What Questions to Ask Before You Start Manufacturing Your Product

“I have this great idea for a product, how do I find someone to manufacture it?”

This is the number one question I get from new business owners. Four manufacturers and thousands of dollars in costly mistakes later, and I can finally say I feel comfortable sharing an answer.

A little background my name is Jamie Bird and when I developed my product, Wet Happened? wet bag demand far surpassed how many I could sew on my own. I thought I might eventually like to sleep again; so finding someone to manufacture the wet bags was my 6-month goal. Little did I realize, it would take two full years to find “the one”.

Trying to stay out of debt, I could only afford small quantity manufacturing runs at first. Because I had so many styles, over 20, I could not afford more than 50-75 of each style. Very few sewing contractors would quote me a price for that quantity. I finally found someone out of California, but I did not know the first thing about what went into cutting and sewing in volume. Little hints that raised red flags- 10% in damaged goods, smaller yields, longer lead times- were explained away as the difference between manufacturing in volume and sewing out of my basement. Looking back, I believe she knew I was inexperienced and ripe for being taken advantage of. I won’t go into all the details, just the highlights: bolts of stolen fabric, incredibly small yields, goods arriving three months after they were promised, having to hire a lawyer to release $10,000 worth of raw materials back to me.

I am not alone. I often hear stories of fellow designers running an entire production and receiving the product, only to find none of it sellable. I wish I could tell you this never happens, that my case was an anomaly. Finding a reliable manufacturer has been the biggest challenge I’ve faced, and one that many others have had a problem with as well.

Following are a few questions to think about when researching a sewing contractor/manufacturer:

1. Price per piece. One contractor quoted me $13.24 to sew the Wet Happened? bag. I can sew one in less than 15 minutes. It retails for $17.95. Obviously price is one of the first things to be discussed, but not the only important question to ask.

2. What is included in the price? Two new projects I am working on have required patterns and multiple prototypes. Some manufacturers do not include cutting or thread. It is necessary to know the TOTAL cost per piece, with each element included.

3. What is their average lead-time? If you are thinking 2 weeks, and they cannot fit you into production until November, that’s an issue.

4. What is their loss percentage and how do they rectify un-sellable goods? Do they issue a credit; do they need to be sent back for fixing? Will they pay the return shipping?

5. How is payment expected? Do they want 50% down and 50% when goods arrive, the entire balance before they ship, 30 days?

6. How many days do you get to sort through merchandise to make sure it is sellable?

7. Is there any way to get price breaks for larger manufacturing runs?

8. How many pieces can they produce each week? If you need 2000 pieces, and they only have one part-time seamstress…it will be a problem. I also like to ask what types of sewing machines they use, since some garment seams are serged. You would assume that all seamstresses utilize a serger, but that is not the case.

Once you have done a test run, finding out yields and total cost per piece is the next step towards bring your idea to market.

Even though it can be tough to find a manufacturer, being prepared and asking the right questions could prevent a bad working relationship and lost revenue down the road.

Jamie Bird is the creator of Mini Me BabyGear, LLC, and Wet Happened? Designer Wet Bags.

From Basement Selling to Big Box Selling

Last September I, Jamie Bird was sewing in my basement, which also served as my office, warehouse, shipping center, and business storage space. I was just grabbing my thread to start sewing a new batch of wet bags for next day shipment when my phone started ringing. This was my personal number, not the business line, so I did not answer but listened to the message being left. It was a big box store, calling because they wanted to test the Wet happened? wet bag. They wanted me to fly out to corporate headquarters and find out more information about the process. Read more

Forget Rules and Limitations in Life and Business

The following post was written by Startup Princess, Jamie Bird of Mini Me Baby Gear.

A while back, Startup Princess featured The Secret in a conference call. I had the chance to see it discussed on Oprah. I have to admit that I do not remember much from that episode, but I recall Hal Sparks standing in the audience saying something profound: limitations and rules do not apply to him. They are an illusion. Pushing aside the unwritten rules of society has gotten him exactly what he dreamed of- a successful Hollywood career as an actor/comedian.

I am not sure if my tentativeness to fully live this principle came from lack of confidence, feelings of vulnerability, or fear of rejection, but it did not take me long to “just ask” after that episode. My first experience was approaching someone in the children’s industry I admired, with hundreds of hip Los Angeles boutiques in her arsenal. Part of me hesitated to even ask because she seemed so, well, accomplished. I gathered my courage, introduced myself, and asked away. Not only did I receive some insightful information; she has become a good friend whom I now consult with on many other things.

After that was so easy, I figured why not contact my local new station to see if I could drop a few products by for a “trendy baby segment?” One of my goals was to get the word out locally about my products, and that seemed like a good start. The news anchor said they love featuring items from local momprenuers, but because very few people contacted them, they would rather come to my house to feature my business. One day later, the appointment was set. A week later, it aired. It was a great source of free press, and except for the endless housecleaning it took for my house to be camera-ready, was a lot of fun.

Many times over the course of my business, great things have come about because I simply asked for them.

Here are a few examples of how I ask for what I need in business:

• I never hesitate to e-mail someone with business questions.
• There are so many successful entrepreneurs I admire, and each one of them has a different perspective or something new for me to learn. I have saved time and money by learning what worked for them. I, then, am more than happy to pass it along to others when I am approached.
• Writing specific goals down has helped me remember what to ask for when the opportunity is presented. Press, like most e-tailers, is always on my list.
• After my product was highlighted on a magazine’s blog, I thanked the editor and asked her if there was any way to get in the actual magazine. She said they were thinking about using my product, but it was the wrong color. I sent her a few new samples, and knew it would have been a missed opportunity had I not been so direct.
• Sharing my goals with others- I find that most people are willing to help, but might not be aware of how to unless you ask.

For me, once the results became evident, it became easier to set aside my feelings of vulnerability, visualize what I wanted, and express those goals with others.