What should I ask about an online store’s packaging suppliers and branded boxes?
Ask who makes the packaging, how it is ordered, how much is on hand, and what the supplier needs to keep producing it. Branded boxes often have minimum orders and long lead times. Find out whether the artwork and supplier relationship pass to you with the business.
Start with the supplier. Ask who produces the boxes, how long the relationship has lasted, and whether there is a written agreement. Ask what happens when the owner reorders: how long it takes, what the minimum order is, and whether prices have shifted lately. A single supplier with a long lead time can leave a store unable to ship. Ask how long it would take to switch to another supplier or a plain box, and what that would do to the store’s look and shipping cost.
Then ask about the stock on hand. How much packaging is in the warehouse or at the fulfilment partner, and is it counted in the inventory the seller quotes? Old stock with outdated branding may be of little use to you, so ask about the plan for it. Request samples of current packaging and handle them yourself, to judge quality and whether it protects the product on its way.
Ask who owns the design files and artwork. If a freelancer or the supplier made them, you need a clear record of who holds them and whether they can be reused. Check that the logos and any wording on the boxes are the store’s own. Finally, ask about damage and complaints. Boxes that fail in transit cost money and reviews.
Key takeaways
- Ask about order lead times, minimums and whether there is a written agreement.
- Confirm how much packaging is on hand and whether it is counted as stock.
- Check who owns the design files and artwork on the boxes.
Related reading
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 02Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
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