Red Flag: When your co-packer asks you to pay for their equipment

If your co-packer needs you to foot the bill for their machinery, that’s not a partner—it’s a red flag.

When you’re scaling a food product, working with the right co-packer can unlock growth, simplify operations, and help you break into major markets. But not all co-packers operate the same way. One of the biggest warning signs? Being asked to fund equipment just to get started.

Whether they frame it as “customization” or “shared investment,” this approach often shifts long-term risk onto your shoulders. And that can slow your momentum, drain your budget, and leave you stuck with a setup that only works for one product.

Why this is a red flag

Co-packing is supposed to make production easier—not more expensive. If a facility can’t run your format without a large upfront capital investment from you, it’s worth asking why:

  • Are they overpromising what they can do?

  • Are they financially stable?

  • Will you be tied to one piece of equipment that can’t scale?

In many cases, the equipment you help pay for isn’t even yours. You’re left funding a buildout that may not serve you long-term, especially if your volumes change or your product line evolves.

What a true co-packing partner looks like

At Econo-Pak, we believe a co-packing relationship should feel like an extension of your operations—not a rental agreement.

That’s why we don’t ask clients to front capital for equipment. Instead, we invest in developing efficient, scalable production lines that meet your specific packaging and throughput needs. If automation is needed, we work with our network of equipment partners to find solutions that fit your product—and we absorb that investment.

It’s part of our fixed-cost pricing model, designed to help you scale with confidence and budget predictably.

Questions to ask when evaluating a co-packer:

  • Do you require brands to pay for machinery or tooling?

  • What formats can you run today—and what would require modification?

  • Who owns the equipment once it’s installed?

  • If my product mix changes, how flexible is your setup?

The right partner is already built to grow with you

Choosing a co-packer is one of the most important decisions a food brand can make. Don’t let sunk costs and shared CAPEX commitments tie you to the wrong one.

Look for a partner that’s invested in your product from day one—without asking you to fund the infrastructure yourself.

Econo-Pak can help you scale with our:

Industry-leading expertise
With over 40 years of experience in co-packing, our services are specifically tailored to the unique needs of dry food products.
Cost-effective solutions
Econo-Pak provides fixed pricing for high-volume projects for budget stability and predictability.
Advanced technology
Econo-Pak utilizes hundreds of the latest in automated packaging machinery for efficiency and precision.
Quality assurance
A dedicated quality team of 50+ personnel ensures your product meets the highest standards.
Customizable packaging configurations
Our team of industry experts can help you scale your product into new markets with our extensive machinery and market knowledge.

Let's start scaling.

Is your demand outpacing your ability to package your own product? Then consider outsourcing with Econo-Pak.

With over 40 years of experience working with both small brands and Fortune 500 companies, we are capable of handling your specific dry food product.

Get in touch with our team for a fixed-price quote for your project.

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