small manufacturing company

Sharline Shaw

The vast majority of small manufacturing companies have grown fast recently. Small-scale unit manufacturing is profitable for novice manufacturing entrepreneurs. 

The small manufacturing company has 20 or lesser employees. It requires little operation costs and space to manufacture items.

Besides, these small manufacturers can supply many industries in the world. A small manufacturer can also make custom manufacturing for businesses. 

There are many small manufacturers in the US. They could further enhance the supply chain management of small businesses. Thus, they are a good substitute for a China supplier.

Let’s discover further about small-scale manufacturing business in this post.

small manufacturing company

Types of small manufacturing companies

  1. Electrical and Electronic Equipment

You can sell mobile phone accessories, computers, light bulbs, etc.

  1. Fashion Accessories 

For example, footwear, belts, watches, jewelry, eyeglasses, bags, clothing, makeup, etc. 

  1. Food Product 

A small business can sell snacks, candy,  bread, olive oil, canned food, etc.

  1. Tools and Spare Parts 

Tools like nails and bolts or automotive spare parts are good choices too.

  1. Household Goods 

You can focus on furniture, kitchen equipment, carpets, picture frames, pillow, diapers, etc.

  1. Others

For example, toys, sports equipment, fabric or leather goods, hair products. Gardening tools, musical instruments, medical equipment, etc.

Suggested reading: Find china manufacturers

How do I start a small manufacturing company?

Let’s look at the steps to start a small manufacturing business:

Step 1: Market Research Process

You should research the market demand in your country to discover business ideas. Besides, study about the sales and marketing process and possible setbacks. 

Then, determine the niche sector and business ideas for your small business.

You must know what to manufacture, for who, and where to sell your finished product. Your small manufacturing businesses should have a big market and profitability.

Step 2: Manufacturing Business Plan Process

Small business entrepreneurs should create their own business plans. The brand project work plays an important role in making a small business successful. 

You should decide the product or service, know the demand, and analyze the competitors. Remember to plan the financials and production.

Step 3: Sourcing Process

Next, a small manufacturer should source essential raw materials, manufacturers, and warehouses. You can have multiple suppliers to get raw materials.

Step 4: Funding Process

A small business owner requires a relatively small amount of funds to operate. It is for salary for employees, costs of materials, marketing for various products, etc.

You can find investors, use crowdfunding, or apply for small business loans to operate.

Step 5: Production Process

You’ll have products manufactured based on business ideas in the production process.

Creating a simple process in production is essential. You can also offer custom manufacturing production with small-scale manufacturing methods.

Step 6: Sales and Marketing Process

After the manufacturing process, small manufacturers need to create demand. The focus is to sell your tangible product to the world. 

Small business owners can sell to customers via offline store or online. For example, e-commerce websites, marketplace, email marketing, etc.

Small manufacturers can also market the same product on social media or billboards.

Suggested reading: China manufacturing contracts

Best 20 US small manufacturing companies

Here are the top US small scale manufacturing businesses:

1. Sturm Ruger & Co Inc.

Address: 1 Lacey Place Southport, CT 06890 United States

Main Products: Rifles, shotguns, pistols, revolvers, firearms accessories, etc.

2. Steven Madden Ltd.

Address: 52-16 Barnett Avenue Long Island City, NY 11104 United States

Main Products: Footwear, handbags, cold weather accessories, eyewear, bedding, jewelry, etc.

3.IPG Photonics Corp.

Address: 50 Old Webster Road Oxford, MA 01540 United States

Main Products: Fiber lasers, fiber amplifiers, diode lasers, accessories, etc

4. LSB Industries Inc.

Address: 3503 NW 63rd St #500, Oklahoma City, OK 73116, United States

Main Products: Heat pumps, air handling products, chemical products, etc.

5. Vera Bradley Inc.

Address: 2420 Stonebridge Road Roanoke, IN 46783 United States

Main Products: Handbags, accessories, travel and leisure items

6. The Boston Beer Company Inc.

Address: 1 Design Center Place Suite 850 Boston, MA 02210 United States

Main Products: Beers, malt beverages, cider beverages, hard cider, etc

7. IEC Electronics Corp. 

Address: 105 Norton Street Newark, NY 14513 United States 

Main Products: Circuit card and system-level assemblies, cable and wire harness assemblies, etc

8. The Middleby Corp.

Address: 1400 Toastmaster Drive Elgin, IL 60120 United States

Main Products: Food processing equipment like ovens, steamers, fryers, etc.

9. Jos. A. Bank Clothiers Inc.

Address: PO Box 1000 Hampstead, MD 21074 United States 

Main Products: Men’s clothing like tuxedos, suits, shirts, vests. ties, pants, sportswear, etc.

10. Mesa Laboratories Inc.

Address: 12100 West 6th Avenue, Lakewood, CO, United States, 80228

Main Products:  Instruments and disposable products for pharmaceutical, food, beverage, and petrochemical industries

11.Fei Co.

Address: 5350 NE Dawson Creek Drive, Hillsboro, OR, United States, 97124

Main Products: Transmission electron microscopes,  scanning electron microscopes, etc

12. Dorman Products Inc.

Address: 400 East Walnut Street Colmar, PA 18915 United States

Main Products: Automotive replacement parts, fasteners, service line products, etc.

13. Raven Industries Inc.

Address: 205 E 6TH St Sioux Falls, SD, 57104-5931 United States 

Main Products: Products for industrial, construction, agricultural, and military 

14. EDAC Technologies Corp.

Address: 5 McKee Place Cheshire, CT 06410 United States

Main Products:  Tooling, fixtures, molds, jet engine components, and machine spindles for aerospace 

15. Intrepid Potash Inc. 

Address: 707 17th Street Suite 4200 Denver, CO 80202 United States

Main Products: Potash, langbeinite, salt, magnesium chloride, metal recovery salts, etc

16. ZOLL Medical Corp.

Address: 69 Mill Road Chelmsford, MA 01824 United States

Main Products: Resuscitation devices and related software solutions

17. FutureFuel Corp.

Address: 8235 Forsyth Blvd 4th Floor Clayton, MO 63105 United States

Main Products: Specialty chemicals and bio-based fuels products

18. HEICO Corp.

Address: 3000 Taft Street Hollywood, FL 33021 United States 

Main Products: Aerospace, defense, and electronic related products

19. iRobot Corp.

Address: 8 Crosby Drive Bedford, MA 01730 United States

Main Products: Robots for the consumer, government, and industrial markets 

20. Lindsay Corp.

Address: 2222 North 111th Street Omaha, NE 68164 United States 

Main Products: Irrigation systems for the agricultural industry

Suggested reading: China supplier

Different between China small manufacturing companies and local one

China small manufacturing companies
  1. Production Costs

China small business owners produce with lower costs due to cheaper materials. US businesses manufacture at about 5% higher costs than China.

  1. Labour Costs

The manufacturing businesses in China have lower labor costs than the US businesses. The average hourly minimum wage in China is only $1.73, whereas it’s $7.25 in the US.

  1. Manufacturing Productivity

You can manufacture items of larger quantities fast with a China small business. But, China is only about 50% as efficient as the US manufacturing businesses. 

  1. Market Demand

Manufacturing from China small businesses also provide access to a large market. Though the GDP is higher in the US, it is expected that China’s economy could surpass the US by 2030.

  1. Customization

Companies can get custom manufacturing from a small manufacturer in both countries.

  1. Quality 

It is essential to check the finished product. Some small businesses from China country might produce inferior goods. In comparison, most products from the US manufacturing businesses are of better quality. 

  1. Minimum Order Quantity

Customers might need to order higher MOQ from the China small business manufacturers. In contrast, most US manufacturing businesses have lower MOQ.

Looking for the best China manufacturing company?

Leeline Sourcing helps buyers find the most reliable suppliers in China

FAQs

1. What should I ask a small-scale manufacturing company?

You should ask the small business production-related questions. For instance, the minimum order quantity, price, manufacturing capacity.

Besides, enquire about the raw materials, shipping, sampling, and payment methods. You should check if they can manufacture items of customization.

Small manufacturing businesses are often more flexible than large businesses.

2. What are the possible barriers to manufacturing from small-scale manufacturing businesses?

Regardless of industry, you might face barriers below with small manufacturers. For instance, lack of transparency and failure of technology adoption.

Also, some small businesses do not have trained employees. It causes inferior goods quality and delayed production for customers.

3. How to ensure product quality from a small-scale manufacturing company?

You can visit the manufacturing factory to verify their backgrounds. It allows you to check their production infrastructures and how they manufacture. 

If you want to save time, you can hire a third-party sourcing agent to do so. They help inspect the manufacturing companies and production process.

4. Why should I choose small-scale manufacturing businesses over larger manufacturers? 

A small manufacturing business can manufacture customized items in its production. It can also adjust supply better whenever the demand changes. 

These small-scale businesses focus and service each customer better.

They can also make quick productions. Some unique products they manufacture sell fast too.

Final thoughts

Small businesses are an essential part of the world market in every industry.

These business owners make custom manufacturing for customers across the world. They make small items to fulfill the market demand. 

A business owner can operate well in its sector even with fewer employees. They get essential materials of high quality and focus better on production.

These finished products they manufacture can generate good profits too.

I hope this article shares helpful information about small manufacturing businesses. If you want to learn more about the small business sector, you can talk to us at Leeline Sourcing.

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sharline

Article by:

Sharline Shaw

Hey I'm Sharline, the founder of Leeline Sourcing. With 10 years of experience in the field of sourcing in China, we help 2000+ clients import from China,Alibaba,1688 to Amazon FBA or shopify. If you have any questions about sourcing , pls feel free to contact us.