Net 30 Credit Terms Explanation
For those who have just heard about net 30, explanations are needed to understand why it is so commonly used. Net 30 payment terms, with a discount for early payment, induce the buyer to pay earlier. According to the net 30 definition, the total amount of the bill is due in thirty days, but if the buyer pays earlier, the buyer will get a discount of 1% or 2% of the bill, depending on the net 30 payment terms.
Net 30 Credit Terms ExplanationFor those who have just heard about net 30, explanations are needed to understand why it is so commonly used. Net 30 payment terms, with a discount for early payment, induce the buyer to pay earlier. According to the net 30 definition, the total amount of the bill is due in thirty days, but if the buyer pays earlier, the buyer will get a discount of 1% or 2% of the bill, depending on the net 30 payment terms.
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