Home-Based Export Trader for a Niche Product

Overseas retailers, distributors, online shops and importers who want Canadian products they can't easily source themselves.

You buy at a producer or wholesale price and sell at a higher price to the overseas buyer. The margin has to cover shipping, insurance, fees and currency costs.

• Finding and negotiating with buyers and suppliers
• Careful with paperwork and detail
• Comfortable emailing and video-calling people in other time zones

• Some goods (food, plants, animal products, cosmetics, natural health products) need extra approvals, so check with the Canadian Food Inspection Agency and Health Canada
• Check whether your goods need an export permit from Global Affairs Canada, and what export reporting the Canada Border Services Agency expects
• Check how GST/HST applies to exported goods and whether you need a Business Number and GST/HST account
• Payment risk: consider getting paid upfront or using a letter of credit with new buyers
• Commercial general liability and cargo insurance
• Currency swings and shipping costs can eat into thin margins

Estimates suggest startup costs typically around $2,000 to $10,000, depending on your product niche, stock and shipping arrangements. Monthly revenue is typically estimated around $1,500 to $7,500, though currency swings and shipping costs can eat into thin margins.

Check what applies to your goods. Food, plants, animal products, cosmetics and natural health products may need extra approvals from the CFIA or Health Canada. Also check whether you need an export permit from Global Affairs Canada and what export reporting the CBSA expects.

Useful skills include finding and negotiating with buyers and suppliers, being careful with paperwork and detail, and being comfortable emailing and video-calling people in other time zones. Estimates suggest at least about 10 hours a week.