A dealer is an individual or business that arranges financial transactions between buyers and sellers for a fee. When the transaction is completed, a dealer becomes a broker. A dealer who is also both a buyer or seller and also acts as an intermediary becomes a principal of the transaction. They act on behalf of the clients and also take a part in the selling and buying process. The dealer keeps the account books and the bookkeeping details and records the transactions for tax purposes.
To sell a product, the dealer must make sure to buy the item at the agreed price, so that he does not exceed the agreed limit in his dealer’s account. When buying a product, the dealer has to ensure that the product purchased is within the agreed price limit. If the dealer fails to complete his transaction in full and also fails to get the item within the agreed price limit, then a late payment is declared against him. The dealer has to pay the penalty for each day that a late payment remains uncollected.
As a trader, the dealer acts as an advisor to the clients. He gives advice on the products available and helps them decide upon the best one. However, a dealer also acts in a commercial manner, for example by purchasing a product to sell to clients. If the dealer is successful, he has the responsibility of delivering the item to the client. The client pays the dealer in cash and collects the goods from the dealer’s office.
A dealer is not an ordinary person; he possesses some special skills and talents that are necessary for making money. As a trader, he will also have to undertake all sorts of risks and dangers. He will have to face competition from other dealers and also may be cheated or deceived. The dealer also needs to invest money to acquire more tools and learn new techniques to make better deals. A dealer also needs to be extremely alert and attentive, for the most important thing to happen is if the client fails to close a deal after many attempts, or fails to return the goods after a period of time.
Dealers are often hired to manage various transactions. They can help their clients in buying, selling and in other financial dealings. There are many brokers and firms which are engaged in dealing with the financial aspects of trading. The brokers and firms arrange for transactions and help brokers to do their job. This job may include, advising their clients about what kind of product is best suited for their requirements and helping them in making their buying and selling decisions.
One’s job as a dealer is to ensure that all the work is done in full compliance with the law, especially with respect to taxes. All transactions should be documented in a correct and systematic manner. A dealer should also keep the accounts of his financial dealings properly maintained, so that no loopholes in the transaction are detected. An account book with the proper names of the clients is very helpful and essential for the success of any deal. The books need to be kept for tax purposes. The transactions should be processed accurately and should be recorded in order to keep track of all the payments made.
In all the transactions, it is very important for the dealer to be able to foresee the future trend of transactions. He needs to keep track of the trends in the market and also provide sound advice regarding the future trends in order to avoid any unnecessary problems. A dealer should also understand the current market situation and be updated with the current conditions of the market. As the dealer, he needs to understand the needs and preferences of his clients and how to plan the future dealings in order to reduce risks and maximise his profits.
Dealers play an important role in the functioning of the economy. It is the duty of dealers to maintain smooth functioning of the economy and therefore it is very important that a dealer has some experience in the field. It also depends on the expertise of the dealer whether the dealer succeeds in maintaining a profitable business or fails in such a situation. The level of experience that the dealer has also helped in getting him to be a part of a successful business or not.