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Payment Terms That Both Sides Accept

Published: Publisher: Zhilianhai Robotics News

Common structures

StructureRisk profile
Deposit plus balance on deliverySeller risks less, buyer risks more
Staged on milestonesBalanced, needs clear evidence
EscrowBoth protected, adds cost and delay
Letter of creditBank-backed, heavy paperwork
ConsignmentSeller carries stock risk

Getting to agreement

  • Tie every payment to an observable event.
  • For overseas sales, agree who bears transfer and currency costs.
  • Put the schedule in the contract, not in an email.

Payment structures are commercial and legal matters. Confirm them in the contract.

This article is published by the Zhilianhai Robotics News site. Where policies, standards, prices, company capabilities or project status are involved, cross-check the original sources as well.

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