The Business of Apparel

Why Your Online "Factory" is Actually an Expensive Middleman

September 24, 2026·16 min
Episode Description from the Publisher

When you're working with an apparel manufacturer, it's important to know exactly who you're communicating with. Sometimes the person you think is part of the factory may actually be a sourcing agent working between you and the manufacturer.  Agents aren't necessarily a bad thing, but understanding how that relationship works can have a major impact on your costs, communication, and control over your production. I'm breaking down what apparel sourcing agents do, how they fit into the relationship between a brand and a manufacturer, and what you should know about the additional costs that can come with working through an agent. 📝 Today We're Covering: What apparel sourcing agents do and how they fit between brands and manufacturers The potential benefits of working with an agent, especially when sourcing multiple types of products or working across different manufacturing regions How agent fees can affect your FOB costs and why you should understand exactly what you're paying for Why detailed, line-by-line cost breakdown sheets are an important tool for evaluating your manufacturing costs How to compare fabric prices and yields and work directly with your mill to verify pricing Why maintaining a relationship with your manufacturer can reduce risk and give you more visibility into your production Whether you choose to work directly with a manufacturer or through an agent, the most important thing is understanding how your sourcing relationships actually work. Knowing who is on your team, what they're responsible for, and how money and communication flow through those relationships can help you make better business decisions and avoid expensive surprises as your apparel brand grows. ➡️ Your Next Steps: Get help with product development: www.unmarkedstreet.com/contact Subscribe to the Apparel Founder's Boardroom Notes on Substack: substack.com/@businessofapparel Join The Board here: https://www.thebusinessofapparel.com/join Order my new book, The Business of Apparel, here! ‼️ Don't Miss These Episodes: Wholesale 101: https://youtu.be/lpezH1YwCyE Use AI in Your Apparel Brand: https://youtu.be/Dn9tjPNmfaw Grow a 7-Figure Apparel Business: https://youtu.be/rpQYDyo5Rao  🤝 Meet Rachel: Rachel Erickson is a Fractional COO, Apparel Industry Consultant, and founder of Unmarked Street and The Business of Apparel. With 20+ years in technical design and product development leadership, she sat at the executive table of a $25M apparel line and helped scale it to $60M in one year. After decades working inside major fashion companies, she learned the truth behind billion-dollar brands, and it's not about chasing trends or pumping out endless products. It's about building clean processes, tightly edited assortments, and obsessively focused customer targeting. Rachel helps founders and CEOs of performance apparel brands: ✅ Build lean, profitable product lines ✅ Streamline operations for growth ✅ Replace overwhelm with executive clarity ✅ Create garments that fit bodies in motion Whether you're just hitting $1M in revenue or trying to break through the $10M ceiling, Rachel will join you as an embedded operations and product partner—running fittings, line plans, tech packs, and vendor communications so you can get back to leading. Connect with Rachel on LinkedIn at https://www.linkedin.com/in/rachel-erickson-pmp/ and visit her website at www.unmarkedstreet.com.

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