You plan to launch a supplement brand, which can be very lucrative, as many others have done it before. It’s important to be thorough when trying to choose the right manufacturing partner. That can be crucial for how successful your brand will be. But what are the steps to stick to when vetting manufacturers?
We put together a list of the top questions that any supplement brand should ask a potential manufacturer. You will find them listed in different categories below. These questions can help new or scaling brands receive detailed information and pick the best manufacturing partner for their project!
Production & Capabilities
1. What Is Your Production Capacity and Lead Time?
Industry experts define lead time as the time from the moment production starts until it is completed. Make sure that the manufacturer clearly tells you what the estimated lead time will be for a project like yours. Don’t forget that the material availability and order complexity can increase lead times. Apart from insisting on a strict deadline, ask them if there are any penalties involved if they end up being late on their estimated delivery time. If the delivery is late, it’s only natural that you should end up paying less or get some sort of accommodation.
Production volume is another important consideration when choosing a manufacturer. Over time, your brand will grow and need more supply. It’s vital that your partner has enough capacity to handle increased requirements down the road. Knowing the company’s maximum production capacity can help your brand plan adequately and help you find a new production partner if necessary.
2. Which Certifications and Quality Standards Do You Adhere to?
Here are some relevant certifications for the supplement manufacturing industry:
- FDA. The FDA has some involvement in the regulations for supplement manufacturing. Choosing to work with a manufacturer that has their FDA registration can be a sign of a more serious and quality facility.
- GMP. These are Good Manufacturing Practices that include various production aspects from materials to the environment. The certificate guarantees the manufacturer takes proactive steps to ensure the efficiency and safety of its product.
- NSF. This standard applies to ingredient requirements and ensures the compounds meet the necessary quality. It’s issued by the National Sanitation Foundation.
Any other relevant local standards for markets could prove to be of additional worth. Manufacturers with these certifications and others can prove their dedication to quality and product safety which would potentially make them a better partner for your manufacturing needs.
Ingredients Sourcing & Supply Chain
3. How Do You Source Raw Materials and Ensure Quality?
Ingredients are crucial to the supplement’s quality and success. You should ask the manufacturer about their raw material sourcing. The company should prove that it only works with audited and reputable suppliers. Ask if it’s possible to trace the compounds from sourcing to a completed product. Don’t forget the importance of sustainability and ethical sourcing since eco-friendly products are becoming more vital to end users.
4. What Contingencies Are in Place for Supply Chain Disruptions?
What if something happens in the supply chain that might delay production? The manufacturer should have a backup plan, and that primarily includes alternative suppliers. They should be equally reliable in terms of delivering top-quality ingredients on time.
Does the manufacturer apply any strategy to anticipate shortages? Forecasting strategies and applying risk management actions can help to address unexpected disruptions. Ask the manufacturer to explain which strategies it has in place for unpredictable events.
Formulation & Customization
5. Do You Offer Private Label or Custom Formulation Options?
Here are the multiple options that supplement manufacturers usually offer to brands:
- White-label. Your brand goes on the supplement, but you don’t control the packaging or ingredients.
- Private label. These products can undergo certain adjustments to fit your brand requirements, such as custom labels, packaging, and formulation tweaks.
- Custom formulations. These supplements are completely made in line with your brand’s request.
If you are going for custom formulation, make sure to consider intellectual property protection or possibly an NDA to discuss your proprietary formula without the risk of it being stolen by the manufacturer.
The best manufacturer for your brand should be able to do both, so you have the most flexibility and opportunity to grow your brand. A team like SMP Nutra’s is one that can do so and should be on your list of potential supplement manufacturing partners.
6. How Flexible Is Your Minimum Order Quantity (MOQ)?
Minimum order quantity is an important consideration if you are a start-up company only entering the market for the first time, or if you want to test a new product on a limited run to confirm the demand for it in the market. Manufacturers with a higher minimum order quantity can typically offer bulk discounts. However, that requires a higher upfront investment. Scalability and adjustability are important, so consider the potential adjustment options as your business grows.
Additionally, there are typically higher MOQs with custom orders rather than stock formula orders. It is also possible that different stock formulas offered have different MOQs. So it is advisable to question a manufacturer about their MOQs thoroughly so you can find the best option for your brand.
Quality Control & Testing
7. What Testing Protocols Do You Use to Ensure Product Consistency?
Some manufacturers stick to in-house testing, while others provide third-party verification. Independent parties improve credibility, but don’t forget to also confirm the types of testing. The company might do potency, purity, heavy metal, or microbial testing. Batch consistency tests are also important since they guarantee uniformity across production runs.
8. Can We Tour Your Facility or Review Audit Reports?
Visiting the manufacturer’s facilities is an excellent way to see how the production process looks first-hand. Being able to come to the premises shows the manufacturer is transparent and has nothing to hide.
You can also ask to review audit reports from visits of third-party inspection facilities. Checking out compliance documentation ensures that the manufacturer meets the relevant industry standards.
Regulatory & Compliance
9. Which Markets Are You Equipped to Serve?
The first consideration is whether you plan to launch your product on domestic or international markets. The latter will require more paperwork and knowledge of international markets to have a smooth experience. The manufacturer might also provide import and export support, including assistance with regulatory documentation for the overseas market.
For domestic markets, focus on the regulatory bodies that are available there. In the United States, that’s the FDA, while Health Canada is for Canada, and so on.
10. How Do You Stay Updated on Regulatory Changes?
Regulatory changes are always occurring, and monitoring them is vital to staying ahead of the competition. The manufacturer should have an in-house compliance team. Its task is to stay vigilant and inform about potential legislative updates on time. Joining industry associations is great for receiving the latest information, while external consultants can confirm adherence to new rules.
Communication & Project Management
11. How Do You Handle Project Timelines and Communication?
Ask the manufacturer how they plan to keep you in the loop regarding the production process. Is there a dedicated representative who will communicate with your brand? Will you get regular updates and reports about the progress? If there’s a problem, do they inform you right away and tell you about the plans to resolve it? You don’t want a manufacturer that never responds to your messages, so make sure that they are ready to communicate at all times.
12. Are There Any Hidden Fees or Charges?
Some manufacturers are unfair and look to increase charges once the project starts. That could happen due to lab-testing fees or packaging charges. Some companies even have special costs for proprietary blends. The best strategy is to ask them to specify the maximum project cost and guarantee the price won’t go over that. Alternatively, make sure the manufacturer lists all possible charges on time to avoid any surprises down the road.
Contract & Financials
13. What Are Your Payment Terms and Contract Structures?
For a new supplement brand, finance is a vital consideration. The payment terms don’t only include the method, but also how frequently you conduct payments. Are there milestone payments based on project phases, and what is the upfront investment? Does the manufacturer offer negotiable terms and different conditions for new and established brands? Don’t hesitate to ask about everything you might find important before you sign the contract.
14. Do You Offer Volume Discounts or Loyalty Incentives?
Most manufacturers will offer some benefits, especially if you plan to work with them in the long run. For example, you could get a discount for the second or third order. A bulk order discount for a higher volume could also be applied. Most manufacturers have flexible pricing based on the order size and how frequently you need the product.
Conclusion
The entire process of finding the perfect supplement manufacturing partner begins by knowing what exactly you are looking for from them. That will help you know which questions to ask. It’s vital that you don’t hesitate to ask different types of questions, such as the ones mentioned on this page. It’s only when you have all the information that you can choose the most suitable manufacturer. And clarifying all details at the start guarantees the most potential for a solid long-term partnership with that company.
Partner With SMP Nutra For Your Supplement Manufacturing Needs
Finding the right supplement manufacturer can be very difficult. As your partner, SMP Nutra can ensure you are getting the best treatment and best deal when creating supplements.
With more than 800 stock formulas, design services, photography/videography services, product storage, and fulfillment, we are your partner for nutraceutical business success.
Get started today by requesting a quote or contacting us.