it outsourcing china
What are the basic fees to pay a broker or agent for negotiating and establishing manufacturing outsourcing in China?
It is based on quotas or based on percentages? If so, explain links each or provide. Thank you.
You left out many details. Want to build (or buy) and implement its own factory in China and hire and train locals to work there? Or do you want to outsource their manufacturing to an existing Chinese supplier and manufacturer contract? How many different products are produced? How are technically sophisticated products? Does the process requires the transfer of technology the Chinese? And so on … For your reference, I can tell when I have helped U.S. companies to establish manufacture in China, I have charged fees consulting between five and ten thousand dollars per month, with additional bonuses of $ 20k due to the achievement of certain goals, and all travel expenses in China by Customer. This was a relatively sophisticated medical devices. Look at it this way: using a China manufacturing, supply and supply chain experts would cost at least U.S. $ 100 000 per year, or approximately $ 8,000 per month. The cost to hire a procurement agency could cost half that amount, depending the complexity of the project. Setting up manufacturing in China can take at least six months and require at least two trips to China for you as a consultant. The trips will cost at least $ 6,000 each. Then there will be all sorts of different development rights as tools, setup fees, materials costs, transportation, etc. to produce prototypes and preproduction samples. So maybe you're looking at $ 40,000 to establish production in China. All this is based on the assumption that you are a real, existing company, with real and existing sales and distribution, and is going to produce and import large quantities of products (eg at least one container per month), or that you will produce smaller amounts of high-value products. If you are just an individual who has an "invention" or a "great" idea of a new product and want to know what it would cost to get it made in China, and you do not have much money to invest in sales and marketing the product, forget it. When talking about the outsourcing of manufacturing to China is talk of a substantial investment. This is what many people fail to grasp: there cost to reach the China price. You should be able to pay the upfront costs and you have to be able to sell and distribute their products in large quantities before they can position yourself to take advantage of low cost manufacturing in China. Call if you would like to discuss more about it: 212-847-7175.
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