost every man sooner or later begins to think about starting his own business and working for himself. Today, the most widespread and profitable is mediation, which is why most people are interested in how to become an intermediary and make decent money from it.

How to become an intermediary between seller and buyer?

To become a mediator you do not need to have special skills, the main thing is to have desire and instinct. If you decide to make money through mediation, you must choose an area in which you will “rotate”, you must get the maximum, which will be little familiar to both the seller and the buyer, and you must be able to negotiate with people.

Options for mediation between seller and buyer may be, for example, the field of construction and repair. You can assemble a team of repair specialists who will carry out all the work proposed by the customer. By “supplying” workers you can make good money.

The trade sector is also very profitable. When purchasing a product from a manufacturer, you, after marking it up for yourself, sell it to the end buyer. This is exactly how the modern sales market works; today manufacturers rarely sell their goods directly to the buyer.

How to become an online store intermediary?

Another “field” for earning money could be. You can make quite good money as an intermediary selling goods on the World Wide Web. For example, foreign online stores, many people are afraid to “contact” with foreign manufacturers, even on the Internet, but the desire to purchase goods at a really low price does not leave them. Here you can act as an intermediary, receive your percentage, place an order and deliver the goods for an indecisive buyer.

Create your own business. When you start working as an independent broker, you create your own business. The initial costs will be quite small, so you can get started fairly quickly, but do not forget about the professional and legal aspects of your new activity.

Identify the need. Research the market and find a suitable niche that you could fill. The greatest need will be in the industry where the supply and demand structure is sluggish or does not satisfy consumers and suppliers.

  • It is usually easier for new intermediaries to penetrate the market for services or specialized goods. Generic products are oversupplied on the market and are often purchased directly from manufacturers, making it nearly impossible to convince a retailer to change a stable design.
  • Research potential buyers. Identify potential consumers of your chosen product or service. Depending on the nature of the planned activity, consumers can be both local and global buyers.

  • Get in touch. Having compiled a list of potential buyers, you need to call them. Find out their needs and what you need to do to make them want to work with you.

    • You can send an email to test the waters, but a phone call is more professional, especially when dealing with companies.
    • When contacting distributors, try to speak directly with the purchasing manager. Ask him if he is interested in reviewing your list of wholesale prices. If the answer is positive, promise to provide such a list within a few business days.
  • Research potential suppliers. Find as many potential suppliers of your chosen product or service as possible. Examine each item on your list and then narrow it down to your top ten items.

    • When dealing with products, always look up the manufacturers. If you are not planning to work exclusively with a local product, then you should look for foreign manufacturers.
    • When working with services, the suppliers are usually local companies.
  • Find out the rates. Contact potential suppliers and ask for a quote for specific products or services of a certain quality. Once you have collected price information, compare them and select the best deals.

    • Consider the overall value proposition. The supplier with the lowest price is not always the best if the product they provide is significantly inferior in quality to the products of other suppliers. The same applies to service providers.
  • Add your share to the cost. As a reseller, you will earn money by receiving a certain commission on each sale. The exact amount is not constant, but the commission itself is usually 10-15 percent.

    • Suppliers who already work with other intermediaries may have a set commission. This is something you need to know before attempting to set your own commission.
  • Many people know that mediation provides an opportunity to make very good money, but not everyone knows how to do it correctly. There is a very important detail in the question of how to become an intermediary, which helps to bring this business to a successful level. The intermediary must have important information that is not available to either the consumer or the contractor. This is the only way he can manage transactions in his favor.

    How to become an intermediary

    Let's be clear right away that this business is not for everyone. For mediation to be profitable, you must have certain skills and qualities. The main ones among them are:

    1. The ability to find unique data that is inaccessible to others. It is important that they are not available to the consumer and the performer.
    2. The ability to present this information in a favorable light to both one and the other party. In this matter, it is important to be able to negotiate.

    Only with these qualities can you safely take on a business such as mediation.

    Advantages and disadvantages of the activity

    Like any business, mediation has its pros and cons. Among the main advantages are the following:

    • starting capital is optional;
    • technically the work is not difficult;
    • good income.

    Among the disadvantages are the following:

    • ignoring agreements on payment for intermediary services;
    • failure of agreements and deals.

    Where to start a business

    First of all, you need to decide on the area in which you prefer to work. Then you need to establish all the necessary connections for a profitable partnership. With the high development of Internet technologies, today this business is usually divided into two main areas: online and offline. In each of them you can find your own niches for mediation.

    Online mediation

    Ideas for mediation on the Internet are multifaceted and diverse, both in areas and in level of implementation. One thing is for sure, you will still have to work a lot.

    Partnership programs

    About 70% of products sold via the Internet are the work of intermediaries. Most often this is done through affiliate programs. The essence of the idea is simple. The intermediary, who in this case is usually called a partner, opens his account on the affiliate program website. After receiving his unique link, he begins to advertise the product or resource through it. When a product or service is purchased through this link, the affiliate receives a percentage or commission from the transaction. Money is credited to an electronic account, from where it can be withdrawn at any time.

    Advertising on Internet resources

    Advertising is perhaps the first thing that came to the Internet business. To make money on it, you need to open your own resource - a website or blog. An advertising banner is installed on it, and you receive money at an agreed rate or from transitions to the advertiser’s website. Depending on the level of promotion of the resource, the price of a click can be 15 kopecks, or maybe a couple of thousand rubles. Intermediaries are offered up to 50% of this click. Of course, direct advertising will cost much more.

    Selling websites

    This idea can be implemented in two ways. You can order an inexpensive website on specialized sites, pay for its development, and then look for buyers for this product and sell them at a higher price. The second way is to first look for the customer, sort out all the technical details with him, and then look for a contractor on the same sites. In any case, the risks with implementing the idea are quite high. The Internet is available to everyone, so on the sites you can find both a professional and a complete amateur who will miss all your deadlines.

    Opening an online store

    Despite the fact that purchasing and delivering goods from a foreign online store is available to everyone, many are still afraid to make such purchases due to the high risks of not receiving the goods when the money is paid for it. You, as an intermediary, can take on these risks and make purchases from a foreign online store for a certain percentage. Sometimes this costs the buyer even less than ordering from a domestic online store.

    Resale of goods

    You can resell goods without creating your own online store. In this case, you need to focus on a product of a narrow specialization, but of high cost, so that you can get a good percentage. Or a popular product, but for a large batch.

    Very often, sellers and buyers of such goods do not have time to search for each other, so you can provide them with such a service. The algorithm for doing business is simple. Having found a suitable product, call the seller and clarify all the details of the product. Then find a buyer as quickly as possible and negotiate a deal. Preferably for a certain percentage. After this, call the seller again, inform him that you have a buyer for the product, but you want a percentage of the transaction. Having received your share from everyone, you will get a good income.

    Offline mediation

    Business in the offline sphere is familiar to everyone. The main ideas for implementing your mediation business could be:

    Real estate

    Looking to exchange an apartment, buy a new one, or buy office space - these questions are raised constantly. They are dealt with both by realtors officially and by ordinary citizens unofficially. Real estate is sold or rented, usually through realtors, who charge an impressive percentage. In this sense, the services of an intermediary are much cheaper, which helps in the implementation of this idea.

    Renovation of offices and apartments

    Apartments are ideal for implementing this idea, since office renovations are not needed as often as apartment renovations. It is best to look for clients in new buildings. Then you can place several orders within one home. Naturally, for this it is necessary to have several teams. You can look for them in the same new buildings.

    Sales Representative

    Business will not give up this idea anytime soon. Many manufacturers need representatives in various regions of the country or other countries where they want to expand their influence. It is best to choose several manufacturers of similar products and negotiate the sale of their products in your region. The next step is advertising the product and concluding supply contracts with end consumers - shops, supermarkets, etc.

    This is by no means an exhaustive list of mediation options. But, it is quite possible that in the process of implementing them you will find some kind of your own way to make money through mediation.