What deposit is normal for a silk fan wholesale order?

A common structure is a deposit on order with the balance against shipping documents. Because handmade fans carry real material and labor cost before anything ships, a supplier will usually want part of the value up front. The deposit percentage should be tied to a written specification and an agreed sample, and the balance should be released against named documents rather than on arrival, so payment follows evidence rather than hope.

When is a letter of credit worth the cost for silk fans?

When the order value is large enough that the fee is a small share of it, and when the buyer and supplier have no payment history. A letter of credit replaces trust with bank documents, so it protects both sides, but it adds fees and requires every document to match exactly. For a repeat order from a proven supplier, a deposit and balance structure is usually cheaper and faster than a letter of credit.

What should trigger the final payment on a silk fan order?

A defined document set: the commercial invoice, packing list, bill of lading, and, where agreed, a pre-shipment inspection report or a certificate of origin. Tie the balance to those documents in the purchase order rather than to arrival, because arrival-based terms push all the risk of transit and clearance onto the supplier and usually come back as a higher price elsewhere in the order.

Silk Fan Wholesale Payment Terms: T/T, Letter of Credit and Deposits

Direct Answer

Payment terms for a silk fan wholesale order should follow evidence, not trust. Use a deposit on order with the balance against named shipping documents — typically the commercial invoice, packing list, bill of lading, and any agreed inspection certificate. Tie the deposit to an approved specification and sample so that both parties know what is being paid for. Reserve a letter of credit for large orders or unfamiliar counterparties, where the bank documents justify the fee and the extra administration. Whichever structure you choose, name the documents, the dates, and the remedy for late or faulty delivery in the purchase order, and keep the payment schedule visible in the same worksheet as the landed cost.

Opening Hook

A buyer paid a forty percent deposit for a 2,000-unit silk fan run on a one-page order form, and when the shipment arrived with a substituted frame, there was no specification in writing and no document trigger left — the balance had already been released. The payment structure, not the supplier, caused the loss: the buyer had paid ahead of evidence and kept no lever. The remedy was simple and unglamorous: a written specification, an approved sample, and a balance released against named documents. At eastfanart, we structure silk fan wholesale payments around evidence — here is how to set the terms so that money follows proof.

The Three Common Structures

Most silk fan orders settle on one of three patterns.

Structure	Buyer Pays	Supplier Risk	Best For
Deposit and balance	Part on order, rest on documents	Moderate	Established, repeat orders
Letter of credit	Against compliant documents	Low	Large or first orders
Open account	After delivery	High for supplier	Long-term partners only
Full prepayment	Everything before production	None for supplier	Avoid when possible

Data: The U.S. International Trade Administration publishes export and trade finance resources describing the payment methods available in international trade and the risk each shifts between buyer and seller.

Judgment: Match the structure to the length of the trading relationship, because a letter of credit buys protection with fees and administration that only makes sense when the order value or the counterparty risk justifies them.

Source: U.S. ITA — International Trade Administration Export Resources (2024)

The pattern that fails most often is full prepayment on a first order with no specification attached.

What Belongs in the Payment Clause

Clause Element	Purpose	Example of Wording	Risk If Missing
Deposit amount	Funds materials	"Thirty percent on order"	Supplier cannot start
Balance trigger	Ties money to proof	"On bill of lading"	Payment before evidence
Document list	Defines the trigger	"Invoice, packing, B/L"	Dispute over documents
Quality remedy	Covers faults	"Replacement or credit"	No recourse
Late delivery remedy	Protects dates	"Credit per week late"	No protection
Currency and fee	Fixes the amount	"USD, bank fees split"	Unexpected deduction

Data: ISO standards for trade documentation describe the data elements carried by a commercial consignment, which are the same fields a bank examines when a letter of credit requires document compliance.

Judgment: Specify the exact documents that release the balance, because a letter of credit or a document-triggered payment only protects the buyer when the required document set is named and internally consistent.

Source: ISO — Standards Catalogue: Trade Documentation (2024)

Write the clause once and reuse it, so that every order is governed by the same terms.

To see how the shipped goods must be packed for the documents to match reality, our silk fan packaging and export protection guide covers the packing list details.

Letters of Credit Without the Headache

A letter of credit converts trust into paperwork, and paperwork has rules.

Letter of Credit Step	Who Acts	Common Failure	Prevention
Issuance	Buyer's bank	Terms too loose or too tight	Match to contract
Document preparation	Supplier	Spelling or date mismatch	Check draft documents
Presentation	Supplier's bank	Late presentation	Track the deadline
Examination	Banks	Discrepancy fee	Correct before shipping
Payment	Buyer's bank	Delay on discrepancy	Agree waivers in advance

Data: U.S. CBP importer guidance covers the documents and declarations required at entry, including the commercial invoice and packing list that also anchor a letter of credit presentation.

Judgment: Align the letter of credit document set with the entry documents, because a mismatch between what the bank requires and what customs requires creates delay at both ends of the same shipment.

Source: U.S. CBP — Importer Guidance and Compliance Resources (2024)

Ask for a draft document set before shipping so discrepancies are found on paper, not at the counter.

Pricing the Risk

Payment terms are a price input, and suppliers price them.

Term	Effect on Quoted Price	Buyer Cost	Supplier Cost
Full prepayment	Lowest quote	Working capital and risk	None
Deposit and balance	Middle quote	Part allocation	Part allocation
Letter of credit	Higher quote	Bank fees	Compliance time
Open account	Highest quote	Possible premium	Full carry

Data: The U.S. FTC rules library collects the trade regulation rules and guides that govern business conduct, including the handling of terms and disclosures in commercial dealings.

Judgment: Read the payment term as part of the price, because a structure that shifts cost away from the buyer usually returns as a higher unit price or a slower production slot.

Source: U.S. FTC — FTC Rules and Guides Library (2024)

For how quantity and minimums interact with the deposit, our silk fan wholesale MOQ and pricing guide sets out the volume-break logic.

A Payment Schedule Template

Milestone	Trigger	Share of Value
Order confirmation	Signed spec and sample approved	Deposit
Production complete	Photos or inspection passed	Optional progress payment
Shipment	Bill of lading issued	Balance
Arrival	Documents accepted at entry	Any retention
After-sales	Claim window closed	Retention released

Keep the schedule on the purchase order and the project tracker so both sides work from the same dates.

The Bottom Line

Structure silk fan payments so money follows evidence: a deposit tied to an approved specification and sample, and a balance released against named documents such as the commercial invoice, packing list, and bill of lading. Use a letter of credit when the order is large or the counterparty is new, and accept its fees and document discipline as the price of that protection. Name the documents, dates, and remedies in the purchase order, and read the payment term as part of the price. In one sentence: eastfanart supplies handmade silk fans on clear wholesale payment terms and will put the specification, sample, and document triggers in writing before any deposit is paid.