Operations · 21 May 2026 · 9 min read

Supply Chain Basics Every New Store Founder Should Know

by Sarah Ahmed

Supply Chain Basics Every New Store Founder Should Know

The operations knowledge nobody teaches you — from MOQ negotiation to freight terms — explained in plain English, before it costs you money.

01

Understand MOQ and negotiate it

Understand MOQ and negotiate it

Minimum Order Quantity is where most first-time founders overspend. Ask about sample runs, shared-container options with other brands, or a slightly higher unit cost in exchange for a lower first-order MOQ. Almost every factory will flex on run one.

02

Learn Incoterms before you sign

Learn Incoterms before you sign

EXW, FOB, DDP — these three letters decide who pays for freight, insurance, and customs. Get this wrong and a $2 unit turns into a $9 landed cost overnight. Ask for DDP quotes first as a beginner; upgrade to FOB once you have a freight forwarder you trust.

03

Build a two-supplier safety net

Build a two-supplier safety net

Single-supplier stores are one factory shutdown away from stockout hell. Always qualify a second source, even at slightly higher cost. The premium is cheap insurance against a viral moment your primary can't fulfil.

04

Track landed cost, not unit cost

Track landed cost, not unit cost

Unit cost is a lie. Landed cost — unit + freight + duties + inspection + handling — is what actually hits your margin. Build a simple spreadsheet on day one and update it after every shipment. Your pricing decisions depend on it.

05

Forecast inventory 90 days out

Forecast inventory 90 days out

Sea freight from Asia averages 45-60 days. Order too late and you stock out through peak season; order too early and cash is locked in a warehouse. A rolling 90-day forecast, updated weekly, is the single most valuable spreadsheet in the business.