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Reply To: Dreamforge Grav Stug KS Relaunch

April 25, 2019 at 7:47 pm #1382668

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292xp

Because I am aware that a single SKU cannot float a company. I need to build on each success to regain momentum. Those tools will remain in China for one to two more runs so that they can be offered in the next project. After that they come to the US where I can run them without the shipping burden from China.

I will bring stock to the US, but not enough to deal with an overly extended period. Sitting on inventory, paying for warehouse space for an extended time eats significantly into the profits. Shipping prices here in the US are high, I need to ship from China where possible, for as long as it makes sense. When it does, I can complete my production runs here, lowering my cost per kit and use the margins gained to help subsidize the shipping costs to my customers and hopefully into the supply chain.

Its about volume and where to find the tipping point. This is something I will have to watch every month and make the call when there are enough SKU’s when the kits and company have regained enough momentum to justify the switch back to a more traditional model.

In many ways it is a self contained one-off.. Each kit will need to stand or fall on its own. If I cannot gain enough support to cut the tools, pay for production and a small profit. Then the kit should not be going into plastic production in the first place…