MOVEMENT OF GOODS FROM PRODUCER TO CONSUMER/USERS AND RELATED DOCUMENTS
When shipping a product overseas or within a country, the seller must be aware of packing, labeling, documentation, and insurance requirements. It is important that seller/producer ensure that the merchandise is:
Packed correctly so that it arrives in good condition;
Labeled correctly to ensure that the goods are handled properly and arrive on time at the right place. Documented correctly to meet laws and government requirements, as well as proper collection standards
Insured against damage, loss, pilferage and delay.
Air waybill, bill of lading, or truck bill of lading, commercial invoice, certificate of origin, insurance certificate, packing list. Some other necessary documents for safe business transaction involving moving from one place to another and papers required to clear customs and take delivery of the goods are as follows:
★ Local Purchase Order
★ Way Will or Delivery Note
★ Goods Received Note (GRN)
★ Stock Card / Bin Card
★ and Invoice (Respectively)
1) LOCAL PURCHASE ORDER
A purchase order is a legally binding document between a supplier and a buyer. It details the items the buyer agrees to purchase at a certain price point. It also outlines the delivery date and terms of payment for the buyer. Purchase order computer systems have made the purchasing process more efficient and allow for better inventory and payment tracking.
A purchase order is a legally binding document between a supplier and a buyer. It details the items the buyer agrees to purchase at a certain price point. It also outlines the delivery date and terms of payment for the buyer. Purchase order computer systems have made the purchasing process more efficient and allow for better inventory and payment tracking.
Purposes
Purchase orders are typically used when a buyer wants to purchase supplies or inventory on account. This means the supplier delivers or ships the purchased items prior to payment, with the purchase order serving as its risk protection. Along with legal protection, purchase orders are significant in both inventory management and payment tracking. Purchase orders help suppliers compare ordered inventory to inventory shipped and on hand for accuracy. They also allow the supplier to track when payments have been made on specific orders. Buyers hold copies of orders they place to monitor timely receipt of the items.
Purchase orders are typically used when a buyer wants to purchase supplies or inventory on account. This means the supplier delivers or ships the purchased items prior to payment, with the purchase order serving as its risk protection. Along with legal protection, purchase orders are significant in both inventory management and payment tracking. Purchase orders help suppliers compare ordered inventory to inventory shipped and on hand for accuracy. They also allow the supplier to track when payments have been made on specific orders. Buyers hold copies of orders they place to monitor timely receipt of the items.
2) WAY BILL/GOODS RECEIVED NOTE
A waybill is a document issued by a carrier giving details and instructions relating to the shipment of a consignment of goods. Typically it will show the names of the consignor and consignee, the point of origin of the consignment, its destination, and route. Most freight forwarders and trucking companies use an in-house waybill called a house bill. These typically contain "conditions of contract of carriage" terms on the back of the form. These terms cover limits to liability and other terms and conditions.
A waybill is a document issued by a carrier giving details and instructions relating to the shipment of a consignment of goods. Typically it will show the names of the consignor and consignee, the point of origin of the consignment, its destination, and route. Most freight forwarders and trucking companies use an in-house waybill called a house bill. These typically contain "conditions of contract of carriage" terms on the back of the form. These terms cover limits to liability and other terms and conditions.
Most airlines use a different form called an air waybill which lists additional items such as airport of destination, flight number, and time.
A waybill is similar to that of a courier's receipt which contains the details of the consignor and the consignee, and also the point of origin and destination.
3) GOODS RECEIVED NOTE
Record of goods received at the point of receipt. This record is used to confirm all goods have been received and often compared to a purchase order before payment is issued. Goods received notes are often the first step in the purchase order process. In addition to confirming the delivery and acceptance of goods, these notes help stock management clerks maintain accurate inventory records when new goods arrive. Clerks may issue multiple goods received notes to suppliers for single orders when some goods ship separately. Before making a final payment, clerks compare goods received notes from multiple shipments to the payment invoice to make sure the balance is correct.
Record of goods received at the point of receipt. This record is used to confirm all goods have been received and often compared to a purchase order before payment is issued. Goods received notes are often the first step in the purchase order process. In addition to confirming the delivery and acceptance of goods, these notes help stock management clerks maintain accurate inventory records when new goods arrive. Clerks may issue multiple goods received notes to suppliers for single orders when some goods ship separately. Before making a final payment, clerks compare goods received notes from multiple shipments to the payment invoice to make sure the balance is correct.
4) STOCK CARD/BIN CARD
A document that records the status of a good held in a stock room. A typical retailing business with a large stock room will use a bin card to record a running balance of stock on hand, in addition to information about stock received and notes about problems associated with that stock item. In simple language, stock card is the card that is used to enter list of items in stock.
A document that records the status of a good held in a stock room. A typical retailing business with a large stock room will use a bin card to record a running balance of stock on hand, in addition to information about stock received and notes about problems associated with that stock item. In simple language, stock card is the card that is used to enter list of items in stock.
5) INVOICE
An invoice is a commercial document that itemizes a transaction between a buyer and a seller. If goods or services were purchased on credit, the invoice usually specifies the terms of the deal, and provide information on the available methods of payment. An invoice is also known as a bill or sales invoice.
An invoice is a commercial document that itemizes a transaction between a buyer and a seller. If goods or services were purchased on credit, the invoice usually specifies the terms of the deal, and provide information on the available methods of payment. An invoice is also known as a bill or sales invoice.
BREAKING DOWN 'Invoice'
Companies may opt to simply send a month-end statement as the invoice for all outstanding transactions. If this is the case, the statement must indicate that no subsequent invoices will be sent.
An invoice must state it is an invoice on the face of the bill. It typically has a unique identifier called the invoice number that is useful for internal and external reference. An invoice typically contains contact information for the seller or service provider in case there is an error relating to the billing. Payment terms may be outlined on the invoice, as well as the information relating to any discounts, early payment details or finance charges assessed for late payments. It also presents the unit cost of an item, total units purchased, freight, handling, shipping and associated tax charges, and it outlines the total amount owed.
Companies may opt to simply send a month-end statement as the invoice for all outstanding transactions. If this is the case, the statement must indicate that no subsequent invoices will be sent.
An invoice must state it is an invoice on the face of the bill. It typically has a unique identifier called the invoice number that is useful for internal and external reference. An invoice typically contains contact information for the seller or service provider in case there is an error relating to the billing. Payment terms may be outlined on the invoice, as well as the information relating to any discounts, early payment details or finance charges assessed for late payments. It also presents the unit cost of an item, total units purchased, freight, handling, shipping and associated tax charges, and it outlines the total amount owed.
What is 'Cash On Delivery - COD'
Cash on delivery (COD) is a type of transaction in which the recipient makes payment for a good at the time of delivery. If the purchaser does not make payment when the good is delivered, then the good is returned to the seller. The recipient can make payment by cash, certified check or money order, depending on what is the shipping contract stipulates.
Cash on delivery (COD) is a type of transaction in which the recipient makes payment for a good at the time of delivery. If the purchaser does not make payment when the good is delivered, then the good is returned to the seller. The recipient can make payment by cash, certified check or money order, depending on what is the shipping contract stipulates.
These are the basic terms used under local, national and international goods delivery.
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Source: 1) SmallBusiness
2) Wikipedia