Enertion Space Cell - Europe Group Buys - Save $$

ESK8 Parts Market Group Buys
#1

I am looking to trial a new idea to help get batteries into Europe.

12 months ago I could ship a battery anywhere in the world for between $60-80USD Each. Unfortunately, the price has tripled for my Europe customers so shipping using express to your door is not viable anymore and in some cases the option is not actually even available if you are willing to pay the high price. Mostly this is due to aviation regulations and strict guidelines for handling dangerous goods.

Currently, the best option to get batteries into Europe is shipping them via special Cargo Plane in Bulk consignments. The ideal size of a bulk consignment is around 100kg. This is equal to about 20 Batteries.

Example: target would be to sell 20 batteries each month & ship 20 batteries each month?

The next best option is to ship by sea, but that is not really viable until the quantity is larger, maybe 80 to 100 battery.

So my idea is to do monthly (or however long it take to reach the necessary qty) group buys for anyone in Europe that wants a battery.

The key Ingredients to make this work:

  1. One individual needs to be the designated recipient, they receive the goods & arrange to ship to the end user.
  2. The first recipient person gets a commission based on the total sales volume. Example $10-15 per battery.
  3. The first recipient doesn’t need to collect payments or be responsible for money as the order is placed directly with enertionboards.com
  4. Everyone who commits to the group buy can save on import duties & also receive a discount. (I believe I can arrange to pay import duties upfront based on the wholesale price - need to get more info on this from logistics company)

Important.

  1. The recipient should have some basic knowledge of sending parcels into EU countries.
  2. The recipient should learn about what countries they can ship a battery within the EU, anything sent via road is normally ok.

So really it’s not much different from any other group buy.

Please comment if you are interested in this idea.

#2

@onloop Imho, you should tackle the two problems at the same time… I’ll be glad to help out anyways…

#3

@Skitzor good point…

I have been so busy lately i haven’t been able to work on this part of the enertion expansion…

it definitely needs my attention soon.

#4

The biggest pickle to tackle is import duties I guess. Once you have that worked out, it’s just a matter of building some mutual intercontinental trust and there you have it, Your European supplier / servicepoint. There have been 4 applicants if I remember correctly. As soon as you find the time, go over them. It will also ease support for your new Australian employees and a lot of shipping costs…

Keep it going, Linda was great as support !

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#5

i believe i can prepay import duties, if this is possible i may start to charge EU customers VAT (or whatever the tax is called) on my website upfront, but maybe at a discounted rate to help the customer out.

This way i collect the tax and pay it before it reaches the first recipient, then there are no other extra cost except the domestic shipping charges. Which i also pay, but they must be paid after shipping.

yes, there are four applicants, they all seem great.

I suppose i just need to get busy and work on this.

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#6

I would like a space cell pro 4 , Would like to buy it in July - september. I live in Belgium

#7

I have no clue how they calculate it. It seems different every time depending on their feeling that day. Lets take my order. of the Raptor dual (belts + Quickcharge) and second space cell.

Total order on website: 2650,95 / 1760 Euro

Shipping documents:

Raptor dual (belts + Quickcharge) Declared 2100 AUD / 1 393.97 Euro space cell pro3 Declared 600 AUD / 398.27 Euro

Board came first declared at 2100 AUD. I get a mail from DHL for the import duties. 580 AUD / 384,80 euro’s. Both batteries got home without import duties at all.

duties.PNG914Ă—376 38.3 KB

I once bought 2 t-shirts from America for 20 euro’s. Import taxes were 34 euro’s. more as the damn products itself (doesn’t seem tax related).

#8

From what I understand it’s a percentage of the total value of the goods including shipping cost! and there’s a handling fee ontop.

If there is no customs invoice attached to the parcel there is a standard rate based on the weight of the parcel.

#9

I only paid 117 for exactly the same Board

#10

Just a remark and a thought …

How about conjoining the two and do it in switzerland ? Its not the Eu so regulations are much more in your favour ( thats why we are the only playce to get stary boards atm.) Easier cert. Process, easier and cheaper shipping and way easier to ship them out again for both the repairs and battery handling. Let me know if you are intrested in any way. greetings from switzerland :slight_smile:

#11

But when shipping in and out of Switzerland for repairs you will have to pay import taxes ?

  • are import taxes cheaper when importing from Switzerland than when you would be importing from China?
#12

Yes, you will still have to pay tax, and it is the same, where ever the goods come from.

#13

When importing from australia to Switzerland you will need to pay 3% import duties on the value of the invoice + a small fixed amount depending on the weight of the parcel. Then + 8% VAT applied on both the value of the invoice and the import duties plus fixed amount.

#14

Depends on a few things. 1.) declaration ( if correct no fees if incorrect fees of 35 dolars + 3% of shipping value) 2.) import taxes yes, though they are lower than Eu (most products between 5-8% on the subtotal ) 3,) e.g: Import 1 raptor dual + some wheels and bearings an belts (common order) = $2,198.85 AUD 3.1 ) with correct declaration = $2,198.85 AUD = 1,581.41 CHF -> 8% taxes = 126 CHF = 131$. This is only accurate for import for possesion.

In any case, if the product is only shipped for repair/re-distribution etc. Its nescesarry to correspond with the “state” to get a buisness ruling. So i can only answer your question circa, but not definetly in detail. If there would be real intrest for it in switzerland i would happely make those phone calls, but would need all information…

#15

The problem is that you have to pay taxes again when shipping to Germany(or every other country in the EU). Or am I wrong on this?

#16

well yes AND no. It depends under witch catergory you fall and if it is a repair or a product improvement. For repairs there are free trade protocols, where taxes are hold “hostage” until the product leaves the country again. For product improvements are similar protocols in place to they vary heavily from case to case which would have to be checked by authorities.

So if you get it aproved and registered, no (only eligible as a buisness, since you then again pay taxes on the money you earn from the repairs and thus pay taxes in a way if that makes sense) but as a personal way of transportation not possible.

I will see how much time of i get tommorow during buisnes hours, and if switzerland is an option for you guys/enertion i can make those calls for a provisional claculation, though the definit solution would need to be made with the product and clarification and registration of it.

We are an EFTA state, means free trading according to the ruling of dublin/schengen in cases of buisnes transactions and distribution.

#17

You are right. First you pay customs+tax+handling importing from AU to CH then again from CH to EU. I think even if CH has the best rates most of the users are from EU so that would be just an extra cost.

What about NL? - especially for non-air cargo? Or SE? There must be a reason why most of the stores have a warehouse in these countries… e.g. B2B import would be the best there and then B2C in EU is only shipping w/o extra tax or customs.

R, J.

#18

Have you tried contacting esk8.de. They have a shop based in Germany. They have the knowledge for repairs and probably shipping. Maybe you can start collaborating on certain items.

#19

Sending items back for repair and receiving it after fixing won’t need any extra customs/tax (neither export nor import) paid if you send it out with the right form filled and provide it to the authorities - at least in the EU.

R, J.

#20

EFTA doesn’t help for B2C if I’m right - I imported a lot from CH to EU (AT, DE, HU) and always had to pay customs/tax (based on the value).

R, J.