Example Client

Sourcing Agreement

Last Updated: 1 July 2019

THIS SOURCING AGENCY AGREEMENT (this “Agreement”) is entered into and made effective this 1st day of July, 2019 (the “Effective Date”) by and between Example Client, a USA corporation, located at 742 Evergreen Terrace, Springfield, Ohio, a (hereinafter referred to as “Principal” or “Party”, which terms shall include any and all affiliates and subsidiaries), and PREMIUM DIRECT IMPORTS, LIMITED, a company incorporated in Hong Kong with limited liability, located at 1002 Unicorn Trade Centre, 127-131 Des Voeux Road, Central, Hong Kong (hereinafter referred to as “PDI”, “Agent” or “Party”) (Collectively, the “Parties”).

Part 1: Sourcing Services

  • Factory selection: identify, recommend and negotiate with suitable manufacturing partners
  • Design preparation: create product mockups, conduct feasibility analysis, and prepare tech packs
  • Production management: manage sample development, bulk production, and quality assurance
  • Logistics: manage freight forwarding, customs clearance, and local delivery

Part 2: Product Preview

Part 3: Project Requirements

  • 6 panel baseball cap
  • unstructured, low profile crown
  • nylon fabric
  • adjustable velcro strap
  • curved visor with 8 rows stitching
  • reflective logo

Part 4: Target Price & Quantity

  • Target Price: US$5.00 FOB
  • Order Quantity: 3000 pcs
  • Estimated Cost of Goods: US$15,000

Part 5: Lead Times

  • Sample: 10-15 work days
  • Production: 40-50 work days
  • Delivery: 3-5 work days

Part 6: Quality Guarantee

  • Quality standard: PDI will only propose manufacturing partner(s) which meet client’s standard; Client must approve partner before proceeding production.
  • Quality assurance: PDI will oversee the production samples, as well as main production, to ensure products meet quality standard.
  • Performance Guarantee: Manufacturing partners agree to strict quality standards and delivery deadlines; PDI will use its best efforts to assure that execution conforms substantially.

Part 7: Fee

  • PDI will collect sourcing fee of 15%, calculated as a percentage of total project value, in accordance with our sourcing fee schedule.

Part 8: Payment

  • Sourcing Fee:  PDI collects 50% of the sourcing fee upon signing of sourcing agreement.  Balance payment is due within 5 days of final delivery of the merchandise; calculated as percentage of final value of merchandise, net initial deposit.
  • Vendor Payments: PDI provides client with original vendor invoices and corresponding payment information. Client then pays the vendors directly. At client’s request, PDI can handle vender payments for an additional 2% payment processing fee.

Part 9: Confirmation

  • By completing payment of sourcing fee deposit, you are agreeing to the terms contained on this webpage.
  • If you would like to request a revision to the terms on this webpage, do NOT complete payment now. First, click “request a revision” below and complete the form, then wait for notification that this page has been updated before proceeding with payment.

Request a revision (optional)

    Down Payment

    To agree to the terms above and initiate the order, complete down payment below.
    Payment Method 1: Online Credit Card Payment (US$)
    Payment Method 2: Bank Wire Transfer (US$)
    Beneficiary Name: Premium Direct Imports, Limited
    Beneficiary Account Number: 848-******-838
    Bank Name: HSBC Hong Kong
    Bank Address: 1 Queen's Road Central, HK
    Bank Code: 004 SWIFT: HSBCHKHHHKH