Retailers need to be highly wary of wholesale sources claiming to be selling authentic branded or designer goods because often their products will be fakes. If you buy into re selling fakes, you  could face serious consequences including prosecution.  Selling counterfeit/fake merchandise can be classified as a felony in the United States, so you’ll want to stay as far away from these as possible.  Furthermore, when you buy fakes, you are supporting a syndicate of crime gangs who run the counterfeit industry and often enslave children to produce these fake goods, which is hardly something most people would want to associate with.

Buying branded or designer items and managing to distance yourself from such syndicates of crime is not easy and finding a genuine supplier will take a lot of time. To help you along on your quest, I have put together this trusty step-by-step check list for retailers to refer to when they are researching new suppliers:

Step 1:  Verify the supplier’s website and contact information 

Before you do anything else, start by checking how old their website is by visiting  a research website like DomainTools.com and entering their URL and checking how long their site has been online.  If they have only been around for a year or two , they are much more likely to be selling  counterfeit products .  Make sure you do some additional research before purchasing from this supplier.

Verify their contact details by calling and asking a few questions, and sending a few emails to get a feel for the people you will be dealing with. When you call, check that the person answers the phone professionally by telling you the company name and their personal name. When emailing, you should expect to have a fast and thorough response to all your questions.

Step 2: Check that they have safe payment methodssuch as PayPal.com or Escrow.com. If they only accept Western Union or telegraphic or wire transfers, do not do business with them! PayPal and Escrow offer buyer security which means that the buyer only gets paid when you receive your shipment , which means if there is ever an issue, you can get your money back much more easily.

Step 3: Ask the supplier for original documentation from the manufacturer or product owner. This is the best proof that the supplier is an authorized distributor of genuine merchandise. If they don’t have original paperwork, ask for a Sanitized Invoice. This should show the legal trademark of the product owner with the price, date, contact info blanked out. It’s not as good as original paperwork though.

Step 4:  Ask for some samples  from the supplier you are researching. When you receive the items, you’ll need to go through them with a fine tooth comb to ensure that they are legitimate. To get an idea of what to look out for,  search for the name of your product + “how to spot a fake” (For Example:  Oakley Sunglasses + “how to spot a fake” )

Step 5: Search for  reviews on SellWholesale.com. This wholesale blog writes reviews about many of the wholesale distributors available.  They also post tips and tricks for navigating your way through the world of wholesale.

Hopefully this information will help you avoid buying fake merchandise and being forced to eat the costs when those products are returned or confiscated.