O.K. Here goes. My .02 cents. Just a few things to keep in mind.
Outsourcing or sewing your own? Outsourcing works best for us because it is cheaper and the manufacturing company will provide all the labels, hang tags, bar codes etc..etc..for less.
EXAMPLE: 100% pique cotton polo shirt at below wholesale price $5.50pc and adding your labels and hang tags which can cost .30each (and the minimum order is 1,000 labels per design). You will need several different labels. Care label, main label, hang tags, price tags, bar code. 5 labels x .30 = $1.50 now that shirt can cost you about $7.00/pc not including embroidery, logo or your design. Add your designs and now that same polo shirt can be upto $12-$12.50/pc if you can find a cheap embroidery company. If sewing or printing yourself $9.00-$10.50/pc.
First you need to know how much is the cost per unit.
All prices from manufacturing companies are negotiable.
$4.00-$5.00 a unit??? or less depending on manufacturer,quality and minimum order. (what type of cotton, jersey, pique, combed, etc..100% cotton...50/50....80/20...etc) does it include hang tags, company label, price tags, bar code and polybag.
Will it be shipped all together or will it be boxed by style, size or combination of both.
Then you need to add your shipping cost.
the cost manufacturing company will charge to ship items to you.
Freight or airway?? (FOB) airway is more expensive but you will get your items quicker.
Then there is customs duty.
Depends on the fabric and customs code.
Usually $16.5% of the invoice. but can go up to 19% depending on the country you are importing from.
If you are ordering more than $2,000 you will also, need a broker as customs will not release your items without an entry on invoices more than $2000 and a broker will provide the customs entry forms as well as making sure your order is released from customs.
So, you will need to add $150-$200 for brokers fees.
See http://www.cbp.gov for details.
Then you will have to add expenses....
Cost of internet service if you are selling on line.
Cost of electricity, etc...etc... (Cost of running your company)
Cost of storage if any.
Payroll (paying employees if any or paying yourself)
Even after adding the expense of a brokers, customs and shipping charges you can still get the same shirt with all appropriate labels and design for about $6.50/pc or less depending on the quantity ordered.
You get the picture.
I hope that this has helped.
If you have any questions we are happy to help as we were exactly were you are now a couple of years ago and now we have our clothing line in several stores. We also, do custom apparel for different companies and deal with 4 different manufacturers.
President & CEO
Mr. Soba
SOBAWEAR, LLC
http://www.sobawear.com