Hi Wendy
Great that you are in this stage, exciting!
SMS refers to sales man sample. Both in products and the material that is used to manufacture the SMS samples. Regarding SMS samples, it’s the samples that the sales team, agents and distributors uses to sell the collection. When its referred to in fabric context, it’s th fabric that is used to manufacture the sales man samples. This quantity is lower than the bulk production and there is usually a surcharge. The surcharge differs from company to company. You can negotiate this, but it’s around 20-30%.
If you are an online only brand, you could skip the SMS quantity order and go directly with the bulk fabric. But if you know you will not manufacture that much products, to cover the bulk fabric MOQ, ordering an SMS quantity could be a lifesaver:)
By the way, the SMS samples and the bulk production should be literally identical garments. There can be MINOUR changes from SMS to bulk production but the SMS should have all the labels, hangtags, right colors, exact zippers and trims etc.
Anyhow, its great that you can manufacture a smaller quantity and don’t have to pay for the entire lot before you even know how many garments you will sell.
Hope this helps:)