Naru Box — free samples, pay only shipping.Browse
Manila Glow Retail · Philippines · 10d ago

Do Korean brands typically require 100% upfront payment as their standard payment term?

Sourcing Requestskincaremakeuphaircarebodycare
Do Korean brands typically require 100% upfront payment as their standard payment term? I’d love to hear from buyers and distributors who have experience working with Korean beauty brands. What payment terms do you usually negotiate?
1 views1 replies

1 Reply

4d ago
Hello Andrea, How are you doing? This is Jean-Baptiste, working as sales director for Hannaru. Great question, and the honest answer is: it depends on the brand, but 100% upfront is common for first orders. First order : new buyer relationship Most brands do ask for 100% T/T in advance, especially for smaller MOQs or when there's no prior track record with the buyer. This isn't unique to Korea like it's standard risk management for any new export relationship, particularly when the buyer is overseas and enforcement of payment terms is harder. After 1~2 successful orders : Once trust is established, many brands become flexible. Common structures we see: 30% deposit / 70% before shipment 50/50 split (deposit at PO confirmation, balance before or at shipment) T/T against copy of B/L for repeat, for larger volume having buyers L/C (Letter of Credit) for bigger distributors with larger volumes might be possible. Here we go :), conditions can vary depending on different situations and conditions! Have a good day, JB

Sign in to reply