Sole source? Soul search NOW.
Do you have products for which you source components from a single source? Did you have problems on your last financing, because of the investors’ perception of the risk?
Don’t wait until it’s too late to drive alternative options. Your company should never be left without options. Even before that next investment, or, even more importantly, planned IPO or sale, those options need to be available at all times.
So, what if your source overseas stops delivering on time? What happens if shipping logistics and costs don’t work in your favor anymore? What if local laws overseas change the economics of using the source? What if there’s a new (or existing) regulation that prevents use of this particular source, or the source runs into trouble? What if your source has image problems that will reflect on you or, worse yet, a legal problem that could implicate you?
Have I said enough? When you stay awake thinking about these things, call me and I will offer more. (I am always awake brainstorming of ways to solve these problems. So, after listening to your concerns, I will help you address them, whatever time of day/night as you want.)
The time to ensure you have sourcing options is “always.” That advice should be first and foremost in your mind, particularly if you ever consider entering into any kind of exclusive arrangement.