Incoterms and International Payment Terms

About this course

Choosing the wrong delivery or payment term can quietly shift significant cost and risk onto your organisation. This three-day course explains how to use the Incoterms 2020 rules and international payment methods to protect your position in every deal.

You will work through all 11 Incoterms rules, learning exactly where risk, cost and responsibility pass from seller to buyer, and practise choosing the right rule for each shipment. You will then compare payment options, from open account to documentary collections, letters of credit and bank guarantees, and learn how to align terms and documents in a consistent contract.

What you'll learn

• Explain the purpose and structure of the Incoterms 2020 rules and what they do not cover.
• Allocate costs, risks and tasks between seller and buyer under each of the 11 rules.
• Choose the most suitable Incoterms rule for a given shipment and mode of transport.
• Compare the main international payment methods and the risk each carries for buyer and seller.
• Describe how documentary letters of credit work under UCP 600 and how to avoid discrepancies.
• Explain documentary collections and when to use them.
• Describe the use of demand guarantees and standby letters of credit in trade.
• Align delivery terms, payment terms and documents in a consistent sales contract.

Curriculum

Who it's for

Import and export managers, purchasing and sales staff, logistics officers and trade finance professionals who negotiate or administer international contracts.

Before you start

• Basic familiarity with import or export transactions

Part of these Alalamia diplomas

• Alalamia Diploma in Supply Chain and Logistics Management