Sunday, January 12, 2014

How would you establish good relationship with your suppliers?

How would you establish good relationship with your suppliers?
Depending on your cash/credit posistion you can try this; Offer your suppliers better than average terms, offer to buy the first small round of supplies with cash and establish your need for this supplier. Next time order more supplies and ask and offer to pay for 75% in cash and ask for 25% of your order to be held on NET 30 terms, keep progressing in to this relationship and pay your credit terms on time. This builds faith with your suppliers.

In time some of your suppliers "if asked" may go out much further if they know that your history is good. I recently had a supplier agree to go out 190 days on terms for a VERY large project that we undertook. It was a Gov Contract and my vendor knew that I was capable and the money would be there in time.

Just be up front and honest, and that will get you most places you need to go.

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