8 important tips on selecting clothing vendors that Fit in your Budget

clothing vendors

Are you in the market, looking for clothing supplier? If yes, then it is very important to select a vendor that fits within your budget.

Here are some tips on how to find a clothing supplier that fits in your budget.

It’s no secret that finding the right vendor can be a difficult process, especially when you’re working with a tight budget. However, with the right information, you can confidently select a vendor that fits both your needs and your budget. Let us look at top 10 important tips when it comes to finding a clothing supplier that fits your budget.

#1. Budget Yourself

Before diving in, know your numbers. Determine your merchandising budget even before considering getting any inventory. Consider fabric costs, minimum order quantities (MOQs), labor, and any additional fees. This will help you narrow down vendors who cater to your price range.

#2. Local vs. Global

Get to the decision of local vs. Global as soon as possible. While manufacturing locally can offer quicker turnaround times, easier communication, and potentially lower minimums. However, overseas production often boasts lower overall costs. You need to evaluate the pros and cons based on your needs. As a rule of thumb, if your order value in total is under $10k USD – it is better that you find a supplier locally that you can oversee on a daily basis.

#3. Find a Cluster

Once you have made the decision of local vs. Global – find a supplier cluster. You will often see that suppliers of specific product type are often in and around the same regions (LA, Manchester, Dhaka etc.). Find a supplier cluster that is most relevant to your product type and MOQs / MOVs

#4. Understand the concept of Minimums

There is no specific minimum order quantity as an absolute value and you need to understand this principle. There are minimums in terms of fabric, there are minimums in terms of printing, there are minimums in terms of embroidery etc.

There are minimums in terms of overall aggregate quantities. If you are going for private label manufacturing for your clothing brand, you need to understand the concept of minimum from each point of view.

For example – let us look at this t-shirt.

t shirt

MCQ – Minimum Color Quantity

MCQ is a determined on a minimum per color : for this t-shirt above, it would be 1000 pcs per color – this means you need at least 1000 pcs in each color.

MOQ : Minimum Order Quantity

MOQ is determined on a minimum per print : 200 / 300 pcs per print : this means you need at least 3 to 5 different prints, each with 200 to 300 pcs per print

MOV – Minimum Order Value

MOV quantity would be total quantity across all styles, designs and prints. Depending upon the infrastructure and payroll cost, MOVs vary from supplier to supplier

#5. Interact

One of the most ignored criteria in evaluating a clothing supplier is your interaction. Once you have narrowed down your supplier cluster and once you have figured out which type of suppliers you need to be working (local vs. global) : make a list of at least 5 to 10 suppliers operating at a similar scale. Talk to each one of them.

Once you interact with all them, you will realise some of those suppliers are active in communication, transparent in providing pricing – these suppliers would go an extra mile in providing you the breakdown and even if certain prices and quantities do not match your expectations, they will try to provide some reasoning and logic on how they arrived at those calculations.

These suppliers are going to be actively involved with you during the sampling and production and even during dispatch. If your prospective supplier gives you some flimsy BS – it is a red flag and you should avoid such suppliers.

Based on your initial interaction with these shortlisted suppliers, a lot can be determined. The quality of service that you will receive after you placed an order would not be very different from how they were treating you during the initial phase.

#6. Communication

Following up on the interaction part, if your clothing supplier is actively communicating, you need to hold your end of the bargain. This means clearly communicating your budget, timelines, expectations in terms of MOQs, MCQs, MOVs etc.

#7. Landed Cost

It doesn’t matter to you if you get a low product cost if you are not saving on transport and freight. At the end of the day, what matters to you most is the landed cost – the total cost you have to pay when the goods are in your warehouse. There is a service cost element to this and a product cost element. You have to ensure that you are securing all important costs factors when evaluating your landed cost or otherwise get your vendor to help you get to the landed costs.

#8. Additional Services

Many suppliers offer inventory financing, PO financing. Learn about different services and offerings to see which one is applicable directly for brand. Similarly, many full package suppliers have logistic services embedded into their offerings.

If you’re still unsure which vendor is right for you, reach out to them directly and ask for a quote. By following these tips, you’re sure to find a vendor that meets. When you reach out, ensure that among other questions on quotation, MOQs etc, you are also covering the following information –

  • Years in business, financial stability, and sustainability
  • Capability to Supply Products and capacity information
  • Client list and product catalogue / previous work portfolio
  • Number of internal experts available to answer any questions you may have

In Conclusion

Once you know what you need, research different suppliers for clothing and compare not only their pricing but landed price and overall order value. Make sure to take into account delivery time, shipping costs, and any other associated fees. 

With so many options available, it can be difficult to find the right clothing vendors for your budget. The tips we’ve shared should help you narrow down your search and make a more informed decision about which apparel manufacturer is best for you. We know how important it is that companies are able to keep their expenses low while still getting high quality products from suppliers they trust.

If all of this sounds intimidating and you want help enacting these principles, let us know. Our team of experts are ready and waiting to partner with you on finding a great clothing supplier who meets your needs in both price point and style variety! Have any other questions? Don’t hesitate to contact Hula Global today from our website.

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