The fourth quarter is the peak shipment of export factories, which corresponds to the time when the pressure on payment collection is most concentrated in the first quarter of next year: the more orders you receive and the thicker the funds are advanced during the peak season, the small loopholes in payment terms will be amplified into cash flow. Big hole. The matter of collecting money does not rely on harsh words when asking for money, but on checking the terms in place before delivery and advancing at a pace after delivery. This article gives a list according to the Timeline.
1. Before shipment: Three checkpoints for payment terms
- Final payment ratio and payment trigger point:A 30% deposit plus 70% payment on a copy of the bill of lading is a common structure for risk equalization. For orders with a final payment ratio of less than 30%, the advance cost and the disposal path when the buyer defaults are calculated first; clauses such as "cash on delivery" and "payment after sales" cannot be accepted without credit insurance.
- Payment method and payment path:The collection account for wire transfer orders shall be clarified based on the contract text. The third-party agent payment must confirm in writing the relationship between the payer and the contract buyer in advance; the letter of credit order shall check the qualifications of the issuing bank, and the soft terms shall be checked item by item, especially "the inspection certificate must be signed by the buyer". Such clauses that place the right to payment in the hands of the other party.
- Order of document and payment:Electric release or original bill of lading, directly determine the right to goods in whose hands. New customers and high-risk markets insist on original bills of lading or controlled goods, and release the final payment on arrival; old customers also review the credit limit every six months, and do not exempt from inspection based on emotion.
2. After delivery: three rhythms of reconciliation and payment
The first paragraph, within 3 days after shipment: Attach a copy of the invoice, box list, and bill of lading simultaneously when sending the shipping notice. The email header carries the order number and the payment due date, so that "which payment and when will it arrive" can be written in black and white from the first day. The second paragraph, 7 days before the payment date: Send a reminder email with a statement and account information to leave processing time for the other party's finances-many overdue periods are not malicious, but are stuck in the other party's internal approval. The third paragraph, the 3rd and 10th days overdue: On the 3rd day, the inquiry format is used (whether the money is already being arranged, such as the payment has been remitted), and on the 10th day, the inquiry format is upgraded to the required format (clarify the number of days overdue, interest will be calculated according to the contract, and inform that the scheduling of subsequent orders will be suspended). Dunning emails are always copied to the person with decision-making power-in addition to the person in charge of purchasing, plus the other party's finance or boss, many "process jams" are resolved the next day after the cc list changes. The value of rhythm lies in the fact that every step is recorded in writing. When it comes to stopping goods or claiming a claim, your chain of evidence is complete.
3. Deadline classification: Each level of disposal has its own actions
- Level 1 (within 7 days overdue):The salesperson confirmed by email and phone, judged whether it was a process problem or a willingness problem, and at the same time notified the document to suspend the release of the new order.
- Level 2 (overdue 15 to 30 days):Send a written reminder letter (mail and express delivery) reiterating the contract payment terms and overdue interest, and giving a clear payment term; suspend quotation for all new orders.
- Level 3 (30 to 60 days overdue):Evaluation and control of goods-the original bill of lading in hand is the greatest bargaining chip. Negotiate the payment plan with the buyer and sign a written agreement before releasing the goods; those who insure export credit insurance will report the case within the time limit stipulated in the policy. Most policies require overdue or breach of trust. Notice as soon as possible after the event occurs, and don't delay the time limit.
- Level 4 (overdue for more than 60 days):Transfer to collection or legal procedures: entrust the local collection agency to prepare arbitration or litigation materials based on the contract and a full set of documents. The decision-making criterion is simple: the recovery probability is multiplied by the recovery amount, minus the expenses and time costs, and the investment is only invested after the account is calculated.
The three most easy pits to step in when collecting money in the fourth and fourth quarters
- In order to catch the ship, release the goods first and then make up the formalities:In the peak season, the shipping space is tight, and the salesperson releases the bill of lading without approval in order to allow the goods to catch the ship, and the risk of the final payment will be streaked in an instant. Disasters must be approved in writing, and the rules will be more valuable during peak seasons.
- Delay reconciliation until the end of the year:Quarterly reconciliation is the bottom line, and each difference is clarified in the same month. If you conduct centralized reconciliation at the end of the year, if the other party says,"The documents cannot be found," you will have a less layer of protection.
- Treat old customers as inspection-exempt customers:The credit sales limit of old customers automatically increases with the number of years of cooperation, which is the most common source of holes. The amount is approved once a year, with reference to the other party's payment records and business changes in the past 12 months. It is not a cooperative relationship.
- Exchange rates make way for payment:Some salesmen have turned their exchange rate exposure into a bottomless pit by promising to "refund more and less compensation for exchange rate fluctuations indefinitely." The payment terms and exchange rate terms are discussed separately, and the exchange rate rules are not changed when collecting money.
5. Common questions
1. The customer delays paying but says "I will pay next week." Should we stop and control the goods?
There are two things to look at: whether the payment reason he gives is verifiable (bank records, internal approval documents), and the right of goods certificate in your hand. If the original bill of lading is in hand, turn "next week" into a written commitment that must be honored on the 10th day, otherwise it will be implemented as secondary disposal; if the goods have been released by electricity and have no credit guarantee, upgrade to tertiary level as soon as possible. The longer the delay, the lower the recovery rate.
2. The cost of export credit insurance is not low. Should small factories buy it?
Calculate the proportion of exposure and then decide: If a single non-controlled buyer receives more than 20% of monthly sales, or the proportion of credit sales throughout the year is too high, the premium relative to the potential loss will be small; small factories that pay all deposits and final payments to control goods can delay buying. Once you buy it, you must implement the limit declaration and reporting time limit as a process, so as not to let the policy become a decoration.
3. If the buyer changes the payment company entity halfway, are the risks the same?
It's different. It needs to be re-nuclear. New entities are required to issue a debt undertaking confirmation or sign a tripartite agreement, and at the same time, re-approve the amount of back-payment and limit according to the new entities. Changing the payment entity is a prelude to some malicious default, and this step cannot be spared.
