Trade, terms & payment.
Commercial structure depends on product, buyer profile, destination, order value, country risk, bank requirements and transaction terms. We agree the important terms before execution begins.
The Incoterm defines where commercial responsibility for the shipment transfers between buyer and seller. Responsibilities and risk transfer depend on the agreed Incoterm.
Ex Works
The buyer takes responsibility for the shipment from the agreed point, subject to the agreed transaction structure.
Free On Board
Commercial responsibility transfers at the agreed port once goods are loaded on board, as agreed for the transaction.
Cost And Freight
Freight to the destination port is included. Insurance is generally handled separately by the buyer unless otherwise agreed.
Cost, Insurance And Freight
The agreed price includes cost, insurance and freight to the destination port, subject to the specific Incoterm and contract.
Delivered At Place
The seller arranges delivery to the agreed destination, with responsibilities and exclusions defined by the applicable Incoterm.
Final responsibilities are governed by the agreed Incoterm and commercial contract. This is general information, not legal advice.
Payment structure depends on the buyer, country, transaction size, banking relationship, credit exposure, documentation and commercial history. Lower-risk options provide stronger payment assurance; suitability is transaction dependent.
Advance Payment / T/T
Buyer pays an agreed percentage in advance before execution, with the balance structured according to agreed terms.
Partial Advance + Balance Against Agreed Terms
A lower-risk blend: part payment upfront, with the balance released against shipment documents or other agreed terms.
Letter Of Credit (LC At Sight / Usance LC)
Payments secured through Sight LC (payable on presentation of documents) or Usance LC (payable after an agreed credit period), subject to bank terms and full compliance with documents.
Confirmed LC
Where appropriate, an LC can be confirmed by another bank, adding a further layer of bank undertaking, subject to confirmation terms.
Documentary Collection (D/P)
Documents Against Payment or Cash Against Documents may be considered for suitable transactions, subject to buyer, country and banking assessment.
Insured Credit / Open-Account Structures
For eligible transactions, export credit insurance can support open-account terms, protecting against specified commercial and political risks.
Export Factoring
For eligible MSME exporters, export factoring can combine receivables financing with credit-risk protection, subject to eligibility and applicable terms.
Risk Structure
Lower Credit Exposure100% Advance
Partial Advance
Confirmed LC
LC At Sight
Documentary Collection
Insured Credit Terms
Uninsured Open Account
Actual suitability depends on the buyer, country, bank, product, transaction value and agreed commercial terms.
ECGC / Export Credit Insurance
Where suitable, export-credit protection may be evaluated through ECGC or other appropriate financial structures. Coverage depends on the buyer, country, transaction terms, eligibility, approved limits and applicable policy conditions. ECGC is an export-credit insurance and risk-management mechanism; it is not a payment guarantee.
Before execution, we clearly establish the following with the buyer.