Become Familiar with your Kickfurther Business Dashboard 

Access your Kickfurther dashboard here. Scroll down in the “Invoices” section under “Manage Co-Ops” in your dashboard to view your estimated Co-Op schedule.  This schedule includes your timeline for important due dates as well as your estimated completion date.

From your dashboard, you are able to view your tasks and responsibilities so that your Co-Op is a success! Please note that only one member of your team is able to create a dashboard login to complete the tasks associated with completing your Co-Op.

You have 5 obligations to the Co-Op:

1. Complete your pre-transfer tasks to receive your Co-Op funds 
2. Communicate with Co-Op buyers
3. Confirm inventory arrives
4. Report your inventory sales
5. Submit payments according to your projected timeline

1,  Complete your Pre-Transfer Tasks

Once your Co-Op goes live, meets its funding goal, and you have completed your pre-transfer tasks, Kickfurther will transfer your Co-Op funds to your suppliers directly or reimburse you for any payments you have already made to produce the consigned inventory.

Our customer service team will reach out directly to you as your co-op goes live in order to help wrap up any open pre-transfer tasks.  Please reach out to the customer service team If you have any questions about your pre-transfer tasks or anything related to sending funds.

2.  Communicate With Your Buyers

You are contractually obligated to provide at least one monthly update if your Co-Op is not flagged and at least bi-weekly updates if your Co-Op is flagged. Buyers expect you to respond to their questions in a timely manner and provide regular updates. The more communication the better.

Please note that you may incur a fee for every missed Co-Op update, so please consider setting a calendar reminder to post these monthly or biweekly updates to your Buyers.

You can use this link to communicate with your Buyers from your Kickfurther dashboard. Please also reference this blog post for Buyer update examples and helpful communication tips.

3,  Confirm Your Inventory Arrival

You are required to inform the Co-Op once the consigned inventory arrives from your manufacturer or supplier.  Your expected inventory arrival date is recorded in your dashboard and as that date approaches, you will notice the task to confirm its arrival under the “Confirm your Inventory has Arrived” link. 

What if my supplier provided me with a defective inventory?

You assume the manufacturing risk in your Co-Op and are responsible for payment for any defective inventory. You may not return defective inventory to Kickfurther. 

What if my inventory is taking longer than expected to arrive? 

If any of the expected payment dates and sales reporting dates listed in your Co–Op payment schedule are missed by more than 14 days, your Co-Op will become Flagged.  You can read more about Kickfurther’s late payment and cancellation policy here. 

What if I sell pre-existing inventory that is the same SKU(s) as the consignment inventory? 

You are obligated to provide Kickfurther with payment for the sale of any of the SKUs referenced in your consignment agreement, anytime after your estimated inventory available date, regardless of whether or not those SKUs already existed or if the SKUs ordered with the Co-Op funds have arrived. (i.e. if you sell existing identical products instead of Co-Op owned products after accepting payment, you owe the Co-Op for those sales.)

4.  Reporting Your Sales

Kickfurther requires you to report the sales of each item consigned in your Kickfurther Co-Op.  To report your sales, log into your Kickfurther dashboard and hit the “Manage Co-Op” tab then the “Sales Reporting” button.  Next, simply input each sale for every consigned Co-Op item.  

Your Co-Op has a specific sales reporting schedule where your Co-Op is split into “sales periods” with due dates associated with each period.  You must report your sales by the due date for each period in order to avoid a fee.   Scroll down in the “Invoices” section under “Manage Co-Ops” in your dashboard to view your Co-Op schedule with these due dates.

Kickfurther considers consigned inventory sold once the item(s) ship from your warehouse for any reason other than transfer to another warehouse location with Kickfurther’s permission.  This includes inventory shipments to fulfill wholesale orders with net terms, samples of the consigned inventory for marketing purposes, or any situation where the consigned inventory is removed from your warehouse, but payment has not been received.  Payment for any sold inventory is due to Kickfurther by the payment due dates in your Co-Op payment schedule.  

What if I want to move my inventory from one warehouse to another location? 

You are prohibited from moving inventory from any 3rd party warehouse that Kickfurther verified to another location or another 3rd party warehouse without consent from Kickfurther.  Failure to receive consent from Kickfurther will result in Kickfurther considering the consigned inventory as sold and the subsequent Co-Op payment will become due immediately.

Part 5 - Submitting Payments

Sales reporting and providing the resulting payments for the consignment inventory are the primary components of the consignment opportunity (Co-Op) model and is the reason why your Co-Op is not considered a loan.  Make sure to submit payment by your Co-Op’s payment due date to remain in compliance with your Co-Op.  You can find the payment due date for each selling period in your Co-Op schedule under the invoicing section of your dashboard in the  “Manage Co-Ops” tab.

Payment is due when any SKU sales of the consigned inventory occur, even if the item was in stock or en route to you before the launch of your Co-Op and part of a separate manufacturing order.  This means that payment is due when any sale occurs of the products listed in the Co-Op, even if the sale was for inventory that was delivered to you prior to the order(s) we verified during onboarding.  Payments must be submitted by the payment due dates in your Co-Op schedule to avoid a late fee.  You can access your payment schedule under the invoice tab in your Kickfurther dashboard.

When creating your Co-Op you establish and accept a revenue share price for every consigned inventory item as outlined in exhibit A of your Kickfurther contract.  Every time an item of the consigned inventory is sold, the revenue share price for that item is due as payment on Kickfurther until your total payment obligation is paid back.  You can access the revenue share payments due for each sale made in the sales reporting section of your Kickfurther dashboard.  

What if I sell the consignment inventory for less than the revenue share price through a wholesale order, free sample, or remove inventory from a third party warehouse? 

You will still owe the Co-Op the full revenue share price regardless of the price at which you sell the consignment inventory or even if you give your products away. 

I just sold a few thousand pieces of inventory to a retailer that pays under a net-90 payment term. When do I owe the Co-Op for these sales? 

For each sales period you are obligated to pay the Co-Op by the payment due date listed in your Co-Op schedule regardless of any vendor payment terms.  Your Co-Op payment schedule is located under the invoice section of your dashboard and Exhibit B of your contract.  Make sure to structure your payments so you have sufficient cash flow to pay your obligations.

What if my sales are lower than expected and/or I am not keeping up with my expected payment and selling timeline?

Payment is only due when sales of the consigned inventory occur, however, your Co-Op will be Flagged if your actual sales are less than your expected sales for any sales period.  You can pay the Co-Op to stay on track with your schedule regardless of any sales made to avoid becoming flagged and subsequently subject to cancellation.  You can read more about our cancellation policy here (insert link to cancellation policy).

What about returns of inventory? 

You owe Kickfurther when the inventory is sold regardless of whether or not it is returned by a customer or vendor. Sales are assessed as occurring when the inventory leaves the warehouse where it is held, is shipped, or is otherwise transferred to a customer. 

Can I apply the cash from the sales I made for other business expenses and pay the Co-Op later?

No. You need to adhere to the terms of the consignment agreement You cannot redirect cash from Co-Op inventory sales to other parts of your business. This is a direct breach of the consignment agreement, which will lead to your Co-Op becoming flagged, and can lead to substantial penalties or legal action.

What happens if I can’t make my payments?

Failure to provide the due payment for any sales reported will result in Kickfurther labeling your Co-Op as flagged.  This contractual breach will result in a fee and Kickfurther reserves the right to pursue payment through various escalatory and collection actions on behalf of your Buyers.  

Additional Co-Op FAQs

Why do you file the UCC lien and how long will it be active? 

We initially file the UCC lien to memorialize our ownership of the inventory and the proceeds of the same. So long as you don’t breach the consignment agreement, this lien will only ever cover the inventory and proceeds. If you breach the consignment agreement, this lien may be expanded to cover all assets of the business. Once the Co-Op is paid in full, any related lien will be terminated.  

What happens if my Co-Op is flagged?

If your Co-Op falls behind on its sales projections, fails to provide sales reporting, fails to make any payment when invoiced, or the Co-Op goes beyond its expected completion date, then your Co-Op becomes Flagged to your Buyers.  Once Flagged, Kickfurther will escalate actions related to your Co-Op to try to cure any breaches of the consignment agreement and help you get back on track. . Your Buyers are also given the opportunity to vote to cancel your Co-Op.  The Co-Op is canceled once the vote surpasses 50% of weighted ownership.

What happens if my Co-Op is canceled? 

Kickfurther will send you a Termination notice. After this notice is sent you are obligated to do one of the following within our fifteen day cure period: 

1. Provide payment in full.
2. Return of the appropriate amount of funded inventory, provide payment for any previously sold inventory, and pay the contractual restocking fee.
3. Provide a mixture of payment and return of funded inventory as discussed above. 
4. Propose a settlement 

Please reference our cancellation blog post for more information about our cancellation policy. Please note that returned inventory cannot be credited to any amounts already owed by the business for prior sales, fees, or interest.

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Please email contact@kickfurther.com if you have any questions about this guide.