Sales Procedures

Standard Operating Procedure for International Commercial Transactions

Objective: This document outlines the standard steps for a secure international trade transaction between Buyer and Seller, ensuring clarity, legal commitment, and financial security for both parties.

1. Buyer’s Initial Offer (Formal Submission)**
Action: The BUYER submits an Irrevocable Corporate Purchase Order (ICPO) and a Corporate Information Sheet (CIS) or Company Profile.
Requirements: The ICPO must be issued as a PDF on the purchasing company’s official letterhead, containing complete and verifiable business and banking information.
Purpose:This formal offer initiates the process. The information is required for standard due diligence checks to ensure a secure and serious engagement for both parties.

2. Seller’s Formal Offer (Counter-Offer)
Action: Upon approval of the Buyer’s documentation, the SELLER issues a Full Corporate Offer (FCO).
Details: The FCO outlines all agreed commercial terms: product, quantity, price, port of origin/destination, payment terms, and delivery timeline (incoterms).

3. Acceptance of Offer
Action: The BUYER reviews, signs, stamps, and returns the accepted FCO to the Seller.
Purpose: This confirms the Buyer’s unconditional agreement to all terms within the FCO before the contract is drafted.

4. Contract Drafting
Action: The SELLER, based on the accepted FCO, prepares and sends the draft contract (SPA – Sales and Purchase Agreement) for the Buyer’s review.

5. Contract Execution
Action: The BUYER reviews, signs, stamps, and returns the scanned contract via email.
Legal Status:This electronically signed version is considered legally binding until the original hard copies are exchanged.

6. Issuance of Commercial Invoice
Action: The SELLER issues the Commercial Invoice based on the executed contract.

7. Preparation for Bank Instrument
Action: The BUYER returns the signed Commercial Invoice and provides the Seller with:
BCL (Bank Comfort Letter): A letter from the Buyer’s bank confirming the availability of funds.
Draft SBLC/LC: A preliminary draft of the bank guarantee for review and approval by the Seller’s finance department or bank.

8. Issuance of Final Bank Guarantee
Action: The BUYER’s bank issues and sends the final bank guarantee (SBLC – Standby Letter of Credit or LC – Letter of Credit, MT 700/760) to the SELLER’s bank within 15 business days.
Mandatory Instrument Requirements:
Must be irrevocable, divisible, operational, and confirmed by a top 50 world bank.
Type: SBLC (revolving or non-transferable) or LC (transferable only).
Payment: Via MT 103 (wire transfer) upon presentation of shipping documents (Bill of Lading – B/L and Independent Inspection Report – SGS) at the port of origin, as per agreement.

9. Reciprocal Guarantees and Proofs
Action:
After the SBLC/DLC is opened and confirmed, the SELLER’s bank issues a 2% Performance Bond (PB) to the Buyer’s bank within 12 business days. This guarantees the Seller’s performance.
Simultaneously, the SELLER provides Proof of Product (POP) within 15 days, demonstrating the goods are available and ready for shipment.

10. Shipment Inspection (Optional)
Action: The BUYER may receive a formal letter of invitation to send representatives to inspect the loading process at the port of origin.

11. Shipment Loading Window
Action: The loading of the vessel will be scheduled within 35 to 45 days, subject to acceleration based on product and logistics availability.

12. Payment and Document Release
Action: Payment is executed (via MT 103) upon the SELLER’s presentation of the original shipping documents (B/L and Inspection Certificate) to the bank, as stipulated in the bank guarantee (step 8).

Transparency and Security Policies

To protect the confidentiality and security of all involved parties, the following policies are strictly maintained:

 Data Protection: We do not share documentation from past transactions (such as B/Ls or certificates) from other clients, in compliance with data protection laws.
Physical Samples: We do not send physical product samples under any circumstances.
Supplier Privacy: We do not share photos, videos, or identifiable information of our facilities or suppliers to protect their privacy and operational security.

This procedure is designed to mitigate risk and ensure all steps are taken with full transparency and mutual commitment. We are available to clarify any questions.