Factory & Sourcing Glossary

The smallest number of units a factory will produce in one order — per style, per color, or per fabric roll, depending on the shop. Below MOQ, a factory either declines the order or the price per unit rises sharply to cover their setup cost.

A unique code for one specific version of a product — one style, in one color, in one size. A design in 3 colors and 5 sizes is 15 SKUs, even though it reads as “one product.”

The internal code a brand uses to track one design through development, independent of color or size — the parent of its SKUs.

A repeat order of a style already in production — usually faster and sometimes cheaper than the first run, since the pattern, grading and sourcing are already done.

A factory's existing design or blank product that a brand puts its own label and branding on, with little to no design input from the brand.

A generic product made to be rebranded by multiple companies — similar to private label, and often used interchangeably with it.

Selling finished product in bulk to retailers or other businesses at a discounted per-unit price, rather than direct to the end consumer.

The complete technical file a factory needs to build a garment — flats or renders, a bill of materials, construction and stitch details, and a measurement spec. Most factories won't quote a job without one.

The itemized list of every fabric, trim and component in a garment — fabric, thread, zippers, buttons, labels — usually with a supplier and cost per unit.

The table of exact measurements for each point of measure (chest, waist, sleeve length) at every size, with the tolerance a factory is allowed to be off by.

The first physical sample built from a tech pack, mainly to check that the construction and silhouette work before fit gets fine-tuned.

A sample made specifically to check measurements and fit on a body or form. A style usually goes through more than one fit round before it's approved.

The sample built right before bulk production starts, using the actual production fabric and trims — the last checkpoint before hundreds or thousands of units get cut.

A sample pulled from the very first units off the real production line, checked against the approved PP sample to confirm the factory built what was agreed.

Scaling a pattern from its base size up and down to every other size in the range, following a grade rule for each point of measure.

The template pieces — paper or digital — that get traced onto fabric and cut to build a garment.

The layout that arranges every pattern piece across a roll of fabric to use as little material as possible before cutting.

One approved color combination for a style. A design released in 4 colorways is the same pattern produced 4 different ways.

A factory that cuts fabric from a pattern and sews it into a finished garment — as opposed to knitting a garment to shape, or working from finished blanks.

A factory sources the fabric and trims itself and delivers a finished product; the brand just approves and pays.

The brand supplies the fabric and trims; the factory only cuts, sews and finishes. Usually cheaper per unit than full package, but the brand carries the sourcing and shipping.

The time from a confirmed order (or approved sample) to finished goods ready to ship — separate from sampling time, which happens before it.

How many units a factory can realistically produce in a given period. A factory can be a great fit on quality and still be the wrong fit if your run is bigger than their capacity.

Everything on a garment besides the main fabric — zippers, buttons, snaps, drawcords, elastic, interfacing, labels.

Fabric straight off the loom or knitting machine, before it's dyed, printed or finished.

The standard measure of fabric weight. Higher GSM generally means a heavier, more substantial fabric.

Inspecting product against the approved sample and spec, at any stage from raw materials to a finished, packed order.

The industry-standard sampling method for inspecting a portion of a shipment — not every unit — and setting how many defects are allowed before the whole batch fails.

A quality check performed while the order is still on the production line, catching problems early enough to fix before the whole run is affected.

A quality check on finished, packed goods before they ship — usually the last checkpoint a brand controls before the factory releases the order.

A deduction a retailer takes from what it pays a brand, usually for late shipments, mislabeling, or failing a compliance requirement in the purchase order.

The price of the goods once they're loaded onto the ship or plane at the factory's port — everything after that (freight, duty, insurance) is the buyer's cost and risk.

The buyer takes ownership at the factory's door and handles every step from there — trucking, export paperwork, freight. The lowest quoted price, and the most the buyer has to arrange.

The seller handles and pays for everything, including duty and delivery to the buyer's own door. The highest quoted price, and the least the buyer has to arrange.

The standardized set of international shipping terms — FOB, EXW, DDP and others — that define exactly where cost and risk transfer from seller to buyer.

The full true cost of a unit once it's in your hands — unit price plus freight, duty, insurance and any handling fees, not just the quoted FOB or EXW price.

A tax charged on imported goods, based on the product's HS code and country of origin, calculated as a percentage of its declared value.

The standardized numeric code that classifies a product for customs, and determines which duty rate applies to it.

A company that arranges the shipping of goods on a business's behalf — booking cargo space, handling customs paperwork, and coordinating between carriers.

Combining smaller shipments from multiple suppliers into one container or shipment, usually to save on freight cost when no single order fills a container alone.

A document stating which country a product was manufactured in, sometimes required by customs or by a retailer's purchase order.

Lab testing to confirm a product meets a market's legal or safety standards — flammability, lead content, or care-label accuracy, for example.

A certificate confirming a children's product has passed the U.S. safety testing required before it can legally be sold.

A widely recognized certification confirming a textile has been tested for harmful substances and is safe against skin contact.

A certification confirming a factory follows lawful, humane and ethical manufacturing practices.