Includes typical use of agents and distributors and how to find a good partner, e.g., whether use of an agent or distributor is legally required
Although some companies import directly from foreign manufacturers without local representation, in most cases the presence of a local agent, representative or distributor is essential. Companies trading with the Government of Brazil (GOB) are legally required to use a local representative. As in other countries, the selection of an agent requires careful consideration. Brazil is a large country, slightly larger than the contiguous United States, and has many regional economic disparities, varying states of infrastructure, complex inter-state trade and taxation rules, and a host of other challenges. It is often difficult to find one distributor who can provide complete national coverage. CS Brazil offers a variety of services to help U.S. exporters find reliable local agents, representatives, and distributors. For more information, please explore Business Matchmaking” on our export.gov/brazil website.
We strongly recommend that U.S. exporters or their representatives consult with a Brazilian legal representative before signing any agreement with a local partner. This will help U.S. companies to abide by Brazilian laws, to limit liabilities, protect trademarks, ensure payments and define warranty terms. Clauses related to exclusivity, promotional obligations, service and support duties, localization and performance targets, among others, may be included within the agreement.