Getting a quote from a factory is a big step forward—but if you don’t know what to look for, it’s also where surprises can start. At Rad Sourcing, we’ve seen too many brands get hit with unexpected charges that could’ve been avoided with a closer look upfront.
Here’s how to read between the lines of a factory quote and spot the hidden costs you shouldn’t overlook.
1. Sampling Fees
- Some factories offer free samples, but others charge, and these fees may not be listed in your initial quote. Ask whether sampling costs are included, refundable, or separate altogether.
2. Mold or Tooling Costs
- If your product requires custom hardware, embroidery plates, or molds (especially for trims or packaging), ask if those are one-time setup fees or recurring with each production run.
3. Material Substitutes or Upcharges
- Your quote might be based on a basic or generic material. Always confirm the fabric type, weight (GSM), and fiber composition to avoid surprise upgrades.
4. Color Matching + Dye Charges
- Pantone matching, garment dyeing, and small-batch colors often have added fees. Always ask if lab dips, custom colors, and dye minimums are included or extra.
5. Packaging Costs
- Factories may quote for basic packaging only. Ask about hangtags, barcodes, tissue paper, branded boxes, and eco-friendly options, which often come with setup fees or MOQs.
6. Inspection + Quality Control
- Some factories include basic QC, others don’t. Clarify how they handle defects, who pays for third-party inspections, and whether you’ll need to arrange that separately.
7. Bank Transfer or Payment Fees
- International transfers may come with hidden costs like wire fees, PayPal charges, or currency conversions. These often aren’t included in the quote but can impact your bottom line.
Final Thoughts
- Understanding a factory quote is about more than just the per-unit price. It’s about the total production cost—samples, setup, packaging, payment, and everything in between.
- Ask the right questions now, and you’ll save time, money, and stress later.
Want help decoding your quote?
At Rad Sourcing, we guide brands through every step of production—no guesswork, no surprises.Email us at [email protected] to get started.