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Vetting is Crucial Before Partnering with a CM

Got a product idea that needs to be made into reality? You’ll most likely need to engage the services of a contract manufacturer (CM) to bring it to market. But before you sign on the dotted line, do your homework. Ask questions to ensure the CM has the reputation and expertise to get the project done according to the terms you agree upon.

EPower Corp is a leading contract manufacturer that specializes in maximizing efficiencies for startups and small- to medium-sized businesses by developing and manufacturing physical products they request. We offer proven expertise in production, engineering, supply chain, project management and more to spur company growth and profitability.

Before you partner with any CM, you want answers to these strategic questions first:

1. Does the CM provide transparency? Upon request, they should quickly and confidently provide you with information regarding their production processes, materials cost, direct labor costs, overhead costs and profits.

2. Does the CM ensure high quality results? The CM should have quality standards in place that provide guidelines to ensure your requirements are being met.

3. Is the contract manufacturer’s facility well organized? Organization is key to a well-run facility and also speaks to the CM’s ability to complete work in a safe and timely manner.

4. Do you know if the contract manufacturer financially sound? Check on the CM’s financial soundness using any one of a number of sources — a bank reference check, UCC filings, or their Dun & Bradstreet report.

5. Is the contract manufacturer the right size for your business? Smaller CMs are most efficient for smaller businesses, and larger ones can better serve larger accounts. Best to work with CMs that are the right fit for your business.

Due diligence is an effective way of entering into a business relationship with a CM that offers the best chance for a win/win proposition. EPower Corp stands on its reputation for excellence, providing you with total transparency of our processes, programs and financial information that will help ensure your company’s future growth and goals are achieved. To learn more, schedule a free consultation by contacting us today.


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