
1 This story starts between a buyer and a seller.
2 The seller says “What would you want to buy?”
“Well…” answers the buyer. Actually, the buyer is interested in the seller’s products, but wondering how he can be sure the seller will deliver what he pays for.
3 As a result, the buyer requests D/A as term of sales. Now the seller worries how he would be sure the buyer will clear the papers.
4 “How about a Letter of Credit?” said the seller.
5 But the buyer disagrees. In order to open L/C, he has to give collateral to the bank, which frustrates his working capital. What’s more, he cannot inspect the goods before payment.
6 What a dilemma!
7 Have you faced similar problems:
•Are you required to prepay or issue Letter of Credit when you import goods from China?
•Have you faced problem of growing business due to lack of working capital?
•Are you frustrated with your vendor’s poor product quality due to lack of funding support under the OA sales?
•Does your vendor often delay the shipment due to insufficient capital?
8 Solutions will be offered from us.
9 We can guarantee your payment.
Your vendors can have sufficient funds to support the quality of products under the O/A sales.
No additional collateral or guarantee from your end.
Enhance purchasing power without using existing lines of credit.