Leather exporter with a small stock unit

Small and medium overseas manufacturers and workshops making bags, shoes, upholstery and accessories.

You buy in volume and sell in smaller lots at a higher price per unit. Your margin depends on how well you buy, how quickly stock sells and how well you manage freight costs.

• Judging leather quality and grades
• Buying and stock management
• Export paperwork and shipping coordination
• Selling to overseas business customers

• Cash tied up in stock, so start small and sell ahead where you can
• Export permits for some animal products and species, so check with the federal environment department
• Biosecurity and export documentation requirements for animal-derived goods, so check with the federal agriculture department
• Currency swings and slow overseas payments, so consider trade credit insurance or payment upfront
• Check council zoning for your unit, plus public liability, stock and transit insurance

Estimates suggest startup costs typically around $25,000 to $100,000, depending on how much leather you buy and the unit you rent. Monthly revenue is typically estimated around $8,000 to $40,000.

Check export permits for some animal products and species with the federal environment department, and biosecurity and export documentation with the federal agriculture department. Also check council zoning for your unit and public liability, stock and transit insurance.

Cash can be tied up in stock, so start small and sell ahead where you can. Also check currency swings and slow overseas payments, and consider trade credit insurance or payment upfront. Estimates suggest at least about 25 hours a week.