Avoid the risk of translation issues, messy contract negotiations and supply chain delays by letting Chinagy arrange all this for you. Our Chinese speaking team have built up strong relationships with all of the key production partners to ensure all of our customers get the best deals possible.
Many companies do not have own production facilities. They rely on third party manufacturers to provide them with the required quantities of agents or products needed for product development. An effective and good working relationship between the developing company (the client) and its third party manufacturer is essential. Thus, negotiating a manufacturing agreement should provide a solid basis for such an effective and good working relationship.
A beneficial working relationship between a manufacturer and a client usually goes through three different stages of co-operation:
The parties evaluate the cornerstones of their co-operation and try to put down their mutual understanding in a project plan or term sheet.
The parties convert the project plan or term sheet into a legally binding agreement.
The parties ensure compliance with the agreement by regularly monitoring certain aspects of their co-operation, such as timelines, required disclosures, etc.
At the very beginning of a potential co-operation, the client should scrutinize the services of several manufacturers and determine which manufacturers are adequately qualified to provide the requested services. In some specific areas, there might be just a few manufacturers that have the necessary experience and thus are able to provide the requested services. Choosing the appropriate partners right from the beginning will most likely spare the developer unnecessary frustration in the course of negotiation and co-operation.