You ask for a quote on 50 custom tees. The number comes back and it's higher than you expected. Or lower, which is its own concern. Either way, you're looking at a figure without really understanding what's inside it — and whether it's the full cost or just the beginning of one.
Here's a clear breakdown of what goes into a custom merch quote and what questions to ask before you sign off.
The components of a custom apparel quote
Blank garment cost is the base cost of the undecorated product. This varies enormously by brand, quality tier, and style. A budget cotton tee might cost $4–$6 per unit. A premium AS Colour tee runs $12–$18. A quality hoodie starts around $25 and goes up from there. The blank cost is usually the largest single line item in your quote.
Setup fees are charged for the preparation work before production begins. In screen printing, this means making the screens — one per colour in your design. Screen fees typically run $40–$80 per colour per location. A two-colour front print means two screen fees. These are usually one-off costs: if you reorder the same design, you may not pay them again (depending on your decorator's policy).
For embroidery, the setup fee is the digitising charge — converting your logo into an embroidery stitch file. Typically $40–$100 depending on complexity. Again, usually a one-off cost.
DTG and DTF generally have no setup fees, which is one reason they're economical for small runs.
Decoration cost is the actual cost of applying the design — the print or embroidery — to each garment. This is a per-unit cost that usually decreases as quantity increases. On a screen print run of 50 units, you might pay $5–$8 per unit for a two-colour print. On 200 units, that might drop to $2–$4.
Freight is often not included in the headline quote. Ask explicitly. Depending on your location and the size of the order, freight can add $15–$80 or more to the total. If you're in regional Australia or New Zealand, it's worth clarifying upfront.
GST — if you're dealing with an Australian supplier and you're a consumer (not a registered business), expect to add 10% on top of everything. If you're GST-registered, you'll claim it back.
What's usually not in the quote
There are a few common extras that appear in the invoice but not always in the initial quote:
Artwork preparation fees. If your artwork needs redrawing, colour separation, or significant cleanup, some decorators charge for this work. Always ask if artwork preparation is included or if there's an additional charge.
Hang tags and labelling. If you want swing tags, custom woven labels, or printed neck labels added, these are usually quoted separately. They're worth considering for anything you're selling, but they add cost and lead time.
Individual bagging or packaging. Rare for most merch orders but worth asking if you need items individually wrapped for retail or gifting.
Rush fees. If you need production expedited beyond the standard lead time, expect to pay a premium — typically 20–50% on top of normal production costs. Plan ahead and avoid this where possible.
How to compare quotes from different suppliers
Never compare quotes without confirming they're comparing the same things. Two quotes for "50 custom tees" can be wildly different if one uses a $6 blank and the other uses a $14 blank, or if one includes screen setup fees and the other doesn't.
When comparing, normalise to a total cost per unit including everything: blank, decoration, setup (amortised across the run), freight, and GST. That gives you a true apples-to-apples comparison.
Also check what's not included. A quote that seems cheaper but excludes freight or GST can end up costing more than a quote that appears more expensive upfront.
The cost curve: why volume matters
Custom apparel has strong economies of scale. The setup costs (screens, digitising) are fixed regardless of how many units you run. The more units you spread them across, the lower your cost per unit.
Here's a rough illustration for a screen print job (two colours, one location):
- 25 units: Setup cost represents a large share of the total. Per-unit cost is high.
- 50 units: Setup cost is now a smaller share. Per-unit cost drops noticeably.
- 100 units: Setup cost is relatively minor. Per-unit cost is significantly lower.
- 200+ units: Per-unit cost approaches the floor. Marginal savings continue but slow.
This is why ordering slightly more than you need can sometimes work out cheaper overall — the per-unit saving on a larger run can offset the cost of the extra units you ordered.
What to ask before accepting a quote
- Does this include freight to my address?
- Are setup fees included, and will I be charged them again on a reorder?
- Is there any artwork preparation fee?
- Is GST included or additional?
- What is the exact blank brand and style in this quote?
- What is the production lead time from my artwork approval?
A quote that answers all of those questions upfront is a quote from a decorator who knows what they're doing. One that leaves all of those things ambiguous is a quote that might end up looking very different by the time you're paying the invoice.
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