If the payment process we often do, let alone in a large nominal scale, we definitely will not be unfamiliar with the term, term of payment. Term Of Payment or payment deadline indeed play an important role in the business world, not only in Indonesia, but also in the world. This article will discuss the outline of the function of the term of payment. But, that's not too rushed, it's good if we discussed beforehand about what the notion of term of payment itself, and what are the various from the term of payment of it.
The Sense Of Term Of Payment
Term of payment means in simple terms is the rules of payment. In the case of industries in Indonesia, the rule here means a method of payment, and the main thing is: the time of payment. Therefore, do not be surprised if in its use, term of payment or often called as the TOP, always refers to a simple question: when the time delay of payment of the longest?
Kinds of Term Of Payment
Kinds of Term Of Payment itself is quite diverse. There are many different companies that have default respectively. Of course, there are the terms now are familiar to our ears, because it is already masifnya in the online business community. But there may be too many kinds of term of payment are less familiar in our ears. Not what, no problem, the Term Of Payment is most often we do as an individual is indeed just one. Okay, so what sort of Term Of Payment on it? Here are some of the terms of payment that are commonly used: Term Of Payment the CBD (Cash Before Delivery): Term Of Payment requires the buyer to pay first before goods are shipped. We certainly have often experienced a Term Of Payment to this model, because it is this kind of TOP is often used to retail buyers face value is not too significant. Term Of Payment is COD (Cash On Delivery): Yes Yes Yes, I'm sure we all have heard of the term. Every day, we might even be just experienced with this sort of TOP deals. Maybe we thought that this kind of TOP is only experienced by CtoC business system (Customer to Customer), but don't get me wrong, in the world of buying and selling goods factory, this type is still very likely to occur. One of them is in the agribusiness industry raw material directly came without ordered and paid directly to the carrier of the raw material. Term Of Payment 15, 30, 45, 60, 75, 90, 105, 120, etc.: numbers 15 to infinity that indicates the number of days. So the TOP 30 days means that the payment deadline is 30 days. Well, the standard itself is different. Some use regulation 30 days after the goods come, or 30 days from the date the invoice was issued. As for 30 days and so it will be referred to as the due date. The difference is, if the due date based on the date of the issued invoice, the buyer simply wait for the invoice submitted by the seller, and then from the date of the invoice out of that, added to the term of type paymentnya, then became the basis of the calculation of the party Finance against the debt to be paid. Well, if the due date based on the date of terimanya, then the seller does not need to wait for an invoice from the seller. Direct buyers only mengkalkulasikan the date of receipt of the goods, plus the length of term of payment, then boom, there be a deadline for paying the debt. The matter later late invoice sent and so forth, the buyer does not have to think about it.
The Function Of Term Of Payment
Okay, we've been a little intermezzo concerning term of payment, then now is the time to sign in at the core of the writing, that is a function of the terms of payment. Well, actually a little funny also mentions this is the core of the article, given some of the shortest thus. So a function of term of payment (especially for buyers) is as Cost control for the company. With fresh-bid term of payment, the company's cashflow can be controlled, even providing financial benefits aging for the buyer. Therefore, not surprisingly, in the Procurement business processes, sometimes the price of goods is not always a primary consideration in choosing a vendor. In addition to the speed of the vendors in providing the ordered goods, Terms Of Payment provided the vendor can also be one of the contributing factors to the attention of the purchaser. In fact, the mentor I would argue that the flow of cashflow is much more important than profit margin. Why? Because the margin is the amount of money in numbers, while the stream of cashflow is the money really exists. Indeed, as important as is there? Okay, let's look at my illustration of this. Let's say there is A retail company that buys goods from a Principal B. Lets say the price is 1000 dollars per item, and the company A buy in large quantities, say 1000 (only for easy counted). But the purchase agreement that the Term Of Payment is 6 months. Long story short, A Company already get it and sell it back to the consumer end user system, meaning the payout is Cash, right then and there. In one month, the goods from the company B is up for sale. Let's say company A sells at the same price, without a margin. But now A Company already has money of 1 million payable to company B 5 months. Within 5 months, company A has a variety of opportunities to make money 1 million of that breed. A company can make other investments, can deposit money is 3 monthly or even daily, and so on. And don't imagine that transactions that occur in reality is just one of millions, but usually the iPhone! Yes, with the magic of cashflow margin, without stifling consumer, company A can get a lot of profit. Game Terms Of Payment which is in fact promising. And believe it or not, there are many giant companies in Indonesia who play this strategy. So, still confused the functions of the Terms Of Payment that are like what? Just ask in the comments field.