In the last few decades, the Chinese economy has grown incredibly fast. One of the big reasons for this is because Chinese companies manufacture a considerable amount of products for western companies.
If you want to reduce production costs and grow your business, it makes a lot of sense to work with a China manufacturer. Given that you’d be working with a foreign company, the process can feel overwhelming.
So what exactly do you need to look for to make sure you find the right company for the job? This article lists some of the things you need to consider before signing a contract with a Chinese company.
Do They Have Certifications?
When you work with Chinese manufacturers, you need to be sure they have the right certifications. This helps to make sure you can rely on the company. If the China assembly service doesn’t have certifications to show you, it could be a red flag.
Always make sure you get proof of the correct documentation. A good company should be more than happy to provide proof.
Are They Financially Stable?
It’s also important that you work with product assembly services in China that are financially stable. The reason for this is simple. If the company goes out of business during production, it causes you a lot of problems.
A good Chinese product production company will be financially stable enough that you can rely on them to consistently deliver the product. You can find out if a company is financially stable by asking them about its finances. You should also verify what they say by researching the company.
Do They Offer Any Additional Services?
When looking into product assembly in China, you should also look for companies that offer multiple services. Many manufacturing companies in China offer other additional benefits, such as graphic design or packaging design.
This means that the company could deliver your product fully packaged and ready to go. Working with a company that offers such additional services can save you a lot of time and money in the long run.
You should take the time to analyze exactly what your company needs. Then see if you can find a Chinese manufacturing company that can meet all of those needs. When you’re only dealing with one company for a variety of services, it can really streamline your production process.
How Big is the Company?
You should also pay attention to the size of the company. While you might be tempted to go for the biggest company possible, this isn’t always the best choice. If you’re a small business, it may make more sense to go with a small or medium-sized manufacturing company.
As a small company, you’d probably be a much lower priority for a large company. On the other hand, if you go with a smaller company, they’ll have much more time to focus on your manufacturing job.
Before signing a contract, make sure that the company you’re considering doesn’t work with many big clients.
What is the Minimum Order Quantity?
You’ll also need to figure out if there’s a minimum order quantity. Many Chinese manufacturing companies will only work with you if you want to produce a certain number of units.
For larger businesses, this isn’t usually a problem, but for a small company, it could be problematic. Always make sure you confirm the minimum order quantity before you start doing business. This makes sure you won’t face any nasty surprises in the future.
Also, beware that if you work with a larger manufacturing company, they may implement a minimum order quantity later on in the business relationship.
Do They Have Good Quality Control?
When working with a Chinese manufacturing company, quality control is key. If the company sends you products that are not up to standard, your profit margins will decrease.
While Chinese manufacturing companies had a bad reputation for poor quality control in the past, they’ve gotten much better in recent years. If you work with a reputable company, you should have no problems getting quality products delivered.
Manufacturing companies should also have policies in place to reimburse you if some of the products are not up to standard.
Can They Provide a Product Sample?
Working with a foreign manufacturing company is always a risk. That’s why you should ask for a product sample before you commit to a serious business relationship.
A good manufacturing company would be more than happy to provide you with sample products. They should also be receptive to your feedback. It’s not uncommon to go through a few prototype examples before you get something you’re happy with.
Beware of any companies that aren’t willing to provide samples as it suggests they might not be a company you can rely on.
Check Out Reviews and Get Recommendations
You should also make sure you check out reviews of a potential company. These days a huge range of businesses use Chinese manufacturing, so you should find no shortage of online reviews.
You should try to verify the legitimacy of these reviews to make sure they’re not fake. You might also consider talking to other business owners you have a relationship with. Recommendations from friends are worth a lot as you know they’re genuine.
A China Manufacturer Can Grow Your Company
If you’re looking for a way to take your company to the next level, a China manufacturer makes a lot of sense. If you want to make a reasonable profit, you’ll need to find a way to keep costs down. Chinese manufacturers allow you to do exactly that.
If you want to work with a company with a lot of experience in working with Chinese manufacturing, contact us today, and we can help you to grow your business.