Is it posible to split a transferable Letter of credit to a broker and supplier ?


Posted May 4th, 2010 by admin 1 Comment »
broker
No N asked:


I want to know if it is possible to split a transferable L/c to a broker and Supplier without buyer knowing how much broker is making.. split as in broker will take $20 while supplier take $200.. and supplier want the l/c to be transferable so how would i get a cut throu the transferable l/c and yes supplier is offering a 2% performance bond to the buyer.

How can I be protected while doing a large business transaction acting as a broker?


Posted March 9th, 2009 by admin 1 Comment »
business broker
netgene asked:


On one hand I have a couple of buyers that want a certain product (electronics) at a certain price. On the other hand I have a seller who sells this product at a lower price.

So I have an opportunity to profit from being the middle man.

The problem is, we are talking about a $250k - $500k transaction, with letter of credit and all.

How can I protect my self so that I earn a commission on the sale? I have no business relation with neither of them. How can I avoid the seller from talking directly with my buyer and excluding me from the deal and offering a discount? or of the seller of asking for a better price as he is dealing directly with the buyer?

The seller offered to sign an NDA agreement however I feel there is no way for me to enforce it as I would never know if the deal happened or not if both of them agree on not telling me.

Is there any other way for me to protect myself? Other than actually buying the merchandise and reselling it to the buyer? (This is not a good option because the profit is about $10k so it is not worth investing $250k to make a $10k profit)

Any suggestions are welcomed.

p.s This is a legitimate business and everything is legal, so please stay on topic.