# Product Sourcing Quality Checklist

## A. Pre-Sourcing Preparation (8 items)
- [ ] Product specifications documented with materials, dimensions, weight, and tolerances
- [ ] Target landed cost calculated with margin requirements
- [ ] Required certifications identified for destination market (FDA, CE, CPSC, REACH, etc.)
- [ ] Annual volume forecast prepared with seasonal breakdown
- [ ] Non-negotiable vs. flexible requirements clearly separated
- [ ] Packaging and labeling requirements specified (FBA prep, barcodes, inserts)
- [ ] Reference samples or detailed product photos prepared for suppliers
- [ ] Budget for samples, molds, and tooling fees allocated

## B. Supplier Screening (7 items)
- [ ] Minimum 3 suppliers identified across at least 2 different regions
- [ ] Supplier business license and export license verified
- [ ] Years in business and export experience confirmed (minimum 3 years recommended)
- [ ] Production capacity validated against your volume requirements
- [ ] Relevant certifications requested and verified (not expired, matches factory)
- [ ] Initial communication responsiveness evaluated (response time, language quality)
- [ ] Online presence and reputation checked (trade platforms, reviews, references)

## C. Quotation Analysis (6 items)
- [ ] Standardized RFQ sent to all suppliers with identical specifications
- [ ] Quotes received at 3+ volume tiers (MOQ, 2x, 5x)
- [ ] All quotes normalized to same Incoterm (FOB or FCA) for fair comparison
- [ ] Payment terms documented and compared (T/T split, L/C, trade assurance)
- [ ] Sample costs and mold/tooling fees itemized separately
- [ ] Hidden costs identified (packaging upcharges, color/material premiums, rush fees)

## D. Landed Cost Calculation (8 items)
- [ ] FOB/FCA price confirmed with all inclusions documented
- [ ] Packaging and labeling costs calculated per unit
- [ ] Inland freight from factory to port estimated
- [ ] International freight quoted (ocean LCL/FCL or air) with transit time
- [ ] Cargo insurance calculated (0.3-0.5% of CIF value)
- [ ] Customs duties calculated using correct HTS/CN code
- [ ] Special tariffs checked (Section 301, anti-dumping, countervailing duties)
- [ ] Last-mile delivery cost estimated (port to warehouse/FBA)

## E. Quality Verification (7 items)
- [ ] Pre-production samples ordered from top 2-3 suppliers
- [ ] Samples evaluated against product specifications checklist
- [ ] Material quality tested (weight, feel, durability, color accuracy)
- [ ] Functionality tested under normal use conditions
- [ ] Packaging quality and protection assessed
- [ ] Certification documentation reviewed for accuracy and validity
- [ ] Defect rate history requested from supplier (or estimated from sample quality)

## F. Risk Assessment (6 items)
- [ ] Trade policy risk evaluated (tariffs, sanctions, trade agreement changes)
- [ ] Geopolitical stability of sourcing region assessed
- [ ] Currency risk impact calculated for 10% exchange rate swing
- [ ] Supply chain redundancy verified (backup supplier identified)
- [ ] Natural disaster and climate risk for factory region reviewed
- [ ] IP protection strategy defined (NNN agreement, design patents in supplier's country)

## G. Supplier Agreement (5 items)
- [ ] Purchase order or supplier agreement drafted with quality standards
- [ ] Defect policy and return/replacement terms specified
- [ ] Production timeline with milestones documented
- [ ] Third-party inspection rights included in agreement
- [ ] Payment milestone schedule tied to production and quality checkpoints

## H. Post-Decision Verification (5 items)
- [ ] Final pre-production sample approved in writing before bulk production
- [ ] Third-party inspection booked at 80% production completion (for orders >$5K)
- [ ] Shipping documents reviewed (commercial invoice, packing list, Bill of Lading)
- [ ] Customs clearance documentation prepared before shipment arrival
- [ ] Supplier performance tracking system set up (delivery time, defect rate, communication)

---

**Total Items: 52**

**Scoring Guide:**
- 48-52 items completed: Comprehensive — sourcing decision well-supported
- 40-47 items completed: Solid — minor gaps, acceptable for experienced sourcing
- 30-39 items completed: Gaps — review missing items before committing to large orders
- Below 30: Insufficient — significant risk of costly surprises, complete more items before ordering