Covered in this article:
- Sash Bag faced inventory challenges due to the complexities of mass production and struggled to meet demand.
- The company partnered with MFD to get help with inventory financing and production management.
- MFD helped Sash Bag produce larger quantities of inventory, leading to record-breaking sales and the elimination of stockouts
- The partnership resulted in significant revenue growth for Sash Bag, doubling revenues in its first year, with projections to more than double revenues again in its second year working with MFD.
When Nicole McDonald launched Sash Bag in 2012, she had a vision for a product that was as fashionable as it was functional. However, the complexities of mass production and the challenges of maintaining sufficient inventory to meet growing demand soon became apparent. The unique design of The Sash Bag, featuring ten separate pockets, a built-in wallet, and a top stitch going through eight different layers of leather and fabric, was not easy to manufacture.
The Power of Partnership
``When I met with the Manufactured team, I knew it was the solution we've been looking for for a long time.``
- Nicole McDonald, Founder, The Sash Bag
Nicole’s initial manufacturer, a small overseas operation, was unable to offer credit terms, which meant that Sash Bag was often sold out and back-ordered on many of its designs. Nicole knew that these stockout issues were limiting the growth potential, but she struggled to find an inventory financing partner that offered fair terms. Fortunately, Nicole was introduced to Manufactured at a conference, and after several months of productive discussions, they established a partnership to address the inventory financing challenges.
``We were always in the cycle of ordering, however many bags we had the cash to pay for. So having this ability just to plan out our year and say, 'this is how many bags we think we're going to sell.' and place a P.O.... I know this sounds crazy, but In ten years of business, that's an entirely new thing for us.”
Game-Changing Support and Service
Manufactured’s comprehensive suite of services proved to be a game-changer for Sash Bag. Not only did Manufactured provide fair and flexible inventory financing, but the team provided valuable production management and even contributed to the creative process with new design ideas. Nicole was surprised and delighted by the value that Manufactured brought to her business. With Manufactured’s help, Sash Bag was able to order larger quantities of inventory, which led to record-breaking sales. For the first time, they were able to meet all their orders without stockouts.
Doubling Revenue with a Capable and Trusted Team
The partnership with Manufactured not only solved Sash Bag’s inventory issues but also led to significant growth in revenue. Sash Bag doubled its revenue in its first year working with Manufactured, and was on track to more than double their revenue in the second year with an additional 133% growth.
Manufactured has proven to be a comprehensive and trustworthy partner for Sash Bag, providing a full scope of resources and expertise to help the company reach its full potential and grow its business. Sash Bag’s success story, fueled by the partnership with Manufactured, serves as a testament to the transformative impact of Manufactured’s services, and it’s ability to empower businesses for growth and profitability.
``It’s hard finding a financing partner with fair terms that also provides so much value and structure, who is also willing to work with you and invest so much into your success.”
``If we weren’t working with Manufactured, we wouldn’t have been able to benefit from financial flexibility or grow as fast``
– Nicole McDonald, Founder, Sash Bag
Sash Bag’s Story Snapshot
- Nicole McDonald, the founder of Sash Bag, launched the company in 2012, initially selling at farmers’ markets and festivals before transitioning to online marketing in 2016.
- Despite experiencing revenue fluctuations, Manufactured helped Sash Bag achieve exponential growth, doubling its revenue the first year it began working with MFD, and then doubling it again in its second year.
Services and Solutions:
- Manufactured, a financing and production management company, was introduced to Sash Bag as a solution to their manufacturing and financing challenges.
- Historically, Sash Bag struggled with inventory financing and faced difficulties in finding a manufacturer that could meet their complex product requirements.
- The partnership with Manufactured enabled Sash Bag to order larger quantities of inventory, leading to record-breaking sales and a deeper understanding of customer preferences.
- Nicole highlighted that Manufactured’s one-stop-shop approach, combining financing and production management, eliminated confusion and provided flexibility for growth and adaptation.
- The flexibility in paying back the loan as products are sold, along with the creative input and support from the Manufactured team, contributed to Sash Bag’s elevated success.
- Sash Bag anticipates 133% year-over-year growth compared to last year, attributing this growth to the partnership with Manufactured and the elimination of stockouts.
ARE YOU A BRAND MERCHANT LOOKING TO GROW YOUR BUSINESS?
Whether you need sourcing assistance, inventory optimization or financing, Manufactured’s end-to-end manufacturing support platform can help. Contact us to speak with one of the inventory experts at Manufactured. Our solutions specialists can help you navigate complex financing options while providing valuable information and insights, so you can choose the option that’s best for you.
Learn how to apply for vendor financing, and get help receiving purchase order financing. Manufactured helps customers in over 20 categories across 25 countries with product manufacturing and inventory financing.