Why you need this
Security
The exporter retains ownership of the goods until either payment or acceptance is received
Convenience
The bank acts for the exporter, by presenting commercial documents to the buyer (importer) along with a payment demand or bill of exchange
Versatility
Accepted bills can be used to get financing
Quick payment
Settlement is normally faster than using the Open Account method
Governance
The handling of export collections is governed by the ICC Uniform Rules for Collections
Guaranteed payment
Unless the buyer pays or commits to pay at a future date, no documents will be handed over
What you need to do
Honour you part of the deal
Negotiate terms
Simply negotiate the collection terms with the importer, ship the goods and then hand the documents to FNB (Trade & Working Capital Division) with collection instructions
Provide details
The bank would require the banking details of the importer
Ensure success
Discuss the transaction with FNB Botswana Trade & Working Capital Division to ensure all collections instructions are clear, workable and unambiguous
