Sourcing guide
Which way to buy from China fits your first order
By Ruqiao Fan, Founder and CEO of EquilinqLast updated
Five options side by side
| Question | Marketplace (Alibaba) | Sourcing agent | Trading company | AI supplier-search tool | Equilinq |
|---|---|---|---|---|---|
| What it costs | Free to use; you pay the factory directly | Typically 3 to 10 percent, usually from about USD 5,000 of goods | A margin inside the unit price, usually not shown | Free or a subscription, depending on the tool | 10 percent service fee on your first order, minimum EUR 150; 8 and 6 percent on larger values; freight and purchasing at cost |
| Order size it suits | Any size, if you manage it | Mid-size and repeat orders | Mixed products from several factories | Early research before any order | 100 to 1,000 units of your own product |
| Who finds and vets the factory | You | The agent | The trading company, often without naming the factory | The tool suggests; you vet | Equilinq, before you pay |
| Quality check | Your own arrangement | Sometimes, extra cost | Varies, often their own check | Not included | Every order checked with photos at our warehouse in China |
| EU paperwork | Yours | Rarely | Sometimes, ask for each product | Not included | Standard shipping documents on every order. Compliance pack for CE or GPSR products is a paid add-on, EUR 250 to 500 per product. |
| Who is importer | You | You | You, unless agreed otherwise | You | You stay importer of record |
| How many invoices | One per seller, plus freight | Agent plus factory, plus freight | Usually one | None from the tool for goods | One invoice per accepted quote |
| Best for | Experienced buyers with simple products | Buyers with an agent they trust and time to brief them | Buyers who want many products from one contact | Mapping the market before you ask for quotes | A first production run that needs EU paperwork |
Equilinq figures are from our Pricing page. Other columns describe typical arrangements, which vary.
When each option is the right choice
Buy on a marketplace yourself
This is the right choice when the product is simple, you have bought from China before and you are happy to vet the factory, arrange inspection and handle customs. If you are comfortable buying on Alibaba yourself, you do not need us.
Work with a sourcing agent
An agent fits when you have a trusted contact in China and time to brief and check their work. Ask how they are paid, and whether they also take commission from factories.
Buy through a trading company
A trading company fits when you want several different products from one contact and do not need to know the factory. You pay for that convenience in the unit price.
Use an AI supplier-search tool
A search tool fits early research: seeing which factories make your product and at what rough price. It does not place, check or ship the order for you.
Use Equilinq
Equilinq fits a first production run of 100 to 1,000 units when you want one landed price in euros before you pay, a check of every order in our warehouse in China, and one invoice. You stay the importer.
About the author
Ruqiao Fan runs Equilinq from Amsterdam with a team in Shenzhen. Ruqiao works on first orders from China for European brands every week.
Questions
FAQ
Is a sourcing agent cheaper than buying on Alibaba?
A sourcing agent is not cheaper than buying on Alibaba yourself, because the agent adds a fee, often 3 to 10 percent. The agent can still save money if it finds a better factory or prevents a failed order.
What is the difference between a sourcing agent and a trading company?
A sourcing agent works for you for a fee and usually names the factory. A trading company buys and resells, earns a margin in the unit price and often does not name the factory.
Can an AI supplier-search tool replace a sourcing agent?
An AI supplier-search tool can find and compare factories quickly, but it does not visit them, check the goods or handle shipping and EU paperwork. It replaces part of the research, not the order management.
Who is the importer when I use a sourcing service like Equilinq?
When you use Equilinq, you stay the importer of record. Equilinq quotes to your door, but duty and import VAT are paid by you, and you or your appointed EU representative stay responsible for the product in the EU.