Very Important Notice for all business associates !!!

Dear business associate and co-partners, you may discuss the following points and/or ask us if need any guide line at any point. But try to understand that the procedures below are practically almost non negotiable and have been deeply detailed throughout the years of experiences for past 15-20 years in trading business.

 

It is obvious for everyone that there are real buyers, fishing agencies and etc. looking for all kind of products. Certainly the solution is not just asking for POP/SGS, product pictures, videos and many other proofs to make sure that the seller company is correct. Most of the non experienced  intermadiary companies think that it is easy to transfer L/C (Letter of Credit) between the buyer and the seller without having enough credit line to cover the size of the transaction, even if the product exists, the transfer will never happen the deal will die and eventually the buyer will be disappointed.

 

One of the most important thing is that, we as the seller do not ask for nonsense intermediary papers to sign.

 

One of another important thing is that, they can check through the swift of our bank when we send them the Proforma invoice and FCO/SPA draft etc.

 

Another important thing is that, we issue 2% performance bond to cover the buyer's cost of in case if there is any force major occur out of our control, before the transaction takes place.

 

The seller can always send their staff to check and survey the operation at the loading point. We provide written permission to access the facilities.

 

Nowadays, FOB shipment is not a very good option as it is difficult to find vessels. However, some buyers may have an arrangement in advance.

 

In exchange of all these, we kindly ask designated buyer to respect our due diligence if they have already secured the funds for this particular transaction or not. It is within their knowledge that even a staff member can easily attempt to take an initial advantage without letting the authorized account holder's consent. 

 

So to avoid this we simply ask for a detailed LOI and a BCL endorsed by their bank. Asking these documents is to avoid all misunderstandings and executing the business deal smoothly according to the buyer's and seller's desires. There is absolutely no meaning to spend time on to go back and fix the mistakes. 

Finally and simply, we can not be held responsible for their false attempts in the market to find the product but they have to go through one time the basics if it is the first purchase from us. The procedures will be as below for LC/SBLC/DLC, deliveries of either FOB or CIF.

 

1. SELLER ISSUES SPA & PROFORMA INVOICE FOR BUYER TO REVIEW AND COUNTERSIGN.
2. WITHIN 2 BANKING DAYS BUYER ISSUE SBLC AND AFTER RECEIVE AND VERIFY THE SWIFT SBLC, SELLER SUBMIT THE 2% PERFORMANCE BOND WITHIN 5 DAYS THEN THE PRODUCT’S POP ISSUING UNDER BUYER’S NEW NAME WITHIN 18 DAYS;
3. ONCE THE SHIPPING SCHEDULE IS ANNOUNCED, SELLER'S BANK SWIFT ALL POP COPY/PRODUCT EXPORTATION TRANSACTION DOCUMENTS LISTED BELOW TO BUYER & BUYER’S BANK & SHIPPING AGENT:
A. CERTIFICATE OF ORIGIN,
B. QUANTITY AND QUALITY REPORT
C. SHIP PARTICULARS
D. BILL OF LADING (BL)
E. MANIFEST REPORT
F. PACKING LIST
G. ESTIMATED TIME OF ARRIVAL (ETA +NOR)
4. UPON VESSEL’S ARRIVAL AND FINALIZATION OF QUALITY & QUANTITY INSPECTION AT DISCHARGE PORT, BUYER RELEASE PAYMENT SAME DAY FOR TOTAL SHIPMENT VALUE IN FAVOUR OF SELLER AND RECEIPT OF THE ENTIRE RELEVANT SHIPPING AND NEW TITLE DOCUMENTS.

 

There is also another option of payment which is via ESCROW. In this case there will be a slight difference on the procedure and will be adapted to escrow payment as the client pays 20 to 30% of the total amount (depending on the deal) in cash with wire transfer to the escrow account (buyer and seller signs an additional contract for this) and pays rest of the total amount at product arrival to destination after the SGS or equivalent acquired. 

 

These procedures are all kept as simple as possible for both buyer and the seller for all the products: Steel Rebars, Steel Billets, Scrap Rail R50/R65, Zinc (Zn), Aluminium (Al), Copper (Cu), Lead (Pb), Sulphur, Petroleum Coke, Steam Coal, Oil & Gas...etc.....

BIMEX Nordic & PUCHESE TEAM (EAQ)

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