Thanks!
I also just found a co-packer nearby that will do hot fill sauces, salsa, dips, etc.. and also cold fill.
What sort of questions should I be asking?
Questions for the co-packer are going to be really specific to your sauces my friend.
I can offer some examples:
Minumum batch sizes? Do they "mix and match" within the batch if ingredients are similar (see my example re: 400 case mins above)
Is your sauce something that needs to be ground/blended? They'll need equipment to do that, as I'd mentioned.
Do they have a background in food science?
Do they have an in house graphic artist to help you finalize the label? Do they charge for that service?
Do they prefer to use a certain bottle size? Is it the bottle you have in mind?
Do they buy the labels directly, or do you need to provide them? (mine needs me to have the labels printed and drop-shipped)
What's the turnaround on an order? (e.g. you order today and are guaranteed to get product by XX/XX/2012)
What are the terms of payment? (mine's cash on the dollar for the 1st batch, net 30 after that)
Can they warehouse your product or do you need to pick it up or have it drop shipped?
Can they do organic? (if applicable/if you want to try to be in that space)
How long have they been in business - can they give you examples of brands they manufacture? You don't want to put all your eggs into a company that'll be gone tomorrow.
What is their charge/minimums for their test batch process?
Can they do overwrap? What type?
Any post-production offerings? (little recipe card around the neck, plastic spiders, etc - some products have this stuff - you may want to, you may not)
I'm sure you'll come up with some of your own as well, but that's a decent start? The more you ask, the more you'll know about them. The reason my 3rd co-packer was a success (so far) was because I knew what questions to ask, so it's a hugely important step in the process. I spoke to about 10 on the phone before getting the right answers from one.
Also, do you have any funky/difficult to source or process ingredients? For example, vinegar is easy. Some off-brand expensive gourmet vinegar is not. Just an example of course, but hopefully you get my meaning - it might not be a deal killer but be prepared to work with the co-packer to hash these things out.
Which means asking up front if they're willing to be a participant in that process - you don't want to be in business with someone who isn't willing to participate in product development. Producing at scale is a costly endeavor and you want to compromise enough that it's affordable to make without compromising so much that your product isn't what you wanted to make.
uh, hopefully that made sense...