D-5- Other payment tools, COD and Commercial barter

Payment processing is one of the main preoccupations of companies with international transactions. Doing business is important, but compensation is essential. Esandis offers you free training space dedicated to international transactions, and all the skills you need to become an export or import manager.

Our objective is to provide you an understanding of the importance of the payment component of an international transaction.

6-1- Cash on delivery, COD

Cash on delivery is a payment technique for international transactions. This technique authorizes the final goods carrier as a financial intermediary. The carrier shall deliver the goods to the importer against payment. The carrier therefore collects on behalf of its client, the exporter.

6-2- Commercial or corporate barter

Commercial bartering is a payment technique that permits merging two transactions between two companies. Chacune vend l'autre un produit. Each of them sells a product to the other. There are two sales, and therefore two risks. Subtract the smaller sale from the bigger sale in order to barter for import or export transactions.