Calculation of contract value The cost of service: is 900 $
Regardless of whether the next transaction is an export or import procedure,
it is always recommended to calculate the value of a foreign trade contract in advance.
What parameters are taken into account when evaluating the contract value?
- Expenses of both parties
- Terms of payment
- Guarantees of the parties
- Risk protection
- Financial support
What are the expenses of the exporter in the implementation of the export contract?
1. Expenses related to the preparation of goods for export:
- Certification, licensing
- Obtaining other required permits
- Packaging of goods and necessary marking
2. Expenses related to delivery conditions:
- Delivery basis (INCOTERMS)
- Logistics costs (transportation and temporary storage at delivery points)
- Costs of cargo insurance
- Customs clearance costs
3. Expenses related to the payment under the export contract:
- Amount of advance payment
- Existence of deferred payment and its duration
- Presence of an intermediary (bank or other financial agent)
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