Source Google
Export Readiness:
Costing, Financial Forecasting and Product Pricing
Section 3 Part 3 D
International Payment Methods
This section of the export planning process also has a lot of detailed information. It will also be broke down into parts A,B, C etc ...
First post the worksheets covered in Section 3 Part 3 A
- Sales Forecasts—First Five Years
- Cost of Goods Sold—First Five Years
- Export Costing
- Worksheet: Marketing Expense Costs
On the second post Section 3 Part 3 B we covered worksheets
- Projected Income - First Five Years In All Markets
- Sales Forecast worksheet
- Cost of Goods Sold worksheet
Section 3 Part 3 C we covered
The primary methods of payment for international transactions, ranked in order of most secure to least secure for the exporter, include:
- Payment in advance
- Letters of Credit
Today in Part D, we will finish the terms available for payment options
- Documentary collections (drafts)
- Open account
LC Terms and Conditions and Documentary Collections
With Non-Conforming Documents: Be Aware of Potential Dangers
- Non-acceptance and non-payment by the buyer
- Bank’s refusal to honor the presentation or seek approval from the buyer, and sending of the documents back to the beneficiary
- Acceptance by the buyer, but delayed payment (could be up to six months or more)
- Acceptance by the buyer, but negotiation of a lower payment price
- Penalty for late shipment
- Incurring of discrepancy fees
- Settlement in court in a foreign country
All Related Posts Are On
The Left Side Of This Blog
***
MORE INFORMATION
A documentary collection is a process, in which the seller instructs his bank to forward documents related to the export of goods to the buyer's bank with a request to present these documents to the buyer for payment, indicating when and on what conditions these documents can be released to the buyer.
***
| DOCUMENTARY COLLECTION Credit management World ***Difference between Documentary credit and Documentary Bill   ICANetwork |
No comments:
Post a Comment