First put the garment order total, each installment, trigger, evidence, payment deadline and payment method into the order or contract agreed by both parties. Then place each expected payment in the cash plan. Sample approval, completion of inspection, release of goods and actual shipment are distinct events. Whether they trigger payment, who confirms them and what happens if a condition is unmet depend on the parties' specific agreement. Do not treat supplier photographs as proof that an inspection necessarily passed, or payment as proof that goods have shipped.
This guide helps brands, purchasing and finance teams arrange bulk knitwear payments. It discusses recording and executing negotiated installments; it does not prescribe universal percentages or describe WTBF payment policy. Payment milestones do not automatically determine ownership, transfer of risk, liability for breach or import formalities. Confirm each separately under the contract, applicable rules and actual arrangements.
Separate the payment scope from delivery evidence
Use the same order revision to record style numbers, quantities per style, colour and size, unit prices, currency, agreed total, sample and packing versions and included and excluded services. First establish whether the payment schedule's total includes sample fees, transport, inspection, duties and other charges; do not count a separately paid item twice. Record the amount, affected batch and effective date of changes approved by the buyer. Do not add an unapproved extra directly to the confirmed total.
The US International Trade Administration's pro forma invoice guidance lists unit and total prices, trade terms, payment terms and estimated shipment date among the information to provide. A pro forma invoice helps communicate a quotation, but the buying team must also check the order or contract finally agreed by the parties, subsequent changes and the applicable payment arrangement. A pro forma alone does not replace checking the state of the goods.
Separate each installment into three questions: when does the contract say payment becomes due; what evidence confirms the event and who may review it; and when is money expected to leave the buyer's account and reach the recipient? The deadline, the buyer's initiation date and the seller's actual receipt date can differ, especially when bank processing or holidays intervene. Confirm timing with the bank and each other for the actual transaction; this guide assumes no fixed number of days.
Agree verifiable triggers for each stage
This table is a discussion template, not a recommended WTBF percentage or inevitable sequence. Parties may negotiate another arrangement for the order, risks and payment method. A document may support one decision without automatically proving another has occurred.
| Stage | Triggers and evidence to discuss | Still to confirm before payment |
|---|---|---|
| Order confirmation | Both parties confirm the order version, amount and agreed initial-payment conditions | Do style, quantity, payee and invoice details match? What are the purpose and due time of the initial payment? |
| Pre-production sample approval | An authorised person gives a written decision on the identified sample number, specification version and open issues | Is it full approval, conditional approval or rejection? May unresolved issues proceed to the next step? |
| Bulk inspection | Inspection report, quantity, result and decision on exceptions within the agreed scope | Does inspection cover the batch corresponding to this payment? Who confirms reinspection, rework and costs? |
| Shipment preparation and payment | Confirm shippable quantity, packing and amount due under the contract, and state the order of payment and release | Must the seller receive funds before release, or is another condition agreed? Are the goods awaiting shipment identified? |
| Actual shipment or handover | Agreed carrier handover record, transport document or other evidence | Does the document match the order, batch and quantity? Is this event the same condition as warehouse arrival, acceptance or final payment? |
For example, a report noting issues to correct is not automatically a pass or fail. First let the parties decide how to handle it under the agreed criteria and authorisation process. Name contacts and next steps for objections, additional evidence, rework and reinspection so one party does not assume approval while the other is still waiting. Payment obligations and dispute handling follow the parties' confirmed documents, not an inference from this table.
Payment method and installments are different concepts
Installments link amounts to dates or events. Bank transfer, letters of credit and documentary collections involve different payment and document procedures. Whether they can be combined, and who bears the fees, must be confirmed with the bank and counterparty. The US International Trade Administration's cash-in-advance guidance says advance payment may collect all or a substantial part before shipment but may be less attractive for the buyer's cash planning. Actual risk allocation also depends on the contract and payment method; advance payment does not automatically guarantee quality or on-time delivery.
For documentary collections, the agency's guidance states that banks release documents against payment or acceptance as instructed, but do not verify document accuracy or guarantee payment. Check the required documents, payment or acceptance conditions, fees and dispute handling with the bank in advance. Do not treat any bank document process as a substitute for inspecting finished garments. Confirm availability of a payment method for the particular project.
Hypothetical example: an order and separate charges
This example illustrates cash planning only. All amounts are assumed to be US dollars; they are not a WTBF quote, term or industry standard. Assume a garment order total of 10000 dollars and written agreement to pay 30% on order confirmation, 40% on written approval of the specified pre-production sample, and 30% after the specified bulk inspection result is handled as agreed and the shippable quantity is confirmed. The seller releases the goods only after receiving the final installment. A 500-dollar sample fee is separate and not credited to the order; the buyer also pays 700 dollars freight separately. Assume no other charges. Dates in the table are plans only: update actual due and payment dates from the agreed conditions and actual records.
| Planned day | Hypothetical event | Expected buyer outlay | Unpaid garment order balance |
|---|---|---|---|
| Day 1 | Pay the separate sample fee | 500 dollars | 10000 dollars |
| Day 5 | Confirm order and pay 30% of the total | 3000 dollars | 7000 dollars |
| Day 20 | Written approval of the specified pre-production sample; pay 40% | 4000 dollars | 3000 dollars |
| Day 45 | Handle the specified batch inspection result as agreed and confirm shippable quantity; pay 30% | 3000 dollars | 0 dollars |
| Day 50 | Pay freight under a separate agreement | 700 dollars | 0 dollars |
The garment installments are 3000 + 4000 + 3000 = 10000 dollars. Sample fee and freight are not part of that garment order amount. Assuming no other charges, total cash outlay is 500 + 10000 + 700 = 11200 dollars. Paying the garment order in full establishes only that this order amount is settled; it does not prove handover to the carrier or arrival at the warehouse. The freight payment date and shipment date cannot be assumed identical from this table either.
If pre-production sample approval moves to day 25 and, in this example, the second installment is triggered only by that approval, the original day 20 is simply an outdated plan. Update the actual approval date, payment deadline and expected initiation and receipt times, then recheck the subsequent production and inspection plan. Whether other payments or shipment also move, or additional charges arise, depends on the contract and changes confirmed by the parties; a delay alone does not establish this automatically.
Reconcile the balance for partial releases or exceptions
If only part of the goods is released, compare the order and inspection records to identify style, colour, size, batch, shippable quantity and relevant unit prices. Check whether the contract permits partial payments and how it allocates the initial payment, one-time charges and remaining balance. Do not assume an equal allocation per piece: prices by style, colour or size, or the agreement, may differ. Have both parties confirm the partial-release details and revised payment timing before updating the unpaid balance. Retain separate conditions and records for the unshipped part.
Maintain a shared record of order and revision, batch and quantity, stage, trigger, evidence link or number, approver and date, amount and currency, planned and actual payment dates, receipt status, unpaid balance and open issues. Reconcile payment evidence to the corresponding order and invoice. If the receiving account changes, verify it through an independently confirmed channel rather than relying solely on the same change notice. This reconciliation sheet is a working tool; it does not replace the parties' formal agreement or bank confirmation.
For the merchandise quotation scope, see the sweater quotation comparison guide; for sample fees and credits, the sample fee guide; and for handover place and transport responsibilities, the FCA, FOB and DAP guide. Payment, delivery and warehouse arrival are different matters to coordinate. Checking one does not replace the others.
What to include in an inquiry
Use the WTBF inquiry page to provide the style reference, yarn and specifications, quantities per style, colour and size, sample stage and open approvals, destination and desired warehouse arrival, inspection and packing requirements, and the payment milestones and evidence you want to discuss. Browse knit pullovers for style references. Ask the supplier to explain the project's quotation scope, sample fees, payment arrangement, documents and schedule. Prices, terms and timing depend on the specific project confirmed by both parties.