Good luck! One valuable differentiation you could provide is a line of credit. If you can’t win on price, you can help your customers win on cash-conversion cycle.

I’ve been making hardware for 20 years. My highest-volume product was Flybrix, a LEGO drone kit manufactured by Seeed and UniPrecision in China and by Sparqtron in Fremont, California. I’d be happy to work with you on a v2 reboot: Flybrix Swarmz, because every American high school needs a drone swarm.

Beyond that, I’ve worked with many domestic suppliers and built ITAR-controlled products as well. Even without owning the production capacity, if you can offer Net 90 on fabrication and extend credit for components--beyond existing DigiKey, Arrow, Mouser, and vendor credit lines--then I can build products and get paid without putting all the capital at risk upfront.

Factoring is expensive, especially against a purchase order rather than an invoice, and I don’t know of anyone offering working-capital credit based solely on an SBIR award.

Credit is what makes the spice flow.