MOQ
MOQ is the smallest order a supplier will accept, setting the entry ticket and inventory risk of a product bet.
What MOQ is
MOQ, minimum order quantity, is the smallest order a supplier will accept: 500 units, 1,000 pieces, one pallet, set by their production and setup economics.
Why MOQ matters
MOQ is where sourcing meets cash flow: it sets the entry ticket for a product bet and the inventory risk if the bet misses. High minimums lock capital into stock; tiny ones usually price each unit higher.
Working with MOQs
- Negotiate: first-order exceptions and trial runs are common
- Trade price for quantity deliberately, not by default
- Split MOQs across variants where suppliers allow
- Validate demand before committing to the big minimum
Frequently asked questions
Why do suppliers set MOQs at all?
Setup costs: production runs, material purchasing, and changeovers cost the same whether the run is small or large. The minimum is where the run becomes worth starting.
How can a small store meet high MOQs?
Trial orders at a higher unit price, trading companies aggregating orders, made-to-stock catalog items, or starting white label while demand builds toward custom runs.