Vendor credit terms

Today our A/P clerk came into my office with a letter from one of our suppliers.  The letter basically tells us that our credit terms are Net 30 days, and that our May 31 invoice is overdue.

Upon emailing the vendor to point out that it is only 25 days since the date of the invoice and let them know that the cheque is already awaiting signature, our A/P clerk gets a response back that tells her the following:

  • Our terms are Net 30 days
  • They take all invoices for the month and they are due on the 15th of the following month

It actually says in the email that they average out the days for the month.  Since there are 15 days before the mid-point of the month, and 15 days after, they expect payment on the 15th of the following month, which is 30 days after the average of days from the current month.

How’s that for logic?  Last time I checked, when you mark an invoice with terms of Net 30 days, you are giving the purchaser 30 days from the invoice date to pay it.  It is treated on an invoice by invoice basis.  I think we’re going to point out to this lady that the terms that she is envisioning is actually Net 15th Month Following, which is a generally accepted term in business.

We were both floored by the letter.  We’ve used this vendor for years, and even use them as a credit reference.  We do a significant amount of business with them, and cut cheques weekly for all invoices received at our offices.  Granted, there are sometimes delays, but overall they usually have payment for every invoice within 2 weeks of it being issued.

The conculsion that we came to is that we will offer to adhere to Net 30 day terms as generally accepted in business, (and marked on every invoice we receive from them,) or we can use an alternate vendor for the last two weeks of every month.

Press

Back on June 7, my accounting body, the Certified Management Accountants issued a press release about my Excel MVP award. I actually found out when a friend that I’d graduated with emailed me to say congratulations. :)

I thought that was pretty neat, and apparently so did someone else. My name has also been included in the Vancouver Sun newspaper’s Kudos page today – June 25, 2007. If I read the details I got correctly, it should be on Page F5 of the business section. (I’m on page two of the link which was provided to me by CMA.)

Since my mother-in-law does get the Vancouver Sun, so it should be pretty easy to get a copy of the actual article.

Who is the number one choice of spammers?

The other day my wife received over 5000 bounced emails… she hadn’t sent any out, but I guess our email address got spoofed, not doubt when someone who knew us got a virus in their inbox.  I’ve looked into it, and apparently, I can get a SPF put on my email so that mail servers can tell it didn’t come from us, but I just haven’t quite got there yet.

So today, I took a quick peak at my spam filter on the blog.  Check this out:

spam.jpg

Almost 4000 spam messages in just over two weeks.  Unreal.  So if your comment got moderated, and hasn’t shown up, you might want to try again.  (And maybe even email me if it doesn’t show up after a day or two.)

I have to admit that I’m kind of curious on this point… I know a bunch of other bloggers using WordPress.  How many spam messages do you have in your Akismet filter?  My blog started back in December, so the 20,764 is only for about 7 months.

PS… sorry for the lack of posts here.  I’ve been very busy with a large project that isn’t due to be finished for a month or so.  I’ll try to put something up in the mean time, but this is pretty much consuming my evenings and weekends.