If we do not go in detail about definition and deep parameters, I will call this slogan – ‘ Business is money’. Although business man enjoy his day to day life in trade, if a loss occurs in business, everything collapse. So payment of any sales proceeds plays a very important role than any other roles in business. Most of the beginners of exports may worry about the terms of payment. Because, unlike other domestic business, you are dealing with a buyer who situates thousands of miles away from your place crossing borders of your country. You may or may not know the financial condition or credit worthiness of your buyer. You may not be meeting the buyer personally at initial stage, may not be aware of the specific policy of trade of buyer’s country, no idea about political status or natural calamity chances of the region etc.
Payment term in any business is a major part of sales contract. Terms of payment in exports and imports plays an important role in international business. What are the different types of mode of payment in exports and imports?
OnlineExim.com By Paresh Solanki
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