Third-party manufacturers, often known as contract manufacturers, are enterprises that produce goods on behalf of other businesses. They often have previous experience in the manufacturing industry and are able to make goods with greater efficiency than the company that contracts them. In many instances, contract manufacturing companies additionally offer design and engineering services to the contracting company in order to assist the latter in the process of developing a product. Working with a contract manufacturer can be advantageous in many different ways. One of the most obvious advantages is that it releases resources at the contracting company, allowing those employees more time to concentrate on other elements of the company’s operations. Additionally, contract manufacturers frequently have operations of a bigger scale, which enables them to take advantage of economies of scale. Because of this, the contracting company can have decreased production expenses.