How Do I Sell To USA

[Alan Wright]

We have a UK WRAS approved product that we sell all over the world..........except we do not sell directly to the USA and Canada.
The only reason we do not sell is that Product Indemnity insurance is so very expensive in the USA for a UK company.
Paying an extra £1,000+ just to add the USA on our policy just is not worth it.

Despite this we have USA customers who ship to a third country and then privately import.

I am interested in ways to sell into the USA.

 

[centralheatking]

Alan ...I understand that Wras is an acid test of a device many other countries just accept
wras as an international standard. Others do not...Australia and as you state Usa and Canada....but bluntly just get on with it your product is fine we all know that, as you well know its just a trade barrier. If it was ever tested in court you would be fine my friend.
If you want an assesment of the legal risk let me know directly via email we are selling TUM
in South Korea without any approval...its the fastest expanding combi market worldwide
16% per year on year ...regards Rob

 

[Alan Wright]

Alan ...I understand that Wras is an acid test of a device many other countries just accept
wras as an international standard. Others do not...Australia and as you state Usa and Canada....but bluntly just get on with it your product is fine we all know that, as you well know its just a trade barrier. If it was ever tested in court you would be fine my friend.
If you want an assesment of the legal risk let me know directly via email we are selling TUM
in South Korea without any approval...its the fastest expanding combi market worldwide
16% per year on year ...regards Rob

This has nothing to do with WRAS but everything to do with an Insurance companies perception of risk and hence wanting to charge a high premium. I only mentioned WRAS as a way of pointing out that the product presented no risk real Health and Safety Risk and hence no apparent reason to charge a high premium. The high premiums only apply in the USA and Canada and only to non US companies. I am not wanting to form a US company just to get cheap insurance and I am not prepared to shell out £1K for cover in the US but is there another way? Its worth just asking if anybody has an idea.

 

[snowhead]

What sort of quantity are thinking might sell?

The U.S as you probably know are very protective of their own market, if your product has any Chinese components you may get caught up in the current tarrif war.

I'm not sure you'd be able to form a company over there without having a local office and be resident there, then you're into Visas, employing U.S Citizens etc.

The other way might be to form an agreement with a company over there, but I bet there's issues with that.

 

[gmartine]

The premium depends on your sales forecast doesn't it? I'd be careful allowing your product to be imported indirectly considering how letigious they are. I'd try another broker.

 

[centralheatking]

This has nothing to do with WRAS but everything to do with an Insurance companies perception of risk and hence wanting to charge a high premium. I only mentioned WRAS as a way of pointing out that the product presented no risk real Health and Safety Risk and hence no apparent reason to charge a high premium. The high premiums only apply in the USA and Canada and only to non US companies. I am not wanting to form a US company just to get cheap insurance and I am not prepared to shell out £1K for cover in the US but is there another way? Its worth just asking if anybody has an idea.

Ok I know your product has zero Wras on it but I was trying as always to get across to you
the Trotter Principle ...make the business first sort the problems later. I know our products are legitimate in all sorts of criteria but when faced with silly regulations in certain areas
just go for it ...chking

 

[Chuck]

Paying an extra £1,000+ just to add the USA on our policy just is not worth it.

This is not not something I have first-hand experience of, so this idea may be rubbish but...

Have you considered trying to get a big US retailer to stock your pumps? E.g. Homedepot have a webform for potential suppliers to submit products for review:

New Product Submission

and seem to accept proposals from many countries. If they like your product and think that there is demand they'll know how to go about importing it, etc.

Of course, selling in this manner will take a big bite out of your per-item profit.

 

[centralheatking]

This is not not something I have first-hand experience of, so this idea may be rubbish but...

Have you considered trying to get a big US retailer to stock your pumps? E.g. Homedepot have a webform for potential suppliers to submit products for review:

New Product Submission

and seem to accept proposals from many countries. If they like your product and think that there is demand they'll know how to go about importing it, etc.

Of course, selling in this manner will take a big bite out of your per-item profit.

This is exactly how we are approaching South Korea chking

 

[Alan Wright]

I am just looking to sell to the few US customers who want to buy my pumps through my web site.

At the moment I do not ship to any US address because my insurance covers every country in the world except USA and Canada. Some US customers get them sent to say Granada where they have friends who redirect them.

I did look to set up a US company with some US nationals but decided against it.
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Ok I know your product has zero Wras on it but I was trying as always to get across to you
the Trotter Principle ...make the business first sort the problems later. I know our products are legitimate in all sorts of criteria but when faced with silly regulations in certain areas
just go for it ...chking

Not a big demand in the US as very few gravity systems. Just want a way to sell to those who want them.

 

[oz-plumber]

Can't you set up an Ebay store and have a disclaimer there are no warranty's on the product outside the UK - or USA & Canada.
If you're confident that your product will last the warranty period, than what have you to lose.
If the odd one stuffs up - just send another one over, if need be.

 

[Alan Wright]

Can't you set up an Ebay store and have a disclaimer there are no warranty's on the product outside the UK - or USA & Canada.
If you're confident that your product will last the warranty period, than what have you to lose.
If the odd one stuffs up - just send another one over, if need be.

Noted but the insurance does not relate to any warranty period as we give the same 2 and 3 years warranty worldwide automatically and this is underwritten by my manufacturer not the insurance company. The problem occurs because in the USA if there is an accident you can be sued for millions of dollars and trying to convince an insurance company that a 12 volt pump is so very safe that there is a low risk so we should get low premium fails to impress . Seriously though its not for me to say why insurance companies want a bucket of money for 'product indemnity' in the USA for UK companies and only give low premiums to USA companies but they do.