Save Cost with Mexico’s Contract or Sub-contract Manufacturing Mexico contract Manufacturing or sub-contract manufacturing is often a solution for companies wanting to enjoy the benefits of Mexico’s highly qualified, yet lower cost labor, but which companies are not yet ready to make a commitment to operate a Mexican maquiladora directly. We perform contract manufacturing, contract packaging, contract fabrication and contract assembly in our ISO certified Mexican facilities. Customers who we team with are typically looking for predictable, somewhat consistent runs of a particular product over a longer period of time. This allows for staffing up with the right trained workforce to consistently produce a quality product meeting your specifications, with on time delivery.
Contract Manufacturing is best suited for companies in the early stage growth phase of the business life cycle, with demand for a developed product, but without infrastructure to handle order flow. The contract model allows these companies the ability to ramp up production and reduce costs to meet customer demand with a much lower capital commitment when compared with the setup of a full scale manufacturing facility in Mexico. Companies that utilize contract manufacturing are not responsible for producing the end product, but instead deploy ELECTAB to source an outside manufacturer with the required capabilities to quote and produce the product. Advantages associated with operating under Electab.
Mexico Shelter Company Services for Manufacturing Expanding or relocating manufacturing operations into Mexico offers many competitive advantages for companies looking to keep ahead of the competition. Shelter operations are a popular choice for businesses looking to “test the waters” when it comes to offshoring. Shelter Manufacturing in Mexico offers unique advantages and opportunities for companies to set up a maquiladora program which allows them to forego establishing themselves as a foreign subsidiary, which is standard in most countries. Capitalizing on the benefits of shelter service providers will ultimately reduce both time and costs.
Our clients base chooses to expand to Mexico under “shelter,” which means they operate under a Mexican corporation owned by Electab. Because these foreign companies have no “legal” presence in Mexico, they also avoid any liability associated with doing business in Mexico but still benefit from all government tax and duty abatement programs, such as the IMMEX Program (formally maquiladora program which allows manufacturing companies to import equipment and raw materials tax-free and manufacture in Mexico, so long as the finished products are exported for sale off Mexican soil) Advantages associated with operating under Electab.
