Linkan - Source with Ease & Confidence
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FAQ

Below are some of the questions we are frequently asked by our clients.

1. How much can I expect to save by sourcing in China?
2. What is the procedure we have to go through to source a product with your firm, and what would be the total lead-time from sending in initial enquiry to receiving the first order?
3. What information do you need at the initial enquiry stage?
4. We want to send you a product sample. What things should we be aware of?
5. How can I be certain that the Intellectual Property of the designs provided to your firm will be protected?
Can I retrieve the dies that we have paid for at any time?

6. How are goods normally shipped to us? How much is shipping cost?
7. Do we have duties to pay?
8. Do the parts/materials conform to the relevant European/American/Australian Standards?
9. How do we calculate a minimum order?
10. What are the normal payment terms?
11. Generally what is the lead time we need to work to or how far in advance do I need to place orders?

1. How much can I expect to save by sourcing in China?

There is no set formula but there are general rules that apply. Labor intensive products and components made of readily available materials offer the greatest savings. Products and components made of specialised and/or imported materials may not generate large price reductions. Other major issues to consider are transportation costs and duties. Contact us to understand the average savings achievable for a certain component or product.

2. What is the procedure we have to go through to source a product with your firm, and what would be the total lead-time from sending in initial enquiry to receiving the first order?

Below is an outline of the common procedure involved in a sourcing project:

Initial enquiry received
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Initial sourcing feasibility assessment and response
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NDA (Non-disclosure Agreement) signed (if applicable)
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Product drawings, samples, photos, or prototypes received
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Factory quotations and profiles provided for feedback
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Factory finishes samples or representative samples provided for feedback
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Open dies and patterns (if applicable) and counter samples provided
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Counter sample approved
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Sample order
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Sample order approved
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First production order
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Delivery
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Client quality feedback
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Repeat orders

Depending on the products and the time involved in receiving the client feedback, the above procedure normally takes 2 to 6 months. Our sourcing executives are trained to approach each project in the most efficient way and will do everything possible to shorten the lead-time. It is our practice to respond to our client’s emails within 24 hours and provide quotations within 2 days to 2 weeks.

3. What information we need to provide your firm at the initial enquiry stage?

The more details you can provide us, the more efficiently and accurately we can carry out your project. General information required includes:

Contact us to receive and fill out a Form of Enquiry which will allow us to best understand your unique needs and requirements.

4. We want to send you a product sample. What things should we be aware of?


5. How can I be certain that the Intellectual Property of the designs provided to your firm will be protected? Can I retrieve the tooling that we have paid for at any time?

During the sourcing process, we conducts due diligence into the reputation and professionalism of the potential suppliers. Only suppliers with a good past record will be qualified and considered for further selection by our clients.

We also enter NDA (non-disclosure agreements) with suppliers prior to sending them technical drawings or other information required to provide quotations and enter discussions regarding the possibility of sourcing goods from them. With suppliers that we deal with on a regular basis, we have signed Ongoing Purchase Agreements which include clauses in protecting the Intellectual Property and confidential information that our clients entrust us with. Frequent visits to the production site by our QC and sourcing executives also allow us to keep an eye on the situation.

As stated in the NDA and Ongoing Purchase Agreement, all property and confidential information including dies made can be returned, at any time.

6. How are goods normally shipped to us? How much is the shipping cost?

Depending on the size, weight, nature, location and urgency of the goods, our shipping experts will recommend the most appropriate method of transportation, among the options of express courier, air, LCL (Less Than Container Load), FCL (Full Container Load) and cargo consolidation.

The shipping cost fluctuates throughout the year depending on the season and the market. Prior to each shipment, we will provide you with the current rate and get your approval.

7. Do we have duties to pay?

Generally speaking, there are two types of duties: export duties occurred in China and import duties at the destination country. The answer really depends on the commodity type and the regulations in China as well as the destination country. We will advise our clients of any export duties and how they affect price competitiveness. Upon request, we can also research and find out the import duties in our clients’ home countries.

8. Do the parts/materials conform to the relevant European/American/Australian Standards?

Most of the glass and glazing products we currently source conform to the relevant European/American/Australian Standards, such as EN572 for float glass, EN12150 for toughened glass, and EN12543 for laminated glass.

For other products and components, if conformation to a certain standard is required, please inform us during the initial enquiry stage and our sourcing experts will look into the availability of such a standard in China.

9. How do we calculate a minimum order?

Most factories require a MOQ (minimum order quantity). We can always negotiate on your behalf for lower MOQ. However, to minimize the transportation cost, it is advised to order by containers. If the goods are ordered at different suppliers, cargo consolidation can be arranged so that goods from various sources can be loaded in one container.

10. What are the normal payment terms?

The most common payment terms are T/T (telegraph transfer). Normally the deposit, which ranges from 30% to 50%, needs to be paid upfront before the supplier commences the production. The remainder shall be paid to the supplier before shipment.

Some Chinese factories are open to offering better payment terms, after supplying for a certain period of time. We are happy to negotiate the best terms for our clients by utilizing our existing supply relationship.

11. Generally what is the lead time we need to work to or how far in advance do I need to place orders?

You can estimate a total lead time by following this formula: Lead time = production time + quality inspection time (if applicable) + transportation time (from the factory to your door) + additional time for processing the order + additional time to allow for any unforseable delay or contingency.

We always advise our clients of the estimated delivery date when confirming their orders. Our order and shipping managers constantly monitor the production of each order and track each shipment, so that any delay due to any unforseable event can be communicated to our clients immediately after it occurs. We strive to deliver each and every order on time.
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