Net 30 means payment is due 30 days after you ship your product. It is basically issuing credit to a customer.

If you don’t have a history with a customer of on time payment I suggest you start with COD or credit card payments and work your way to into issuing credit.

Retailers often use the term sell through to refer to the % sold vs. the % of inventory purchased.

With sized product a sell through of at least 80% is considered healthy. Anything above 80% could allude to missed opportunity since popular sizes or colors may have been nil and customers couldn’t buy it even if they wanted to.

With hard goods such as a best selling book a retailer may even plan for a sell through of 100%….but with apparel that is typically not the case.

If you’re a manufacturer inquire with your retailers about their sell through percentage on your product. You don’t want to find out about a 20% sell through by not having a re-order.

Check in with your stores from time to time….see if you can’t come up with some strategies together to make sure your product is going out the door and staying off the sale rack.

No…and No…Style names are cute for branding purposes but style numbers are necessary.

Style numbers are usually 4 charcters and should be designed to help you organize your line and quickly identify your products.

For example you may start all Fall 07 Styles with F07.

You can also make your style numbers or characters stand for something as well. Anything with a “1″ in front could be a tee shirt and the second character can represent your fabric such as “2″ for knits.

Figure out something that is easy to remember, identifies the core characteristics or your product and ultimately works for you.

Grading is making the perfected production pattern into various other sizes that will be available for sale in that style.

The production pattern is usually made in the middle size, probably a Size 8 for Missy and a Size 9 for Juniors.

This would mean a Size 8 would be graded up to a Size 14 and down to a Size 2. A Junior’s Size 7 would be graded up to a Size 13 and down to a Size 1 or 3.

–Excerpt from Fashion for Profit, By Frances Harder

Finding a showroom is like finding a mate. It’s always good to flirt with a few possibilities before settling on one.

My point is that it is a process. Research what showrooms sell product that is comparable but not directly competitive to yours. Send them some information including pics about your line then follow up to make an appointment if they express interest.

You could start by picking up a buyer/showroom directory from the mart’s leasing office.

Finding that one may even require you walking the marts yourself to find that special place– you might come across a few frogs or it could end up being love at first sight.

You absolutely should. Especially if you can’t logistically handle their order. If you feel ill prepared or don’t think you have adequate time to meet their shipping demands communicate this to the buyer. You really only have one shot with new accounts so you don’t want to make a huge mistake and have them write you off forever.

The magic word…COMMUNICATE. See if there is a possibility for you to go into less “doors,” if fulfillment is an issue. Talk to them about delaying till next season if you’re suffering from overall unpreparadeness.

But never…ever take and order you think you won’t be able to fulfill on time. It may seem like common sense but we’re all prone to push ourselves when we feel like we have a lot on the line.

As a long term strategy remember what you really have on the line is your reputation…and it’s not worth the risk.

Work Opportunity Tax Credit and Work to Welfare Tax Credit – known collectively as WOTC - are an employer’s tax credit for 40% of the first $6K earned in year 1, or $2,400 max.

YOU MUST FILE FOR THIS CREDIT WITHIN 28 DAYS OF HIRE. A Certificate from the State of California is required for each employee.

Another Federal hiring tax credit is the Empowerment Zone/Renewal Zone credit based on location of EMPLOYER (must be in the Empowerment Zone. FedEZ/RC is a maximum of 20% of the first $15K or $3,000.

Don’t make the important decision of issuing terms based on how beautiful their store is, where they’re located or if Lindsay Lohan shops there…. Insist on checking their credit before you comply.

Many a designer has been hood-winked by bad credit stores that will make new designers last on their accounts payable lists.

You can set up an account with Dun and Bradstreet and pay for access to company credit info. Also don’t forget to ask for other business references. Make sure they are paying somebody on time…

Have you taken some time to define your brand? Defining your brand on paper can make all the difference as you grow your business.

Once you have your brand concept together, make sure everything you do can pass through what I like to call your “Brand Filter.” Your brand filter could be in the form of words such as: We want everything we do to be fun, sassy, young and fresh.

To keep your brand consistent don’t produce a hangtag, postcard or even a piece of clothing until it passes the test.

Have you ever wondered about taking your business international? How about selecting overseas distributors, sales agents, manufacturers? Join us for Introduction to Import/Exports Logistics Training.

It’s a 3 hour course suited especially for beginners. You can even bring in projects you’re currently working on for an interactive discussion.

Once you understand import/export you’ll see it really is a small world afterall…

Be There….Wednesday May 21st at 6pm. For more details and to RSVP go to Fashionbizinc.org