what's up guys if you're thinking aboutstarting your own business importing product from all around the world solead on Amazon either as Amazon fee seller were sullied on your own websitecongratulations nothing beat being your own boss rightduring the importation process though you will have to deal with customclearance now everything you moved around to custom clearances seems to beso mysterious for example custom bombed if you'venever done it before you will be like wouldwhat is custom bombed don't worry in this video I'm going to make a superclear crystal clear on what is custom bombed and I'm going to share with youthree tips that is going to save you money when you are ready to buy thecustom bugged let's get started assuming you knownothing about custom fun or as a quick refresher of what is custom bound if youwatch my previous video about harmonized code you know you need the HTS code todetermine the correct test and duty you'll have to pay to the US custom youknow how much you need to pay but the u.

S.

custom it's not going to take therisk and assume that you're going to pay for it therefore the custom bunked isrequired to be established as an insurance is an insurance to guaranteethat you will pay your texan duty now you might argue I researched my HTS codemy harmonized code says my product is duty free great for you now do you stillneed a custom bount them absolutely yes the custom bond is established under theimporter of a record it has nothing to do with the type of product you areimporting this is just like you cannot drive off a brand new car of adealership without giving them the minimum insurance so butis a threshold for custom bond requirement the threshold is if you'reimporting for commercial purpose and you're declared value is greater than $2,500 with this if you are importingfor commercial purpose and the declared value is greater than $2,500 you arerequired to establish a custom bond now let's hide over to the money saving tipsession money tip number one wait wait for whatwait until you have a shipment that is produced and ready to be sent eitherthrough air or ocean that means you will need a custom bond to be established toclear your shipment this may sound so obvious but I've seenso many new beginners and the young entrepreneurs think are so excited theyget their LLC established they get their trademark and they even bought thecontinuous bond I will explain what is the continuous bond the minute you'llcommit to the continuous part the clock start to tick it doesn't matter whetheryou use it or not a will aspire the reality is guys the product research cantake months the production can take a couple months and the shipping can takea few weeks why put the money down and risk of wasting aid instead you shouldbe waiting until you have a shipment that is produced I will need the custombummed so that is the tip number one waitmoney tip number two shop I say explained early custom bond is just aninsurance that guarantees that you will pay tax and duty so just like buyingCarney insurance you should shop your custom bond insurance as well a lot ofpeople buy custom bond from their free folder which is fine but you should shopyour custom bond cost from different free folder or you can shop online therecompanies sell short debunked so you can compare who give you the best rate I gotquestions on the custom bot if I buy the custom bond from a freeforwarder can I use a different free forwarderthings I bought the bond from them the answer is absolutely yes the freightforwarders are just a service providers the bond is established under the nameof the importer of record once established it will follow the importerof record it doesn't matter which forwarder you use so shop your customfund money tip number 3 compare not only you should compare the different ratesfrom different forwarder to see who is giving you the best cost you should alsocompare the cost of the single entry bound was is the continuous bound yesthere are two types about the single entry bound is good for one entry if youimport again you need to buy another bound the continuous bond is good forthe entire year unlimited entries which bond works best for your situation thesingle entry bond is based on the declared value as a percentage of thedeclared value that's the cost and the continuous bond is a one-time fee in myvideo on how to ship product ina to the United States explained in great detailon how the math works so you can calculate your breakeven point how manytimes of single entry bond will cost effective effectively the same as thecontinuous bond however if you just guard a to your business why don't yougive the single entry bound a try for the particular product you're importingbecause if this product doesn't sell it may take a few months to researchanother product and take another couple months to reduce it and ship it if youput your money down on a continuous bond a Willys buyer in a year regardless so Iwould suggest you compare the Seng and rebound and the continuous partbased on your situation and decide which one gives you the bestreturn on the money fast you're number 3 tip compared with all of this how muchmoney we're talking about the single entry bond cost about 50 to 75 dollarsdepending on the declaration value of the continuous bond cost about $500 asyou can see if you committed to a continuous bond but never use ityou just wasted five hundred dollars and if you only use it once you might aswell use the single entry bond to save $400 this is why I make this video foryou if you like the content be sure to subscribe and give me a thumb up anddon't forget to check out the sourcing warriors Facebook curve there's a lot ofcontent there I will put a link below until then have a brilliant day I'll seeyou soon.