Sourcing Fees & Pricing

Sourcing fees — flat 3–8%, zero kickbacks.

My margin is my fee. Your savings are yours. You see the factory invoice and our service fee on every quote — no padding, no kickbacks, no hidden markups.

3–8% Service fee, minimum $50 0 Hidden markups or kickbacks 100% Transparent cost breakdown

The short version

Our service fee is 3–8% of your order value, with a $50 minimum. It's the only thing we earn. You see the factory price on every quote, and our fee separately. We don't mark up factory prices, we don't take rebates from factories, and we don't pad shipping or testing.

Compare this to alternatives: trading companies typically add 15–30% hidden markup to the factory price. "Free" sourcing agents on Alibaba often take 5–10% kickbacks from the factory — which means the factory raises its price to pay them, and you pay more.

Our team has run sourcing since 2015. Our repeat clients stay because the math works: we find them better factories, negotiate better pricing, and the only thing we earn is a transparent fee they can see.

Is this model right for you?

A transparent fee is only useful if you actually want to see the numbers. Here's the honest split.

For you

This works if…

  • ✓You want to know exactly what you're paying and why
  • ✓You've been burned by hidden markups or kickbacks
  • ✓You value transparency over the cheapest apparent quote
  • ✓You want a long-term partner, not a one-off transaction

Not for you

This isn't a fit if…

  • —You want to negotiate everything yourself (then you don't need us)
  • —You're looking for a "free" agent who takes kickbacks
  • —You only need a single QC inspection on an order you've already placed
  • —You prefer a commission model where we earn from factory rebates

What's included

Seven things the fee pays for — from supplier shortlisting to reordering.

1

Supplier shortlisting

3–5 factories matched to your product and MOQ.

2

Price negotiation

We push the factory price down on your behalf.

3

Sample coordination

Ordering, shipping and comparison of samples.

4

Three-stage QC

Pre-production, bulk sample, AQL 2.5 final inspection.

5

Production follow-up

Weekly updates, photo progress, issue resolution.

6

Consolidation & shipping

Warehouse receiving, FBA prep, DDP coordination.

7

Reorder management

Renegotiating pricing on every repeat batch.

What you actually get

Six outputs that make the fee checkable.

Itemized quote

Factory price + our fee, clearly separated.

Cost breakdown

Product + packaging + freight + testing + labor.

Factory invoice reference

You can verify the factory price.

No hidden charges

Testing, freight and mold costs at cost.

Reorder savings

About 10% lower landed cost per batch, renegotiated.

Written agreement

Fee structure agreed before you commit.

Milebond vs trading company vs "free" agent

Where the money actually goes.

Milebond Trading Company "Free" Alibaba Agent
Our earnings3–8% fee, visible to you15–30% hidden markup5–10% factory kickback
Factory price visibilityYou see itYou don'tFactory raises price to pay agent
Testing & freightAt cost, no markupMarked upMarked up
Conflict of interestNone — we work for youAligned with trading marginAligned with factory, not you
Long-term pricingWe renegotiate downFixed or inflatedUnknown

How the percentage scales

3–8%

minimum $50 per order

Orders under $2,000: 8% — small orders need more hand-holding on sampling, QC and communication.

Orders $2,000–$10,000: 5–6% — standard sourcing with 3-stage QC.

Orders over $10,000: 3% — economies of scale apply.

Minimum $50 per order (applies to orders under about $625).

Testing fees, freight, mold costs and sample courier charges are passed through at cost — we don't mark them up.

Fee questions

What buyers ask before signing anything.

How much does your service cost?+

3–8% of order value, minimum $50. Under $2,000 sits at 8%, $2,000–$10,000 at 5–6%, over $10,000 at 3%. You see the factory price and our fee separately on every quote.

What's the difference between your fee and a trading company?+

Trading companies buy from the factory at one price and sell to you at a marked-up price — typically 15–30%. You never see the real factory price. We show you the factory price and add our transparent fee on top.

Why do some agents offer "free" service?+

They don't work for free. They take kickbacks (rebates) from the factory — typically 5–10% of the order value. The factory raises its price to pay this kickback, so you pay more. Our fee is transparent and separate.

Do you mark up testing or shipping?+

No. Third-party lab testing and freight are passed through at cost. We share the lab invoice and carrier quote. We don't earn margin on those.

What about tooling (mold) costs?+

Mold costs are quoted by the tooling shop and passed through at cost. We don't mark them up. Mold ownership is written into your contract.

How do you get repeat clients?+

Because on reorders, we renegotiate pricing. Clients typically see about 10% lower landed cost per batch — and our fee is the same transparent percentage. We earn your repeat business by saving you money, not by hiding it.

Related services

The fee covers the work behind these three services.

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