Importer of Record Services – Shipping IT Hardware Internationally
We’ve found it’s generally cheaper and faster to procure your IT gear in the USA and ship into international markets. As opposed to working with VAR/distributors in each country. This is especially true when purchasing high-value infrastructure equipment like routers, storage arrays, and firewalls. However, to import IT hardware procured internationally you will need Importer of Record services.
Every import of high value (generally over $250) requires a local business to act as the Importer of Record (IOR) for customs. In addition to having a local business, some countries will also require licenses or permits to be able to import IT hardware. The requirements vary from country to country but typically follow this framework:
Registered Business Entity:
- Registered entities will have a tax ID in the destination country. Therefore are legally recognized by the government.
Authorization to Import:
- The entity may also need to be authorized to import the shipment into the country. For example: in Mexico, even if you have a business entity, only licensed and registered companies can take part in the formal clearance required for customs.
Our clients commonly think the barrier to deploying hardware internationally is not having a business entity in each destination country. However, your logistics partner can provide a suite of importer of record services to import goods on your behalf.
The classic IOR scenarios that we see over and over again with our clients are as follows:
The client is utilizing co-located data center facilities:
- In countries like Mexico, China and Russia, import licenses and permits are required before businesses can import IT equipment. Our local IORs hold all needed authorizations and can apply for shipment-specific licenses and permits.
Client does have a business entity, but it is not authorized to import:
- In many countries, businesses must hold a license to import and to transact with foreign companies abroad. Our importer of record service provides this ability to our customers. Furthermore, utilizing the IOR service also results in a faster clearance, as we are very experienced in the importation of IT hardware and telecommunications equipment.
The rationale for leveraging IOR services and shipping from the US is easy to see. You can simplify your procurement process by reducing the number of VARs you are working with, all while saving time and money.
The formula is simple:
With the right logistics partner to project manage your IT deployments, you will find fiscal and lead-time savings.
What would it mean to your technology organization if you could deliver the exact gear you need, exactly when and where you need it globally?