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Shari Waters
Shari's Retailing Blog

By Shari Waters, About.com Guide to Retailing

Ease Cash Flow With Terms

Monday October 26, 2009

Having an ample supply of inventory on hand during this holiday shopping season is critical to not only our store, but to every retailer who relies on last quarter sales to boost their bottom line. This is why we work all year at creating vendor relationships and set up payment terms, otherwise known as trade credit.

Establishing trade credit can help ease the cash flow for any retailer. When setting up payment terms, keep in mind that it isn't just the total amount owed that's significant but the ability of your retail business to repay the debt on time.


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