Make your product

What are the classic ways first-time importers get scammed or burned?

The short answer

Watch for prices that undercut the whole market, demands for 100% advance payment off-platform, and 'golden sample' switches where a great sample is followed by a mediocre bulk run. Keep deposits at 30% with balance on inspection, insist on Trade Assurance or an escrow-style payment on your first few orders, and never let a supplier move you off Alibaba/IndiaMART chat into WhatsApp before you've built trust.

A quick summary to orient you. The real value is below: the resources worth your time, from people who've actually done it, not us.

Here are the resources

Hand-picked from around the web, each with a note on why it earns your time. India-specific ones carry a badge.

3 resources 1 India-specific 3 link-checked

Read

📄 Article
✓ Link checked Free Intermediate

Why we picked it A catalogue of the specific cons that trip up product founders, the golden-sample switch, fake certifications, price bait-and-switch, and traders posing as factories, with concrete defences for each.

Common Supplier Scams and How to Avoid Sourcing Fraud

From cosmosourcing.com by Cosmo Sourcing

  • The golden-sample trick: great sample, poor bulk run
  • Certifications can be forged, verify at source
  • Watch for price bait-and-switch after commitment
  • Independent inspection before final payment
Open cosmosourcing.com →
📄 Article
✓ Link checked India Free Beginner

Why we picked it Fraud advice straight from the platform most Indian founders source on, naming the exact red flags: too-good pricing, off-platform payment pressure, no GST/verifiable address, and 100% advance demands.

Don't Get Scammed: Red Flags for Online Buyers on B2B Platforms

From corporate.indiamart.com by IndiaMART

  • Prices 40-50% below market are a scam signal
  • Never pay off-platform or 100% in advance
  • Demand GST, MSME and a verifiable physical address
  • Start small and keep transactions on-platform
Open corporate.indiamart.com →
📖 Book
✓ Link checked Paid Intermediate

Why we picked it The classic account of how factory relationships quietly degrade after the first good batch, essential mental preparation before you trust a new supplier with real volume.

Poorly Made in China: An Insider's Account of the Tactics Behind China's Production Game

From goodreads.com by Paul Midler

  • Introduces 'quality fade', the slow, deliberate cheapening after approval
  • Explains why great samples don't guarantee great bulk runs
  • Argues for an active, present quality-control relationship
Open goodreads.com →

People also ask

How do I actually import a product from China as a small D2C brand with no existing supply chain? Start on Alibaba to benchmark price and MOQ, but don't place a real order there blind, get 3+ quotes, order paid samples, and use Trade Assurance f... Beginner 2 resources → What's actually different between working direct with a factory, buying off Alibaba, and hiring a sourcing agent? Alibaba is fastest to start but you're often talking to a trading company, not the factory floor, fine for standard products, riskier for anything ... Intermediate 2 resources → What do I legally need in India to import goods, IEC, GST, anything else? An Import Export Code (IEC) from DGFT is non-negotiable, without it you cannot clear customs or get paid in foreign currency, and it's a one-time o... Beginner 3 resources → How do I estimate my true landed cost before I commit to an order? Landed cost is CIF value (product + insurance + freight) plus Basic Customs Duty, Social Welfare Surcharge, and IGST on top of that, not just what ... Intermediate 4 resources → Should I ship by air or sea, and how do I actually choose a freight forwarder? Air freight makes sense for your first small validation order or anything time-sensitive; sea freight (LCL/FCL) is dramatically cheaper per unit on... Intermediate 3 resources → How do I avoid getting scammed by a supplier? Treat three things as hard red flags: prices dramatically below market, a demand for 100% advance with no escrow or milestones, and pressure to mov... Beginner 3 resources →
eChai Partner Brands