“One of the challenges we had was vendor management”, explains Brian Gannon. “We didn’t want to build a massive supply chain organization because that would be overkill, but we couldn’t have nothing. Part of the issue was the time and effort it takes to create a relationship with a vendor. You need to fly to the vendor’s state or country, monitor supply chain, shipping, logistics and quality. We didn’t need an army of people, but we needed something. We also wanted to add factories to diversify our supply chain ecosystem, so that’s where [Manufactured] comes in.”
Manufactured took over Loop’s existing vendor relationship and onboarded a new vendor. “Manufactured qualified and took care of all the quality assurance aspects, so we were able to onboard a new manufacturer. Because we didn’t have to worry about the supply chain side of the business, we had time to focus on the software and innovation.”
“Another challenge we had was that we didn’t have enough capital to buy in large quantities”, says Brian. “Our initial order was all pre-funded by customer purchases. The issue with that is that it’s not scalable and sustainable. The manufacturers expect a larger second order, which means more capital. Most importantly, customers don’t want to wait months after purchasing to receive their frame.”
Manufactured was able to provide inventory financing for Loop’s next round of inventory. “Financing opened up so many opportunities”, explains Brian Gannon. “We were able to purchase more and at a lower cost per unit due to the quantity and counter quotes provided by other vendors. We improved cost without sacrificing quality.”
Simplifying the manufacturing process
With over 500+ vendors across 25 countries, we will make your manufacturing process a breeze.
We handle everything from vendor quoting and negotiation to shipping and warehouse coordination.