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White label products: what they are and how they work

By Nation 11 min read

Quick answer

White label products are ready-made goods that a manufacturer sells to many brands, each of which puts its own name and label on the same product. Private label products are made for one brand only, often to its own formula or design. In both cases the company named on the label takes on duties for labeling, safety and claims, so check what the supplier can prove before you order.

Nation, an AI store builder, publishes this page. It is pre-launch, with a waitlist on withnation.ai, and this page does not name or recommend any supplier. This page is general information, not legal advice. See where Nation fits.

What white label products are

A white label product is a finished product that a manufacturer makes in bulk and sells without a brand. You buy it, put your own brand on the label and packaging, and sell it as your product. The same face cream, bag of coffee or phone case may be sold by many other brands, each with a different label.

The manufacturer keeps the formula or design, and you choose from what it already makes. You can usually pick from the label, packaging, scent or color options it offers, but you cannot change the product itself.

White labeling lets you launch a branded product without developing one. Other brands can sell the same item, so your brand, photos, price and service have to set it apart.

  • Skincare and cosmetics, such as creams, serums and lip balm
  • Supplements and protein powders
  • Coffee, tea and spice blends
  • Candles and home fragrance
  • Clothing blanks, such as t-shirts and hoodies
  • Phone cases, chargers and other accessories
  • Pet treats and grooming products

White label vs private label

With white label, you buy a standard product that other brands can also buy. With private label, the manufacturer makes a product for your brand alone, often to a formula or design you specify or pay to develop.

Buying finished goods from another brand to resell under that brand's name is a third option, wholesale reselling. The table puts the three side by side.

White label, private label and wholesale reselling compared
QuestionWhite labelPrivate labelWholesale reselling
Who else sells the same productAny brand that buys from the same supplierOnly your brandEvery shop that stocks the original brand
Whose brand is on the productYoursYoursThe original maker's
Who owns the formula or designThe manufacturerSet by your contract, often you if you paid to develop itThe original brand
Minimum orderOften lower, since the product is already made in bulkOften higher, since a batch is made for your brand aloneSet by the brand or its distributor
Time to launchShorter: pick a product and design a labelLonger: develop, test, then produceAs soon as stock arrives
Setup costLower, since nothing is developedHigher, since you pay for development and testingLowest, since there is no label to design
What you controlLabel, packaging, price and marketingProduct, label, packaging, price and marketingYour price and marketing, within the brand's rules

Some suppliers offer both a stock catalog and a custom service, so you can start with white label, learn what sells, and move the best seller to private label later.

How white labeling works, step by step

The steps are the same in most categories. What changes is the paperwork in step 3 and the label rules in step 4.

  1. Pick a product you can explain

    Choose a category where you know the buyer and can say why your version is worth buying when other brands sell the same product.

  2. Find manufacturers and compare them

    Look for companies that sell white label or stock products in your category. Compare minimum order quantities, unit prices, reorder times, label options, and whether they print and apply labels for you.

  3. Order samples and ask for documents

    Test the product yourself. Ask for the documents behind anything you plan to say about it: ingredient lists, test results, certificates of analysis, safety data sheets, and proof of claims such as organic or cruelty-free. The FTC says that rather than repeat a manufacturer's claims, sellers with catalogs, including online catalogs, should ask for material to back up the claims.

  4. Design the label and packaging

    Add your brand and the information your category requires, including whose name goes on the label and how it is worded when you did not make the product. The table in the next section sets out the federal rules by product type.

  5. Check and protect the brand name

    Search for similar registered names before you print labels. You can use “TM” for goods or “SM” for services even before you file an application. The base application fee for federal registration is $350 per class of goods or services, and the USPTO notes that you may need to pay additional fees based on the completeness and complexity of your application. Registration creates rights throughout the entire United States and its territories.

  6. Place a first order and inspect it

    Start with the smallest order the supplier allows. When the batch arrives, check it against the approved sample before you list it, and keep a few units from each batch.

  7. List, sell and reorder

    Track which products sell and how long a reorder takes, so you reorder before you run out while the supplier makes the next batch.

Label and safety rules for white label products

When your brand is on the product, you are the company buyers and regulators see, even though someone else made it. The table covers US federal label and safety rules for several common white label categories.

Rules vary by product, by state and sometimes by city. This page is general information, not legal advice. Read the regulator's own guidance for your category, or ask a lawyer, before you launch.

US federal label and safety rules by product type
Product typeRegulatorWhat the brand on the label must do
Cosmetics, such as skincare sold as a cosmeticFDAShow the name and business address of the manufacturer, packer or distributor. If that is not the maker, use a phrase such as "Manufactured for" or "Distributed by" before the name.
Cosmetics (MoCRA duties)FDAUnder the Modernization of Cosmetics Regulation Act (MoCRA), the responsible person is the manufacturer, packer or distributor whose name appears on the cosmetic's label. That company must report serious adverse events to FDA within 15 business days, and ensure and maintain records supporting adequate safety substantiation. It must also list each marketed cosmetic product with FDA, including its ingredients, and provide any updates annually. MoCRA exempts certain small businesses from GMP, registration, and product listing requirements, but not makers of products that regularly contact the mucus membrane of the eye, or products that are injected, among others.
Packaged food, coffee and teaFDAShow the name and place of business of the manufacturer, packer or distributor. If someone else made it, add a phrase that reveals the connection, such as “Manufactured for” or “Distributed by”.
Clothing and other textilesFTCShow fiber content, country of origin, and the company name or Registered Identification Number (RN). Relabeling is allowed if the new label lists the name or RN of the company making the change. Whoever swaps a label must keep records for three years showing the removed label's information.
Children's productsCPSCA children's product is a consumer product designed or intended primarily for children 12 years of age or younger. The CPSC says domestic manufacturers and importers must certify them in a written Children's Product Certificate based on tests from a CPSC-accepted third-party lab. If you import the product, that duty is yours.
Consumer products under CPSC rulesCPSCThe CPSC says manufacturers, importers, distributors and retailers of consumer products have a legal obligation to immediately report certain product hazards to the CPSC, within 24 hours of obtaining reportable information.

Claims follow the same logic. The FTC says advertising must be truthful and non-deceptive, and advertisers must have evidence to back up their claims. In most cases, claims about health or safety need competent and reliable scientific evidence.

Made in USA has its own standard. For a product advertised as Made in USA with no qualification, the FTC requires it to be “all or virtually all” made in the U.S., so a product made abroad cannot carry the claim just because your company is in the US.

Risks of selling white label products

Most of the risks come from one fact: someone else controls the product.

  • Same product, many sellers. Competitors can buy the identical item, so buyers may compare on price alone.
  • You answer for the claims. Anything on your label or product page is your statement, even if the supplier wrote it first, so keep the proof on file.
  • Safety problems reach you too. If you learn a product may be hazardous, the CPSC reporting duty in the table above applies to retailers and distributors as well as makers.
  • Quality can change. A supplier can switch an ingredient source or a factory, so get a written promise to tell you first, and compare each batch with the approved sample.
  • Supplier dependence. You do not own the formula, so if the supplier stops making it, raises prices or closes, you may have to find a new product and relabel.
  • Dead stock. Minimum orders, printed labels and packaging are paid for up front, and products that do not sell tie up cash.
  • Brand name conflicts. The USPTO notes that one of the most common reasons applications are rejected is that the trademark is too similar to an already registered one. Search before you print labels.

What it costs to start with white label products

Plan for these costs, which depend on the category and the supplier's minimum order.

  • Samples of each product you are considering
  • The first order: the unit price times the minimum order quantity
  • Labels, boxes and inserts, often with their own minimums
  • Testing, where your category or your claims require it
  • Trademark application fees, if you file (see step 5 above)
  • Product photos, a store, and shipping supplies

Example: a white label candle bought at $6, plus $1.50 for its label and box, sold for $24. The product costs $7.50 before shipping and selling fees, which leaves $16.50 to cover fees, ads, returns and your time. These are made-up inputs to show the arithmetic, not supplier quotes.

Questions to ask a white label supplier

Ask these before you pay for a first order, and keep the answers in writing.

  • What is the minimum order, and is it per product, per scent or per label design?
  • What does one unit cost at the minimum order, and at larger orders?
  • How long does a reorder take, and do you keep stock on hand?
  • Will you tell me in writing before you change an ingredient, a supplier or a factory?
  • Do other brands sell this exact product? If I pay for changes, who owns them?
  • Do you carry product liability insurance, and can my business be added to it?

Where Nation fits

Nation

Category: an AI store builder

Not ranked

Nation says one description of what you make builds the store, then agents handle orders, customers and delivery and run ads, content and social posts, with you approving the work. Because pricing is not announced yet, it is not compared with suppliers or platforms here.

Limits today

  • Status: pre-launch, with a waitlist on withnation.ai.
  • Pricing and fees: not announced yet.
  • Shopper marketplace: no shopper marketplace has been announced.
  • Track record: no independent reviews or public stores yet.

Nation publishes this page. The rules on it come from FDA, FTC, CPSC and USPTO pages, and no supplier is ranked or compared here.

Describe what you make

Questions about white label products

What is the difference between white label and private label?

The difference between white label and private label is who else can sell the product. A white label product is a standard item the manufacturer sells to many brands, each with its own label. A private label product is made for one brand only, often to a formula or design that brand chose or paid to develop.

Is it legal to sell white label products under my own brand?

Selling white label products under your own brand is a normal arrangement, as long as the supplier agrees and the label is accurate. FDA cosmetic rules let the label name the distributor with a phrase such as "Manufactured for" or "Distributed by" before the name. For clothing, the FTC says relabeling is legal as long as the new label lists the name or RN of the company making the change.

Who is responsible for a white label product's safety?

Responsibility for a white label product's safety is shared with the brand on the label. For cosmetics, FDA treats the manufacturer, packer or distributor whose name appears on the cosmetic's label as the responsible person. For consumer products, the CPSC says manufacturers, importers, distributors and retailers of consumer products have a legal obligation to immediately report certain product hazards to the CPSC. Ask your supplier for test records and insurance.

Do I need a trademark to sell white label products?

You do not need to register a trademark to sell white label products. The USPTO says you are not required to register your trademark, but a registered trademark provides broader rights and protections than an unregistered one. If you file, the base application fee is $350 per class of goods or services. Search for similar registered names first, since a name too close to an existing one can be refused.

Can I put Made in USA on a white label product?

You can put an unqualified Made in USA claim on a white label product only if it meets the FTC standard: the product must be “all or virtually all” made in the U.S., and your company being based in the US does not count. Ask the supplier where the product and its main parts are made before you print the claim.

Describe what you sell

Nation is an AI store builder. It is pre-launch, with a waitlist on withnation.ai: leave a description of what you sell and your email to join the waitlist.