Use a marketplace when
- The product is standard, with little customisation
- You are testing a market with a small first order
- You want price ranges before writing a brief
- You can verify and inspect the supplier yourself
Compare · choose your channel
B2B marketplace or managed sourcing?
B2B marketplaces, such as Alibaba- or IndiaMART-style platforms, are the fastest way to see many suppliers and prices for standard products. Managed sourcing costs more up front but adds factory checks, sampling discipline and inspection before shipment. Use a marketplace for discovery and catalogue items, and managed sourcing for custom or high-value orders.
At a glance · best for
- B2B marketplaceDiscovery, price ranges and catalogue items
- Managed sourcing (SourceSquid)Custom products and orders that must arrive right
7 criteria · no brand names · prices published
Side by side
The 7 things that decide it.
The same criteria for every option: how you pay, who answers for the result, how fast it moves, what can go wrong, who holds the supplier, what evidence you get and what tends to cost extra.
| Criterion | AB2B marketplace | BManaged sourcing (SourceSquid) |
|---|---|---|
| 01Cost model | Free to search and message. You pay the supplier; optional platform services, such as payment protection or inspections, may carry fees. | Supplier shortlist USD 390 (named manufacturers, checked by calls), or USD 890 with 2 factory visits. Sourcing program from USD 990 per month, or 7% of order value. |
| 02Accountability | The platform connects buyer and seller. Quality and delivery sit between you and the supplier, under the platform’s own protection rules. | We are accountable for the shortlist, the checks we run and the inspection reports we sign. |
| 03Speed | Quotes within hours or days. Excellent for price discovery. | A free teardown in 48 hours, then a checked shortlist. |
| 04Risk | Some listings are trading companies rather than manufacturers, and verification badges differ in what they check. Capacity is hard to judge remotely. | A higher cost per project, and less suited to very small one-off purchases. |
| 05Supplier relationships | Direct with the seller, through the platform’s messaging and payment tools. | Direct with named manufacturers, introduced and checked by us. |
| 06Compliance evidence | Certificates uploaded by sellers. Check yourself that each names this factory and this product. | Supplier background reports, verifiable audit and inspection reports, and a compliance file built during production. |
| 07Typical hidden costs | Samples and freight, time spent filtering listings, re-sourcing if a seller cannot scale, and duty surprises when Incoterms are unclear. | Samples, courier at cost, laboratory tests and travel outside the main clusters, confirmed with you first. |
When each option is right
Pick the option that fits the job.
Every option here is the right answer for someone. Match it to your product, your volumes and the people you already have.
Choose managed sourcing when
- The product has drawings, tooling or branded packaging
- One rejected lot would cost more than the service
- EU or US compliance files, such as PPWR, EUDR or UFLPA, matter
- You need manufacturers rather than trading companies
Use both when
- You find a promising seller on a marketplace
- You order a supplier background report (USD 79) before the deposit
- You book an inspection (from USD 229 per person-day) before the balance
- You move to a managed program as volumes grow
When SourceSquid is not the right choice
- A one-off order of a catalogue item worth less than the checks themselves.
- You want to buy under a platform’s own payment protection and are comfortable managing the supplier directly.
- Your products are made outside India, China and Vietnam, plus Indonesia and Thailand for selected categories with partner inspectors.
We would rather say so now. If one of these fits, we will point you to a better route.
Before you sign
Questions to ask, whichever you choose.
- Manufacturer or trading company?Ask for the factory address and a live video walk of the production line.
- Does the licence match the invoice?The company on the business licence should be the company you pay.
- Do certificates name this factory?Check the holder, the scope and the expiry date of every certificate.
- Can they make your volume?Ask for machine lists, current customers in your category and lead times at your quantity.
- Who inspects before the balance?Pay the balance only after a pre-shipment inspection to an agreed standard.
SourceSquid prices
All prices Published, fixed and in USD.
- Supplier shortlistUSD 390named manufacturers, checked by calls; USD 890 with 2 factory visits
- Supplier background reportUSD 79desk report; USD 199 with a site or video visit
- InspectionsFrom USD 229per person-day, travel included within main clusters
- Sourcing programFrom USD 990per month, or 7% of order value
Prices exclude local taxes. Every invoice matches the fixed quote you approved. The 48-hour sourcing teardown is free.
Questions buyers ask
Straight answers.
Anything else, ask us directly. A principal replies, not a bot.
anirudh@sourcesquid.coAre B2B marketplace suppliers reliable?
Many are capable manufacturers, and marketplaces are a good place to start. Listings mix manufacturers and trading companies, and verification badges vary in what they check, so confirm the legal entity, the factory and its certificates before you pay a deposit.
Can I use a marketplace and SourceSquid together?
Yes. Find sellers on the marketplace, then order a supplier background report (USD 79 as a desk report, USD 199 with a site or video visit) or a pre-shipment inspection from USD 229 per person-day before you pay.
What is the difference between a manufacturer and a trading company?
A manufacturer owns the production lines. A trading company buys from manufacturers and resells. Trading companies can be useful for small mixed orders, but for custom products you usually want a direct relationship with the factory.
How do I verify a supplier I found online?
Check the business registration, directors, tax status and export record, then see the factory on a video or site visit. Our supplier background report covers these checks in India and China.
More comparisons
Compare other options.
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