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50% Deposit Normal when selling a clothing line to retailers?



 
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Old July 9th, 2008 Jul 9, 2008 10:33:19 PM -   #16 (permalink)
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Default Re: 50% Deposite crazy?

Quote:
Originally Posted by jeffreyshen
I apologize, but I should of stated this earlier. I'm a artists trying to sell my shirts to retailers. So is the 50% still reasonable?
To me that depends on if you are making the shirts from stratch based on the quantity they want to order. Meaning, if they pick one of your designs and want 50 of that design and 50 of another design, it's only fair that you get atleast half of the total cost up front.
Therefore, you wont be printing them for nonthing.

I always tell my customers when they call inquiring about my prices, that I expect atleast half of the total price up front, I let them know that if I print those shirts without an deposit and they change their mind I'm the one who would be losing, I think that should go the same for retailers.
Because I don't think you would just have each one of your designs printed in different sizes of large quantites, so they must be printed.

Hopefully you get the point i'm trying to give.
Also, a retailer should already know that half is a must. Because they are in the same business as us , saleing products.
But, sometimes when you are a small company and you are trying to do business with a fairly large company, it's seems hard to get a deposit because they want to be sure that they will get what they pay for.
 
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Old July 10th, 2008 Jul 10, 2008 9:54:02 AM -   #17 (permalink)
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Default Re: 50% Deposite crazy?

Most (if not all) of the responses here are from service printers, so it's worth bearing in mind the situation will be different if you're selling a product to retailers. Payment upfront, payment on delivery, and payment in X time are all pretty normal, depending on the size of your company. Really you can negotiate whatever terms you want, but 50% upfront certainly isn't standard here as it is in other sectors.
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Old July 10th, 2008 Jul 10, 2008 9:55:41 AM -   #18 (permalink)
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Default Re: 50% Deposite crazy?

Glad to see that'm not the only one thinking of doing this.
I have a limited budget for material, and if someone places an order and stiffs me on the bill... I'm out of business. I want to charge at least a 50% deposit to cover the materials I will be using on the job. This way if they don't come back I'm not out any money.

This makes me feel a lot better about having this policy.
 
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