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Ag Solutions from Oklahoma

Would appreciate any comments or references on a business out of Oklahoma called AgSolutions.  They sell ag inputs from parts, to chem's and fertilizer.  If you've worked with this company, what has been your experience?  They ask for a $3,500 membership fee which is returned 5% at a time on first purchases.  Tks.

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4 Replies
Senior Advisor

Re: Ag Solutions from Oklahoma

i wouldn't pay a membership fee to a supplier.

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Senior Contributor

Re: Ag Solutions from Oklahoma

I wouldn't either.

 

The prices they negotiate for you probably are not any better than you can negotiate on your own. Maybe take the money and use it for a self-assertion training class. Most of my suppliers will knock off 10% on a medium order, just by asking for a quantity discount.  And get bids from suppliers...it is amazing how well competitive markets work, that is the beauty of free enterprise and capitalism.  I just had bids done on a grain expansion, discounts were 40% to 50 % from competitors on list, and the winning bid finally knocked $1800 off the contract to get the bid.

 

I know guys that have gone this route, and they sit and wait a week for parts to get shipped to them to save a couple hundred bucks. Or you drive out of your way to a dealership you might not usually go to. And like I posted above, you can get the 40-50% discounts just by using bids and competition.

 

Keep the money.

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Advisor

Re: Ag Solutions from Oklahoma

By paying a membership fee they have you as a captive customer.  They know you will keep buying from them to at least get your membership fee back.

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Senior Contributor

Re: Ag Solutions from Oklahoma

Ag Solutions is an LLC and a private company.  Without investigating further, I would have assumed it might have been a cooperative venture, or at least a closed cooperative venture.  Unless they are able to prove to you that your investment can be returned via lower input costs in a year to 18 months, it's not a good deal.

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