TRADESFOLKS HELP ARTICLE

Common B2B Payment Terms Explained

Updated 24 Aug 2026· 9 min read· Payments & finance

Payment terms allocate cash-flow and performance risk between buyer and seller. Choose terms based on trust, transaction value and available protection.

01

Common structures

  • Full advance or deposit plus balance.
  • Milestone payments for custom/long projects.
  • Balance before shipment or against specified documents where commercially agreed.
  • Other instruments may be used in international trade with professional banking support.
02

Document the terms

  • Amount and ISO currency.
  • Payment due dates or triggers.
  • Beneficiary and order/invoice reference.
  • Refund or dispute handling where applicable.
03

Risk management

  • Use protected workflows when eligible.
  • Verify bank detail changes.
  • Avoid paying outside agreed terms due to pressure or urgency.

Frequently asked questions

Which payment term is safest?

There is no single safest term for every transaction. Risk depends on counterparties, product, country, documentation and protection mechanisms.

Should I pay outside TradesFolks?

Understand that external payments may not receive platform protection. Use supported protected workflows where required.

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