Factory Locating

Locating a factory can be a rather difficult task. The factory that you choose depending on its location can cost you more money than is needed.

Two factories that make the exact same product can be 20% different in price due to their overhead, taxes, and location to the nearest port. This takes a vast knowledge of geography and port history to calculate this equation. Typically the bigger the city the better the port, but this can also mean delays because the port is busy. It takes many years to learn these things and is almost impossible for you to learn them from abroad.

Another influencing factor that affects the price of your products is if the factory is located in a “Free Trade Zone” these special zones were set up over 20 years ago in China and offer companies special tax incentives on conducting business with overseas companies. These tax incentives allow the factory to offer you a better price than factories located outside of these zones.

At Sourced Now our logistics staff and sourcing staff work hand in hand to negotiate through this web of constantly changing influences to ensure that you get the best price available each and every time. Every inquiry given to Sourced Now undergoes an evaluation process as to which factory will be better for you our valued customer.